As filed with the Securities and Exchange Commission on December 17, 2013
Registration No. 333-
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM S-4
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
ARAMARK Holdings Corporation
ARAMARK Corporation
(Exact name of registrant as specified in its charter)
Delaware |
5812 |
20-8236097 | ||
Delaware | 5812 | 95-2051630 | ||
(State or other jurisdiction of incorporation or organization) |
(Primary Standard Industrial Classification Code Number) |
(I.R.S. Employer Identification Number) |
ARAMARK Tower
1101 Market Street
Philadelphia, Pennsylvania 19107
(215) 238-3000
(Address, including zip code, and telephone number, including area code, of registrants principal executive offices)
Stephen R. Reynolds, Esq.
Executive Vice President, General Counsel and Secretary
ARAMARK Tower
1101 Market Street
Philadelphia, Pennsylvania 19107
(215) 238-3000
(Name, address, including zip code, and telephone number, including area code, of agent for service)
With a copy to:
Joseph H. Kaufman, Esq. Simpson Thacher & Bartlett LLP 425 Lexington Avenue New York, New York 10017-3954 (212) 455-2000 |
Approximate date of commencement of proposed exchange offer: As soon as practicable after this Registration Statement is declared effective.
If the securities being registered on this form are being offered in connection with the formation of a holding company and there is compliance with General Instruction G, please check the following box. ¨
If this form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ¨
If this form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of large accelerated filer, accelerated filer, and smaller reporting company in Rule 12b-2 of the Exchange Act. (Check one):
Large accelerated filer ¨ |
Accelerated filer | ¨ | ||||
Non-accelerated filer x |
(Do not check if a smaller reporting company) | Smaller reporting company | ¨ |
If applicable, place an X in the box to designate the appropriate rule provision relied upon in conducting this transaction:
Exchange Act Rule 13e-4(i) (Cross-Border Issuer Tender Offer) ¨
Exchange Act Rule 14d-1(d) (Cross Border Third-Party Tender Offer) ¨
CALCULATION OF REGISTRATION FEE
| ||||||||
Title of each class of Securities to be Registered |
Amount to be Registered |
Proposed Maximum Offering Price |
Proposed Maximum Offering Price(1) |
Amount of Registration Fee | ||||
5.75% Senior Notes due 2020 |
$1,000,000,000 | 100% | $1,000,000,000 | $128,800 | ||||
Guarantees of 5.75% Senior Notes due 2020(2) |
N/A(3) | N/A(3) | N/A(3) | N/A(3) | ||||
| ||||||||
|
(1) | Estimated solely for the purpose of calculating the registration fee under Rule 457(f) of the Securities Act of 1933, as amended (the Securities Act). |
(2) | See inside facing page for additional registrant guarantors. |
(3) | Pursuant to Rule 457(n) under the Securities Act, no separate filing fee is required for the guarantees. |
The registrants hereby amend this Registration Statement on such date or dates as may be necessary to delay its effective date until the registrants shall file a further amendment which specifically states that this Registration Statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933, as amended, or until the Registration Statement shall become effective on such date as the Securities and Exchange Commission, acting pursuant to said Section 8(a), may determine.
Table of Registrant Guarantors
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
1st & Fresh, LLC |
Delaware | 26-3147608 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Addison Concessions, Inc. |
Delaware | 23-3068280 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
American Snack & Beverage, LLC |
Florida | 65-0099517 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK American Food Services, LLC |
Ohio | 34-4197320 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Asia Management, LLC |
Delaware | 20-1697406 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Aviation Services Limited Partnership |
Delaware | 36-3940986 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business & Industry, LLC |
Delaware | 26-3147457 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business Center, LLC |
Delaware | 46-3549461 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business Dining Services of Texas, LLC |
Texas | 23-2573583 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business Facilities, LLC |
Delaware | 26-3674871 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Campus, LLC |
Delaware | 23-3102688 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Capital Asset Services, LLC |
Wisconsin | 39-1551693 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Cleanroom Services (Puerto Rico), Inc. |
Delaware | 20-2644041 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Cleanroom Services, LLC |
Delaware | 23-2062167 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Confection, LLC |
Delaware | 36-2392940 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Construction and Energy Services, LLC |
Delaware | 27-3359653 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Construction Services, Inc. |
Delaware | 27-4284479 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Consumer Discount Company |
Pennsylvania | 23-2704523 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Correctional Services, LLC |
Delaware | 23-2778485 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK CTS, LLC |
Delaware | 36-4503103 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK Distribution Services, Inc. |
Illinois | 36-1164580 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Educational Group, LLC |
Delaware | 23-2573586 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Educational Services of Texas, LLC |
Texas | 23-1717332 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Educational Services of Vermont, Inc. |
Vermont | 23-2263511 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Educational Services, LLC |
Delaware | 23-1354443 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Engineering Associates, LLC |
Delaware | 36-4358960 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Entertainment, LLC |
Delaware | 11-2145117 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Executive Management Services USA, Inc. |
Delaware | 23-3029011 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Facilities Management, LLC |
Delaware | 23-2636400 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Facility Management Corporation of Iowa |
Iowa | 13-3444248 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Facility Services, LLC |
Delaware | 20-8482211 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Business Services, LLC |
Delaware | 85-0485361 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Campus Services, LLC |
Delaware | 85-0485370 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Correctional Services, LLC |
Delaware | 85-0485374 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Healthcare Support Services, LLC |
Delaware | 85-0485377 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Kansas, Inc. |
Kansas | 04-3719118 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Refreshment Services, LLC |
Delaware | 85-0485381 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC School Support Services, LLC |
Delaware | 85-0485386 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Services, LLC |
Delaware | 16-1653189 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Sports and Entertainment Services, LLC |
Delaware | 85-0485389 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK FHC, LLC |
Delaware | 02-0652458 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food and Support Services Group, Inc. |
Delaware | 23-2573585 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food Service Corporation of Kansas |
Kansas | 13-3703705 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food Service of Texas, LLC |
Texas | 74-1310443 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food Service, LLC |
Delaware | 23-0404985 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FSM, LLC |
Delaware | 37-1462108 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Support Services of Texas, Inc. |
Texas | 23-2575102 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Support Services of the Virgin Islands, Inc. |
Delaware | 23-2654936 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Support Services, LLC |
Delaware | 23-1530221 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Technologies, LLC |
Delaware | 33-0694408 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK India Holdings LLC |
Delaware | 20-5396223 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Industrial Services, LLC |
Delaware | 38-2712298 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Japan, Inc. |
Delaware | 37-1437224 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Kitty Hawk, Inc. |
Idaho | 23-2167428 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Management, LLC |
Delaware | 26-1597527 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Marketing Services Group, Inc. |
Delaware | 23-1630859 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Management Services Limited Partnership |
Delaware | 36-3797749 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK North Carolina Technical Services, LLC |
Delaware | 26-0771431 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Organizational Services, Inc. |
Delaware | 23-3029013 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Processing, LLC |
Delaware | 26-2621089 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK Qatar, LLC |
Delaware | 26-0727676 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Rail Services, LLC |
Delaware | 26-3519724 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK RAV, LLC |
Delaware | 38-3655870 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK RBI, INC. |
Delaware | 23-2732825 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Refreshment Services of Tampa, LLC |
Delaware | 26-2829924 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Refreshment Services, LLC |
Delaware | 23-1673482 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Schools Facilities, LLC |
Delaware | 26-3674561 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Schools, LLC |
Delaware | 23-3102689 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK SCM, Inc. |
Delaware | 04-3652050 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Senior Living Services, LLC |
Delaware | 20-0648583 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Senior Notes Company |
Delaware | 23-2693518 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of HI, Inc. |
Hawaii | 23-2983665 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of IL, Inc. |
Illinois | 23-2983669 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of MI, Inc. |
Michigan | 23-2983689 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of NJ, Inc. |
New Jersey | 23-2983702 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of OH, Inc. |
Ohio | 23-2983707 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of SC, Inc. |
South Carolina | 23-2983715 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of WI, Inc. |
Wisconsin | 23-2983725 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services of Kansas, Inc. |
Kansas | 23-2525399 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services of Puerto Rico, Inc. |
Delaware | 66-0231810 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK SM Management Services, Inc. |
Delaware | 36-3744854 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK SMMS LLC |
Delaware | 23-3099982 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK SMMS Real Estate LLC |
Delaware | 23-3099984 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports and Entertainment Group, LLC |
Delaware | 23-2573588 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports and Entertainment Services of Texas, LLC |
Texas | 23-2573584 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports and Entertainment Services, LLC |
Delaware | 23-1664232 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports Facilities, LLC |
Delaware | 20-3808955 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports, LLC |
Delaware | 23-3102690 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Summer Games 1996, LLC |
Delaware | 23-2820402 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Technical Services North Carolina, Inc. |
North Carolina | 56-0893678 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Togwotee, LLC |
Delaware | 26-2259208 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK U.S. Offshore Services, LLC |
Delaware | 23-3020180 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Uniform & Career Apparel Group, Inc. |
Delaware | 23-2816365 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform & Career Apparel, LLC |
Delaware | 95-3082883 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Manufacturing Company |
Delaware | 23-2449947 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Baltimore) LLC |
Delaware | 20-4488478 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Carmelo) LLC |
Delaware | None | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Matchpoint) LLC |
Delaware | 20-5396299 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Midwest) LLC |
Delaware | 20-4799404 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Rochester) LLC |
Delaware | 75-3102371 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK Uniform Services (Santa Ana) LLC |
Delaware | 20-0989729 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Syracuse) LLC |
Delaware | 61-1437731 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Texas) LLC |
Delaware | 20-4488401 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (West Adams) LLC |
Delaware | 20-2038791 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Venue Services, Inc. |
Delaware | 23-2986471 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK WTC, LLC |
Delaware | 45-5145553 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK/HMS, LLC |
Delaware | 51-0363060 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Brand Coffee Service, Inc. |
Texas | 74-1875393 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
COHR Holdings, Inc. |
Delaware | 20-4226554 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
COHR Inc. |
Delaware | 95-4752572 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
D.G. Maren II, Inc. |
Delaware | 23-2921096 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Delsac VIII, Inc. |
Delaware | 23-2449950 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
Filterfresh Coffee Service, Inc. |
Delaware | 14-1676557 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Filterfresh Franchise Group, LLC |
Delaware | 04-3527632 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Fine Host Holdings, LLC |
Delaware | 42-1567694 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Genesis Technology Partners, LLC |
Nebraska | 47-0814621 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
GTP Acquisition Co. |
Delaware | 20-0414323 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Associates, LLC |
Delaware | 11-2516961 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Center of Glen Cove, Inc. |
New York | 11-2385640 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Center of Lake Bluff, Inc. |
Illinois | 36-2679415 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
Harrison Conference Services of Massachusetts, LLC |
Massachusetts | 04-2528586 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Services of North Carolina, LLC |
North Carolina | 11-3092159 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Services of Princeton, Inc. |
New Jersey | 11-2730949 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Services of Wellesley, LLC |
Massachusetts | 04-2969190 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harry M. Stevens, Inc. of New Jersey |
New Jersey | 13-5589767 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harry M. Stevens, Inc. of Penn |
Pennsylvania | 13-6097356 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harry M. Stevens, LLC |
Delaware | 20-8482129 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Kowalski-Dickow Associates, LLC |
Wisconsin | 39-1453115 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
L&N Uniform Supply, LLC |
California | 95-2309531 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
Lake Tahoe Cruises, LLC |
California | 94-2599810 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Landy Textile Rental Services, LLC |
Delaware | 20-8482253 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
Lifeworks Restaurant Group, LLC |
Delaware | 27-2146749 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
MPBP Holdings, Inc. |
Delaware | 20-8146134 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
MyAssistant, Inc. |
Pennsylvania | 23-3050214 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
New ARAMARK LLC |
Delaware | 46-1787432 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Old Time Coffee Co. |
California | 77-0546919 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Overall Laundry Services, Inc. |
Washington | 91-1138829 | 115 N. First Street Burbank, CA 91502 | 215-238-3000 | ||||||||
Paradise Hornblower, LLC |
California | 94-3136374 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Potomac Coffee, LLC |
Delaware | 11-3720904 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ReMedPar, Inc. |
Delaware | 52-2349972 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Restaura, Inc. |
Michigan | 38-1206635 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS
Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
Shoreline Operating Company, Inc. |
California | 77-0484063 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Tahoe Rocket LP |
California | 94-3390484 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Travel Systems, LLC |
Nevada | 88-0119879 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Van Houtte USA Holdings Inc. |
Delaware | 33-1157779 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
The information in this prospectus is not complete and may be changed. We may not sell the securities until the registration statement filed with the Securities and Exchange Commission is effective. This prospectus is not an offer to sell these securities and it is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted.
Subject to Completion, dated December 17, 2013
ARAMARK Corporation
Offer to Exchange
All Outstanding
5.75% Senior Notes due 2020 ($1,000,000,000 principal amount outstanding)
for 5.75% Senior Notes due 2020
which have been registered under the Securities Act of 1933
See Risk Factors beginning on page 23 for a discussion of certain risks that you should consider before participating in the exchange offer.
Each broker-dealer that receives exchange notes for its own account in the exchange offer must acknowledge that it will deliver a prospectus in connection with any resale of those exchange notes. The letter of transmittal states that by so acknowledging and delivering a prospectus, a broker-dealer will not be deemed to admit that it is an underwriter within the meaning of the Securities Act of 1933.
This prospectus, as it may be amended or supplemented from time to time, may be used by a broker-dealer in connection with resales of exchange notes received in exchange for outstanding notes where such outstanding notes were acquired by such broker-dealer as a result of market-making activities or other trading activities.
We have agreed that, for a period of 180 days after the consummation of the exchange offer, we will make this prospectus available to any broker-dealer for use in connection with any such resale. See Plan of Distribution.
Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of the exchange notes to be distributed in the exchange offer or passed upon the adequacy or accuracy of this prospectus. Any representation to the contrary is a criminal offense.
The date of this prospectus is , 2013.
Page | ||||
1 | ||||
23 | ||||
37 | ||||
39 | ||||
40 | ||||
41 | ||||
43 | ||||
46 | ||||
Managements Discussion and Analysis of Financial Condition and Results of Operations |
49 | |||
76 | ||||
88 | ||||
Security Ownership of Certain Beneficial Owners and Management |
144 | |||
148 | ||||
151 | ||||
157 | ||||
167 | ||||
228 | ||||
230 | ||||
United States Federal Income Tax Consequences of the Exchange Offer |
234 | |||
235 | ||||
236 | ||||
236 | ||||
236 | ||||
237 | ||||
F-1 |
You should rely only on the information contained in this prospectus or in any free writing prospectuses we have prepared. We have not authorized any dealer, salesperson or other person to give any information or represent anything to you other than the information contained in this prospectus and we take no responsibility for, and can provide no assurance as to the reliability of, any other information that others may give you. You must not rely on unauthorized information or representations.
This prospectus does not offer to sell nor ask for offers to buy any of the securities in any state or jurisdiction where an offer or sale is not permitted, where the person making the offer is not qualified to do so, or to any person who cannot legally be offered the securities. The information in this prospectus is current only as of the date on its cover, and may change after that date.
i
PRESENTATION OF FINANCIAL AND OTHER INFORMATION
Unless otherwise indicated or the context otherwise requires, references in this prospectus to we, our, us, ARAMARK and the Company and similar terms refer to ARAMARK Holdings Corporation and its subsidiaries and references to Holdings refer to ARAMARK Holdings Corporation and not any of its subsidiaries.
Our fiscal year ends on the Friday nearest September 30 in each year. In this prospectus, when we refer to our fiscal years, we say fiscal and the year number, as in fiscal 2013, which refers to our fiscal year ended September 27, 2013. In addition, client refers to those businesses and other organizations which engage us to provide services. Consumers refers to those consumers of our services, such as employees, students and patrons, to whom our clients provide us access.
We present Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA, as defined under Prospectus SummarySummary Consolidated Financial Data, as non-U.S. Generally Accepted Accounting Principles, or non-GAAP, financial measures in various places throughout this prospectus. Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA are supplemental measures used by management to measure operating performance. Our presentation of Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation or as a substitute for analysis of our results as reported under generally accepted accounting principles in the United States (U.S. GAAP). We use Adjusted Net Income as a supplemental measure of our overall profitability because it excludes the impact of the non-cash amortization of certain intangible assets and depreciation of property and equipment that were created at the time of our 2007 going-private transaction (the 2007 Transaction), non-cash share-based compensation expense and other costs that are not indicative of our ongoing operational performance. Similarly, we use Adjusted Operating Income and Adjusted EBITDA as supplemental measures of our operating profitability and to evaluate and control our cash operating costs because they exclude the impact of the items noted above relating to the calculation of Adjusted Net Income that are not indicative of our ongoing operational performance. We believe the presentation of Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA is appropriate to provide additional information to investors about our operating performance.
We also present Covenant EBITDA and Covenant Adjusted EBITDA as non-GAAP financial measures of ARAMARK Corporation and its restricted subsidiaries under Managements Discussion and Analysis of Financial Condition and Results of OperationsLiquidity and Capital Resources. Our presentation of Covenant EBITDA and Covenant Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation or as a substitute for analysis of our results as reported under U.S. GAAP. In addition, Covenant EBITDA and Covenant Adjusted EBITDA are measures of ARAMARK Corporation and its restricted subsidiaries only and do not include the results of Holdings. We believe that the inclusion of Covenant EBITDA and Covenant Adjusted EBITDA in this prospectus is appropriate to provide additional information to investors about the calculation of certain financial measures in our senior secured credit facilities and the indenture governing our 5.75% Senior Notes due 2020, which we refer to as our notes. For instance, our senior secured credit facilities and the indenture governing our notes contain financial ratios that are calculated by reference to Covenant Adjusted EBITDA. Non-compliance with the financial ratio maintenance covenants contained in our senior secured credit facilities could result in the requirement to immediately repay all amounts outstanding under such facilities, while non-compliance with the debt incurrence ratio contained in our senior secured credit facilities and the indenture governing our notes would prohibit us from being able to incur additional indebtedness other than pursuant to specified exceptions.
Because Adjusted Net Income, Adjusted Operating Income, Adjusted EBITDA, Covenant EBITDA and Covenant Adjusted EBITDA are not measures determined in accordance with U.S. GAAP and are susceptible to varying calculations, we caution investors that these measures as presented may not be comparable to similarly titled measures of other companies. Under Prospectus SummarySummary Consolidated Financial Data herein, we include a quantitative reconciliation of Adjusted Net Income, Adjusted Operating Income and
ii
Adjusted EBITDA to the most directly comparable U.S. GAAP financial performance measure, which is net income. Under Managements Discussion and Analysis of Financial Condition and Results of OperationsLiquidity and Capital Resources, we include a quantitative reconciliation of Covenant EBITDA and Covenant Adjusted EBITDA to the most directly comparable U.S. GAAP financial performance measure, which is net income attributable to ARAMARK Corporation stockholder.
MARKET AND INDUSTRY DATA
The data included in this prospectus regarding our industry and market opportunity, including the size of certain sectors and geographies, our position and the position of our competitors within these sectors and geographies and the portion of the market opportunity that is currently outsourced, are based on management estimates, which were derived using our managements knowledge and experience in the sectors and geographies in which we operate, our own internal estimates and research, industry and general publications and research, and surveys and studies conducted by third parties. We believe these estimates to be accurate as of the date of this prospectus. However, these estimates may prove to be inaccurate because of the method by which we obtained some of the data for the estimates or because this information cannot always be verified with complete certainty due to the limits on the availability and reliability of raw data, the voluntary nature of the data gathering process and other limitations and uncertainties.
iii
This summary does not contain all of the information that you should consider before making your investment decision. You should read the entire prospectus carefully, including the matters discussed under the caption Risk Factors and the detailed information and financial statements included in this prospectus.
Our Company
We are a leading global provider of food, facilities and uniform services to education, healthcare, business and industry and sports, leisure and corrections clients. Our core market is North America, which is supplemented by an additional 19-country footprint serving many of the fastest growing global geographies. We hold the #2 position in North America in food and facilities services and uniform services based on total sales in 2013. Internationally, we hold a top 3 position in food and facilities services based on total sales in 2013 in most countries in which we have significant operations, and are one of only 3 food and facilities competitors with our combination of scale, scope, and global reach. Through our established brand, broad geographic presence and approximately 272,000 employees, we anchor our business in our partnerships with thousands of education, healthcare, business, sports, leisure and corrections clients. Through these partnerships we serve millions of consumers including students, patients, employees, sports fans and guests worldwide. The scope and range of ARAMARKs services are evidenced by the following:
| We provide services to 86% of the Fortune 500 |
| We serve over 500 million meals annually to approximately 5 million students at colleges, universities, and K-12 schools |
| We service over 2,000 healthcare facilities, collectively representing over 75 million patient days annually |
| We cater to approximately 100 million sports fans annually through our partnerships with over 150 professional and collegiate teams |
| We put over 2 million people in uniforms each day |
| We operate in 22 countries in North America, Europe, Asia and South America |
ARAMARKs mission is to Deliver experiences that enrich and nourish lives. This mission is anchored in a set of goals, which we refer to as our core values, that guide our execution in the marketplace:
| Sell and Serve with Passion. Placing clients and consumers at the center of all that we do by listening and responding to their needs with service focused on quality and innovation |
| Set Goals. Act. Win. Maintaining a culture of accountability where performance matters and exhibiting leadership that achieves and exceeds expectations through our execution |
| Front-Line First. Providing our front-line employees with tools and training that empower them to deliver excellence at the point of service to thousands of consumers and clients every day |
| Integrity and Respect Always. High ethical standards are the cornerstone of the ARAMARK brand and help us earn the trust of our key constituents |
We strive to accomplish this mission through a repeatable business model founded on five principles of excellenceselling, service, execution, marketing and operations. Our commitment to these values has earned us numerous awards and recognitions; we have been named one of the Worlds Most Admired Companies by Fortune Magazine in the category of Diversified Outsourcing Services every year since 1999 and we are recognized as one of the Worlds Most Ethical Companies by the Ethisphere Institute.
1
We operate our business in three reportable segments that share many of the same operating characteristics: Food and Support Services North America, or FSS North America, Food and Support Services International, or FSS International, and Uniform and Career Apparel, or Uniform. The following chart provides a brief overview of our reportable segments (dollars in millions):
(1) | Fiscal 2013 operating income excludes $74.2 million of unallocated corporate expenses. |
(2) | Based on 2013 total sales. |
(3) | We have significant operations in the following countries: China, Chile, Germany, Ireland, Japan, Spain and the UK. We believe we hold top 3 positions in all of these countries except Spain. |
Within our reportable segments, our business is generally focused around key client typesEducation, Healthcare, Business & Industry, Sports & Leisure and Corrections.
(1) Based on 2013 total sales.
We believe that our broad range of services, diversified client base, global reach and repeatable business model position us well for continued growth and margin expansion opportunities, although there can be no assurance that we will continue to grow. In fiscal 2013, we generated $13.9 billion of sales, $70 million of net income and $1.2 billion of Adjusted EBITDA. As of September 27, 2013, we had $5.8 billion of total debt, not giving effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering. Please see Summary Consolidated Financial Data for a reconciliation of Adjusted EBITDA to net income.
2
Our History and Recent Accomplishments
Since ARAMARKs founding in 1959, we have broadened our service offerings and expanded our client base through a combination of organic growth and acquisitions, with the goal of further developing our food, facilities and uniform capabilities, as well as growing our international presence.
On January 26, 2007, ARAMARK delisted from the NYSE in conjunction with a going-private transaction executed with investment funds affiliated with GS Capital Partners, CCMP Capital Advisors, LLC and J.P. Morgan Partners, LLC, Thomas H. Lee Partners, L.P. and Warburg Pincus LLC as well as approximately 250 senior management personnel.
In May 2012, Eric Foss became the new CEO and President of our company. Previously, Mr. Foss was the CEO of Pepsi Beverages Company and was Chairman and CEO of the publicly-traded Pepsi Bottling Group. Under Mr. Foss leadership at ARAMARK, we have introduced a number of initiatives designed to accelerate revenue and profit growth and expand margins.
In 2013, we continued to grow our existing business and win new clients, including the Ohio and Michigan departments of corrections, the Minnesota Vikings, the Chicago Bears, and the Tampa Bay Buccaneers, and additional services from existing clients such as Airbus and American University. There is no assurance that we will continue to grow and gain new customers.
Recent Developments
In December 2013, ARAMARK Holdings Corporation completed its initial public offering of 36,250,000 shares of common stock. The net proceeds we received from the sale of 28,000,000 shares of our common stock we offered in the initial public offering, after deducting underwriters discounts and commissions and estimated expenses payable by us, were approximately $522.2 million. We intend to use the net proceeds to repay approximately $372.2 million of the outstanding term loans due July 26, 2016 under our senior secured credit facilities and approximately $150.0 million of outstanding borrowings under the revolving credit facilities constituting part of our senior secured credit facilities.
Our Market Opportunity
ARAMARK operates in large and highly fragmented markets. We believe that the global food and support services market and the North American uniform and career apparel market is approximately $900 billion. As only approximately 50% of this opportunity is outsourced, we believe that there is a substantial potential for growth by winning business with educational and healthcare institutions, businesses, sports and leisure facilities and correctional facilities that currently provide these services in-house. We expect that demand for increased outsourced services will continue to be driven by shifting client imperatives, including: the need to focus on core businesses, the desire to deliver a high level of consumer satisfaction, the pursuit of reduced costs and the attractiveness of consolidating services with a single provider. We believe our provision of these services is increasingly important to our clients achievement of their own missions.
The food and support services market is highly fragmented, with the five largest competitors capturing only 9% of the global market. We believe that larger service providers are better positioned to win a disproportionate amount of the business that is converted from self-operated services as clients seek services from partners with the scale and sophistication necessary to drive consumer satisfaction and increase operational efficiency. There can be no assurance that the number of outsourcing opportunities will increase or that our sales will increase if they do.
3
Our core geographic market is North America, which we believe will remain an attractive opportunity due to the favorable underlying economic conditions, stability and opportunities for profitable growth, and growing trend towards outsourcing. We continue to focus on the Education and Healthcare sectors, which are only approximately 30% outsourced, and have increased as a percentage of GDP, representing significant growth opportunities. While cost reduction continues to be a key consideration, we believe that clients decisions are increasingly driven by other benefits associated with outsourcing as they recognize that providing higher quality, more efficient food and facilities services is critical to driving satisfaction of their key constituents: students and faculty, patients, employees and sports fans.
We also operate in select, high growth, emerging markets in Asia and South America. The GDP of the countries making up these markets grew at approximately 8.6% in 2012, although GDP growth in Asia generally slowed from prior years. The economic growth in these countries is driven by factors such as rising discretionary income and increased investment in growth sectors such as mining, education and healthcare. Additionally, we estimate emerging markets are approximately 70% self-operated, making them highly attractive opportunities for outsourcing expansion. In Europe, we hold top 3 positions in Germany, the UK and Ireland. While we anticipate that economic conditions in Europe will continue to remain challenging, our exposure to southern Europe is limited to Spain, which represented approximately 1% of our total sales in 2013.
Our Strengths
We believe the following competitive strengths are key to our continued success:
Leader in a Large, Fragmented and Growing Market
We are a global market leader in the large, fragmented and growing food, facilities and uniform services industries. We believe that we have developed our leadership positions through using our experience and client and consumer knowledge to provide service offerings to our clients that allow our clients to focus on their core business. These leadership positions provide us with economies of scale, allow us to attract and retain industry talent and we believe position us to compete effectively for new business opportunities. We believe that clients are increasingly interested in service providers with a broad geographic reach and a breadth of service offerings.
Favorable Geographic, Sector and Service Mix
We have the global reach and capability to deliver our services in 22 countries around the world, which represent approximately 65% of the worlds GDP. We believe that our leading position in our core North American market will remain a principal growth driver. Also, utilizing the skills and experience we have developed over decades of service in the North American market, we have established positions in strategic emerging markets in Asia and South America. Our sales in emerging markets have increased at an annual rate of approximately 14% over the last five years, and represent 8% of our total sales in 2013 versus 4% in 2007. We believe that our expanding presence in these geographies will become increasingly important for our overall growth. In Europe, we have a selective position concentrated in Germany, the UK and Ireland with limited exposure to southern Europe.
We serve a large and diversified client base across a wide range of sectors and businesses, including Education, Healthcare, Business & Industry and Sports, Leisure and Corrections, with no single client accounting for more than 2% of 2013 sales (other than collectively a number of U.S. government entities). The Education and Healthcare sectors, which together contributed 43% of our 2013 sales globally, represent attractive growth opportunities for ARAMARK due to their size and low penetration.
We believe that the breadth of our service capabilities and ability to innovate position ARAMARK well to meet evolving consumer needs and address our clients increasing desire to conduct business with an experienced single provider of multiple services. Clients rely on ARAMARK to provide a variety of services, from offering safe living and working environments for miners to patient transportation services for healthcare clients to convenience stores on college campuses.
4
Longstanding Client Relationships
ARAMARKs leading positions, scale and breadth of product offering enable us to continue to grow our business through higher penetration into existing clients and cross-selling of additional services. We have long-lasting relationships with our clients as evidenced by our approximately 94% annual retention rate and an average client relationship of approximately 10 years. We believe we are able to maintain these strong relationships year after year by providing services that help our clients focus on their own mission and also improve satisfaction of their key constituencies: employees, students and faculty, patients and sports fans. We believe that this is increasingly important for our clients as, for example, businesses compete for employees, colleges compete for students and hospitals compete for patients. Given that only 11% of our current clients utilize both food and facilities services, we believe substantial opportunities remain for us to provide additional services to our existing client base.
Further, we aim to increase the per capita spending of our target consumers and expand the participation rates of these populations in our existing service offering, through innovative marketing and merchandising programs. We continuously innovate our existing services to better meet our clients evolving needs. We use ARAMARKs consumer insights and other research to increase our awareness of market trends, client needs and consumer preferences.
Improving Profitability with Significant Cash Flow Generation
We have and continue to implement a number of programs and tools designed to increase our profitability, including enhanced management of our key costsfood, labor and overheadthrough SKU rationalization (a consolidation of product categories for our purchases), standardization of portion sizes, waste control, enhanced labor scheduling, turn-over reduction and SG&A discipline, among others. Because of the leverage inherent in our business model, we believe the implementation of these measures will increase our profitability. Since instituting these new productivity initiatives in 2012, we have seen positive momentum in our performance. During fiscal 2013, we achieved year-over-year growth in our Adjusted Operating Income of 7% and sales growth of 3%. Please see Summary Consolidated Financial Data for a reconciliation of Adjusted Operating Income to net income.
We believe our business mix allows us to deliver consistent profitability in most macroeconomic environments and our high mix of variable costs allows us to react quickly to changing conditions in our day to day operations. We have historically generated significant cash flow as a result of our consistent profitability and limited working capital and capital expenditure requirements. Our capital expenditures in the last 5 years have averaged only 2.5% of sales. In the economic downturn in 2009 for example, our cash flow actually increased as lower capital expenditures and a reduction in working capital more than offset an earnings decline. We believe that the low capital investment requirements of our business position us to continue to generate significant cash flow, which should give us the flexibility to reduce debt, pursue strategic acquisitions and return capital to our stockholders.
Experienced Management Team
Our management team consists of long-tenured ARAMARK leaders with significant industry experience along with outside leaders with significant Fortune 500 management, consumer/retail and food industry experience. Our CEO and President, Eric Foss, is an experienced Fortune 500 public company CEO. Since joining ARAMARK in 2012, he has introduced an integrated strategy focusing on growth, productivity, people and delivering on financial commitments. The average tenure of our principal operating leaders is 20 years, with individual tenure ranging from 33 years to less than one year. Our remaining senior management team and business unit presidents tenure averages 12 years. ARAMARK has a long history of broad management ownership dating back to the 1980s, and our management team collectively has a significant equity position in ARAMARK.
5
Our Strategies
Through the following growth and operational strategies, we seek to provide the highest quality food, facilities and uniform services to our clients and consumers through a consistent, repeatable business model founded on five principles of excellenceselling, service, execution, marketing and operations.
Grow Our Base Business
Drive Incremental Revenue from Existing Clients
We intend to increase penetration within our existing client base. We believe our ideas and innovations are a key differentiating factor for ARAMARK in winning new business at existing clients. We believe that opportunities exist to increase penetration in each of our major service linesfood service, facilities service and uniform service. In each of our sectors we have identified the top items that drive demand and have established standardized frameworks at the location level to maximize results. At our Major League Baseball venues where these programs have been introduced, per-capita expenditures by fans are 5.9% higher than last season.
Currently, 11% of our clients use both our food and facilities services. We believe that having an on-site team successfully providing one service positions us well to expand the services we provide. An example of a recent success is American University, where we have been providing facilities services since 2001 and recently won the dining business from a competitor based on our strategic vision for the campus and the local management teams that have consistently delivered high quality services.
Increase Client Retention Rates
ARAMARK has historically experienced high and consistent client retention rates. In 2013, our client retention rate was 94%. We believe that our front-line focus and emphasis on satisfying our clients needs enable us to increase the quality of our operations. Our service orientation is centered on creating a culture of excellence. We believe that providing our front-line employees with tools and training that empower them to improve the quality and breadth of service that they provide clients will drive client and consumer loyalty, enabling us to increase our retention rates and enhance profitability for our stockholders.
Grow New Business
Expand New Business Through Selling Excellence
ARAMARKs platform for growing new business is centered on understanding our clients needs, creating innovative service offerings that meet those needs and selling our services with passion. We believe that our market leadership and extensive industry experience position us to capitalize on the large, under-penetrated and growing food, facilities and uniform services markets. We believe that the current rates of penetration will increase as more businesses and organizations continue to see the benefits of outsourcing non-core activities. Estimated annualized revenue from new clients contracted during 2013 as if they were acquired at the beginning of the fiscal year was over $1.3 billion. Our estimated net new business (the estimated annualized sales of new clients less the annualized sales of lost clients as if they were acquired or lost on the first day of the fiscal year) was approximately $525 million in fiscal 2013. There can be no assurance that the current rates of penetration of outsourcing for the food, facilities and uniform services markets will increase or that our sales will increase if they do.
We are particularly focused on the Education and Healthcare sectors due to their lower level of economic sensitivity and strong growth. Despite recent economic weakness, total spending on Education and Healthcare has increased as a percentage of total GDP. Additionally, we believe the addressable Education and Healthcare sectors represent opportunities of $87 billion and $31 billion, respectively, and are only approximately 30% outsourced to third party providers, which provides a significant opportunity for further growth.
6
Increase Our Presence in Emerging Markets
The favorable growth characteristics and relatively low outsourcing rates in emerging market regions present a substantial opportunity for accelerated growth. Our emerging markets presence currently consists of 7 countries across Asia and South America and represented 8% of our total sales in 2013. Our growth strategy in select emerging market geographies is focused on three initiatives: supporting existing clients as they expand into emerging markets, growing in geographies in which we already operate profitably, and entering new geographies where we have identified attractive prospects for profitable expansion. Over the last several years, our China business has experienced significant growth, including 27% growth in 2013, and we believe that we are well positioned to utilize deep industry and country experience to continue to expand in this key geography. Additionally, we are focused on growing our presence in South America, where we currently hold the #2 position in Chile and the #1 position in Argentina based on 2012 total sales. Given the scale and coordination required to successfully execute a multinational contract, we believe we are one of a very small group of global companies currently capable of competing for these contracts within emerging markets.
Pursue Strategic Acquisitions
We anticipate that continued consolidation in the global food, facilities and uniform services markets will create opportunities for us to acquire businesses with complementary geographic and service offering profiles. We intend to continue strengthening our existing business through selective, accretive acquisitions that will solidify our position, enhance and expand our service capabilities, further develop our differentiated positions, or allow us to enter into high growth geographies. We have a history of acquisitions, which we have integrated into our existing operations while achieving targeted synergies with minimal client losses. For example, in fiscal 2012 we acquired Filterfresh, a leader in providing quality office refreshment services to employees in the workplace, and in fiscal 2011 we acquired Masterplan, a clinical technology management and medical equipment maintenance company, which expanded our capability to service all levels of hospital clinical technology and strengthened our position in a key sector within the North American market. Both acquisitions were integrated into larger, similar ARAMARK operations.
Accelerate Margin Expansion through Operational Excellence
We have been implementing a disciplined process to achieve operational excellence and capture productivity for growth through a standard, repeatable business model. To achieve this, we are investing in the systems, tools and training utilized by our front-line employees, and establishing quality standards and processes to more efficiently manage our food, merchandise, labor, and above-unit costs. Additionally, our scale and operating leverage allow us to effectively manage these costs, which together accounted for 77% of our operating costs in fiscal 2013. We are also incorporating automated, standardized and centralized processes that have resulted in the reduction of overhead costs through the elimination of redundancies in our finance and HR functions.
The implementation of these initiatives has led to increased profitability, a portion of which we are reinvesting in our business to achieve additional growth and margin expansion. This reinvestment is focused on two primary goals: improving the efficiency of standard tools and selling resources, and continuing to recruit, train and develop employees to maintain our culture of high performance. Through continued reinvestment in our business, we expect to both increase our ability to execute upon our core strategies and maintain our operational excellence.
7
Risks Relating to Our Business
Investing in our notes involves substantial risk. In particular, the risks described under the heading Risk Factors immediately following this summary may cause us to be unable to:
| fully execute upon our mission and core values; |
| succeed in our initiatives designed to accelerate revenue, expand margins and grow profits; |
| achieve continued sales and customer growth; |
| take advantage of incremental market opportunities; |
| realize the full benefits of our strengths; and |
| successfully implement all or part of our strategies. |
Some of the more significant challenges that we face in operating our business include the following:
| unfavorable economic conditions, as well as natural disasters, global calamities, sports strikes and other adverse incidents, have, and in the future could, adversely affect our results of operations and financial condition; |
| our failure to retain our current clients, renew our existing client contracts and obtain new clients could adversely affect our business; |
| we may be adversely affected if clients reduce their outsourcing or use of preferred vendors; |
| competition in our industries could adversely affect our results of operations; |
| increased operating costs and obstacles to cost recovery due to the pricing and cancellation terms of our FSS contracts may constrain our ability to make a profit; |
| our inability to achieve cost savings through our cost reduction efforts could impact our results of operations; |
| a failure to maintain food safety throughout our supply chain and food-borne illness concerns may result in reputational harm and claims of illness or injury that could adversely affect us; |
| governmental regulations, including those relating to food and beverages, the environment, wage and hour, anti-corruption and our government contracts, may subject us to significant liability; |
| our business may suffer if we are unable to hire and retain sufficient qualified personnel or if labor costs increase; |
| our leverage could adversely affect our ability to raise additional capital to fund our operations, limit our ability to react to changes in the economy or our industries, expose us to interest rate risk to the extent of our variable rate debt and prevent us from meeting our obligations; and |
| the other factors set forth under the Risk Factors in this prospectus. |
Before you participate in this offering, you should carefully consider all of the information in this prospectus, including those matters set forth under the heading Risk Factors.
8
Company Information
Each of ARAMARK Holdings Corporation and ARAMARK Corporation is organized under the laws of the State of Delaware. Our business traces its history back to the 1930s.
Our executive offices are located at ARAMARK Tower, 1101 Market Street, Philadelphia, Pennsylvania 19107. Our website is www.aramark.com. Please note that our Internet website address is provided as an inactive textual reference only. Information on our website does not constitute part of this prospectus.
9
Summary of the Terms of the Exchange Offer
On March 7, 2013, ARAMARK Corporation completed the private offering of the outstanding notes. In this prospectus, the term outstanding notes refers to the 5.75% Senior Notes due 2020 issued in the private offering. The term exchange notes refers to the 5.75% Senior Notes due 2020, as registered under the Securities Act of 1933, as amended (the Securities Act). The term notes refers to both the outstanding notes and the exchange notes.
For purposes of this section, we, us, and our refer to ARAMARK Corporation.
General |
In connection with the private offering, we entered into a registration rights agreement with Goldman, Sachs & Co., J.P. Morgan Securities LLC, Barclays Capital Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Wells Fargo Securities, LLC, Rabo Securities USA, Inc., PNC Capital Markets LLC, Santander Investment Securities, Inc. and SMBC Nikko Capital Markets Limited (collectively, the initial purchasers), the initial purchasers of the outstanding notes, in which we and the guarantors agreed, among other things, to use our reasonable best efforts to complete the exchange offer for the outstanding notes within 390 days after the date of issuance of the outstanding notes. |
You are entitled to exchange in the exchange offer your outstanding notes for exchange notes, which are identical in all material respects to the outstanding notes except: |
| the exchange notes have been registered under the Securities Act; |
| the exchange notes are not entitled to any registration rights which are applicable to the outstanding notes under the registration rights agreement; and |
| certain additional interest rate provisions are no longer applicable. |
The exchange offer |
We are offering to exchange up to $1,000,000,000 in principal amount of 5.75% Senior Notes due 2020, which have been registered under the Securities Act, for any and all outstanding notes. |
You may only exchange outstanding notes in denominations of $2,000 and integral multiples of $1,000 in excess of $2,000. |
Subject to the satisfaction or waiver of specified conditions, we will exchange the exchange notes for all respective outstanding notes that are validly tendered and not validly withdrawn prior to the expiration of the exchange offer. We will cause the exchange to be effected promptly after the expiration of the exchange offer. |
Upon completion of the exchange offer, there may be no market for the outstanding notes and you may have difficulty selling them. |
10
Resale |
Based on interpretations by the staff of the Securities and Exchange Commission, or the SEC, set forth in no-action letters issued to third parties referred to below, we believe that you may resell or otherwise transfer exchange notes issued in the exchange offer without complying with the registration and prospectus delivery requirements of the Securities Act, if: |
1. | you are acquiring the exchange notes in the ordinary course of your business; |
2. | you do not have an arrangement or understanding with any person to participate in a distribution of the exchange notes; |
3. | you are not an affiliate of the Issuer within the meaning of Rule 405 under the Securities Act; and |
4. | you are not engaged in, and do not intend to engage in, a distribution of the exchange notes. |
If you are not acquiring the exchange notes in the ordinary course of your business, or if you are engaging in, intend to engage in, or have any arrangement or understanding with any person to participate in, a distribution of the exchange notes, or if you are an affiliate of ARAMARK, then: |
1. | you cannot rely on the position of the staff of the SEC enunciated in Morgan Stanley & Co., Inc. (available June 5, 1991), Exxon Capital Holdings Corporation (available May 13, 1988), as interpreted in the SECs letter to Shearman & Sterling dated July 2, 1993, or similar no-action letters; and |
2. | in the absence of an exception from the position of the SEC stated in (1) above, you must comply with the registration and prospectus delivery requirements of the Securities Act in connection with any resale or other transfer of the exchange notes. |
If you are a broker-dealer and receive exchange notes for your own account in exchange for outstanding notes that you acquired as a result of market-making or other trading activities, you must acknowledge that you will deliver a prospectus, as required by law, in connection with any resale or other transfer of the exchange notes that you receive in the exchange offer. See Plan of Distribution. |
Expiration date |
The exchange offer will expire at 5:00 p.m., New York City time, on , 2014, unless extended by us. We do not currently intend to extend the expiration date of the exchange offer. |
Withdrawal |
You may withdraw the tender of your outstanding notes at any time prior to the expiration date of the exchange offer. We will return to you any of your outstanding notes that are not accepted for any reason for exchange, without expense to you, promptly after the expiration or termination of the exchange offer. |
11
Interest on the exchange notes and the outstanding notes |
Each exchange note will bear interest at the rate per annum set forth on the cover page of this prospectus from the most recent date to which interest has been paid on the outstanding notes. The interest on the exchange notes is payable on March 15 and September 15 of each year. Interest on the outstanding notes accrued from March 7, 2013. No interest will be paid on outstanding notes following their acceptance for exchange. |
Conditions to the exchange offer |
The exchange offer is subject to customary conditions, which we may assert or waive. See The Exchange OfferConditions to the exchange offer. |
Procedures for tendering outstanding notes |
If you wish to participate in the exchange offer, you must complete, sign and date the accompanying letter of transmittal, or a facsimile of the letter of transmittal, according to the instructions contained in this prospectus and the letter of transmittal. You must then mail or otherwise deliver the letter of transmittal, or a facsimile of the letter of transmittal, together with the outstanding notes and any other required documents, to the exchange agent at the address set forth on the cover page of the letter of transmittal. If you hold outstanding notes through The Depository Trust Company, or DTC, and wish to participate in the exchange offer for the outstanding notes, you must comply with the Automated Tender Offer Program procedures of DTC. |
By signing, or agreeing to be bound by, the letter of transmittal, you will represent to us that, among other things: |
1. | you are acquiring the exchange notes in the ordinary course of your business; |
2. | you do not have an arrangement or understanding with any person to participate in a distribution of the exchange notes; |
3. | you are not an affiliate of the Issuer within the meaning of Rule 405 under the Securities Act; and |
4. | you are not engaged in, and do not intend to engage in, a distribution of the exchange notes. |
If you are a broker-dealer and receive exchange notes for your own account in exchange for outstanding notes that you acquired as a result of market-making or other trading activities, you must represent to us that you will deliver a prospectus, as required by law, in connection with any resale or other transfer of such exchange notes. |
If you are not acquiring the exchange notes in the ordinary course of your business, or if you are engaged in, or intend to engage in, or have an arrangement or understanding with any person to participate in, a distribution of the exchange notes, or if you are an affiliate of the Issuer, then you cannot rely on the positions and interpretations of the |
12
staff of the SEC and you must comply with the registration and prospectus delivery requirements of the Securities Act in connection with any resale or other transfer of the exchange notes. |
Special procedures for beneficial owners |
If you are a beneficial owner of outstanding notes that are held in the name of a broker, dealer, commercial bank, trust company or other nominee, and you wish to tender those outstanding notes in the exchange offer, you should contact such person promptly and instruct such person to tender those outstanding notes on your behalf. |
Guaranteed delivery procedures |
If you wish to tender your outstanding notes and your outstanding notes are not immediately available or you cannot deliver your outstanding notes, the letter of transmittal and any other documents required by the letter of transmittal or you cannot comply with the DTC procedures for book-entry transfer prior to the expiration date, then you must tender your outstanding notes according to the guaranteed delivery procedures set forth in this prospectus under The Exchange OfferGuaranteed delivery procedures. |
Effect on holders of outstanding notes |
In connection with the sale of the outstanding notes, we entered into a registration rights agreement with the initial purchasers of the outstanding notes that grants the holders of outstanding notes registration rights. By making the exchange offer, we will have fulfilled a covenant under the registration rights agreement. Accordingly, we will not be obligated to pay additional interest as described in the registration rights agreement. If you do not tender your outstanding notes in the exchange offer, you will continue to be entitled to all the rights and limitations applicable to the outstanding notes as set forth in the indenture, except we will not have any further obligation to you to provide for the registration of the outstanding notes under the registration rights agreement and we will not be obligated to pay additional interest as described in the registration rights agreement. See Registration Rights. |
To the extent that outstanding notes are tendered and accepted in the exchange offer, the trading market for outstanding notes could be adversely affected. |
Consequences of failure to exchange |
All untendered outstanding notes will continue to be subject to the restrictions on transfer set forth in the outstanding notes and in the indenture. In general, the outstanding notes may not be offered or sold, unless registered under the Securities Act, except pursuant to an exemption from, or in a transaction not subject to, the Securities Act and applicable state securities laws. Other than in connection with the exchange offer, we do not currently anticipate that we will register the outstanding notes under the Securities Act. |
Material income tax considerations |
The exchange of outstanding notes for exchange notes in the exchange offer will not be a taxable event for United States federal income tax purposes. See United States Federal Income Tax Consequences of the Exchange Offer. |
13
Use of proceeds |
We will not receive any cash proceeds from the issuance of exchange notes in the exchange offer. |
Exchange agent |
The Bank of New York Mellon whose address and telephone number are set forth in the section captioned The Exchange OfferExchange agent of this prospectus, is the exchange agent for the exchange offer. |
14
Summary of the Terms of the Exchange Notes
The terms of the exchange notes are identical in all material respects to the terms of the outstanding notes, except that the exchange notes will not contain terms with respect to transfer restrictions or additional interest upon a failure to fulfill certain of our obligations under the registration rights agreement. The exchange notes will evidence the same debt as the outstanding notes. The exchange notes will be governed by the same indenture under which the outstanding notes were issued and the exchange notes and the outstanding notes will constitute a single class and series of notes for all purposes under the indenture. The following summary is not intended to be a complete description of the terms of the notes. For a more detailed description of the notes, see Description of Notes.
For purposes of this section, we, us, and our refer to ARAMARK Corporation.
Issuer |
ARAMARK Corporation. |
Securities |
$1,000,000,000 in aggregate principal amount of 5.75% senior notes due 2020. |
Maturity date |
March 15, 2020. |
Interest |
Interest on the exchange notes is payable on March 15 and September 15 of each year. |
Interest on the exchange notes will accrue at the rate of 5.75% per annum. |
Interest on the outstanding notes accrued from March 7, 2013. |
Guarantees |
The exchange notes will be guaranteed on an unsecured senior basis by ARAMARK Holdings Corporation and each of our wholly-owned domestic subsidiaries that guarantees our senior secured credit facilities. All of our domestic subsidiaries, other than our receivables facility subsidiary and certain immaterial subsidiaries, are expected to be guarantors of the exchange notes. |
Ranking |
The exchange notes will be our senior unsecured obligations and will: |
| rank senior in right of payment to our future debt and other obligations that are, by their terms, expressly subordinated in right of payment to the notes; |
| rank equal in right of payment to all of our future unsecured senior debt; |
| rank equal in right of payment to all of our existing and future senior debt and other obligations that are not, by their terms, expressly subordinated in right of payment to the notes, including our guarantee of our senior secured credit facilities; and |
| be effectively subordinated to all of our existing and future secured debt (including obligations under our senior secured credit facilities), to the extent of the value of the assets securing such debt, and be structurally subordinated to all obligations of each of our subsidiaries that is not a guarantor of the notes. |
15
Similarly, each of the exchange note guarantees will be senior unsecured obligations of the applicable guarantor and will: |
| rank senior in right of payment to all of the applicable guarantors existing and future debt and other obligations that are, by their terms, expressly subordinated in right of payment to the notes; |
| rank equal in right of payment to all of the applicable guarantors existing and future senior debt and other obligations that are not, by their terms, expressly subordinated in right of payment to the notes, including their guarantees of the senior secured credit facilities; and |
| be effectively subordinated to all of the applicable guarantors existing and future secured debt (including such guarantors guarantee under our senior secured credit facilities), to the extent of the value of the assets securing such debt, and be structurally subordinated to all obligations of any subsidiary of a guarantor if that subsidiary is not also a guarantor of the notes. |
As of September 27, 2013, (1) the exchange notes and related guarantees would have ranked effectively junior to approximately $4,788.3 million of senior secured indebtedness (including $52.4 million of payment obligations relating to capital lease obligations and $300.0 million under our receivables facility) and (2) we would have had an additional $579.0 million of unutilized capacity under our revolving credit facility, after taking into account outstanding letters of credit. Such amounts do not give effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering. |
Optional redemption |
Prior to March 15, 2015, we may redeem the exchange notes, in whole or in part, at a price equal to 100% of the principal amount thereof plus the make-whole premium described under Description of NotesOptional Redemption, plus accrued and unpaid interest, if any, to the date of redemption. |
We may also redeem any of the exchange notes at any time on or after March 15, 2015, in whole or in part, at the redemption prices described under Description of NotesOptional Redemption, plus accrued and unpaid interest, if any, to the date of redemption. |
In addition, prior to March 15, 2015, we may redeem up to 40% of the aggregate principal amount of the exchange notes using the proceeds of certain equity offerings at a price equal to 105.750% of the principal amount thereof plus accrued and unpaid interest, if any, to but not including the redemption date. |
Change of control and asset sales |
If we experience specific kinds of changes of control, we will be required to make an offer to purchase the exchange notes at a purchase price of 101% of the principal amount thereof, plus accrued and unpaid interest to the purchase date. If we sell assets under certain |
16
circumstances, we will be required to make an offer to purchase the exchange notes at a purchase price of 100% of the principal amount thereof, plus accrued and unpaid interest to the purchase date. See Description of NotesRepurchase at the Option of Holders. |
Certain covenants |
The indenture governing the exchange notes will restrict our ability and the ability of our restricted subsidiaries to, among other things: |
| incur additional indebtedness or issue certain preferred shares; |
| pay dividends and make certain distributions, investments and other restricted payments; |
| create certain liens; |
| sell assets; |
| enter into transactions with affiliates; |
| limit the ability of restricted subsidiaries to make payments to us; |
| enter into sale and leaseback transactions; |
| merge, consolidate, sell or otherwise dispose of all or substantially all of our assets; and |
| designate our subsidiaries as unrestricted subsidiaries. |
These covenants are subject to important exceptions and registration rights qualifications described under the headings Description of Notes. If the exchange notes are assigned an investment grade rating by Standard & Poors Rating Services (S&P) and Moodys Investor Service, Inc. (Moodys) and no default has occurred and is continuing, certain covenants will be suspended. If either rating should subsequently decline below investment grade, the suspended covenants will be reinstated. |
Absence of Public Market for the Notes |
The exchange notes are a new issue of securities and there is currently no established trading market for the exchange notes. Accordingly, there can be no assurance as to the development or liquidity of any market for the exchange notes. |
Use of proceeds |
We will not receive any cash proceeds from the issuance of the exchange notes in the exchange offer. See Use of Proceeds. |
17
Summary Consolidated Financial Data
The following table sets forth summary consolidated financial data as of the dates and for the periods indicated. The summary consolidated financial data for the fiscal years 2013, 2012 and 2011 have been derived from our consolidated financial statements appearing elsewhere in this prospectus, which have been audited by KPMG LLP. The summary consolidated financial data as of September 30, 2011 has been derived from our consolidated financial statements that are not included in this prospectus, which have been audited by KPMG LLP.
The financial data set forth in this table should be read in conjunction with the sections titled Selected Consolidated Financial Data, Managements Discussion and Analysis of Financial Condition and Results of Operations and Unaudited Pro Forma Financial Information, included elsewhere in this prospectus, as well as with our consolidated financial statements and related notes that are also included elsewhere in this prospectus.
Fiscal year(1) | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(dollars in millions, except per share data) | ||||||||||||
Statement of operations data: |
||||||||||||
Sales |
$ | 13,946 | $ | 13,505 | $ | 13,082 | ||||||
Costs and expenses: |
||||||||||||
Cost of services provided |
12,661 | 12,191 | 11,836 | |||||||||
Depreciation and amortization |
542 | 529 | 511 | |||||||||
Selling and general corporate expenses |
228 | 203 | 188 | |||||||||
|
|
|
|
|
|
|||||||
Operating income |
515 | 582 | 547 | |||||||||
Interest and other financing costs, net |
424 | 457 | 451 | |||||||||
|
|
|
|
|
|
|||||||
Income from continuing operations before income taxes |
91 | 125 | 96 | |||||||||
Provision (benefit) for income taxes |
20 | 18 | (1 | ) | ||||||||
|
|
|
|
|
|
|||||||
Income from continuing operations |
71 | 107 | 97 | |||||||||
|
|
|
|
|
|
|||||||
Loss from discontinued operations, net of tax(2) |
(1 | ) | | (12 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income |
70 | 107 | 85 | |||||||||
|
|
|
|
|
|
|||||||
Less: Net income attributable to noncontrolling interests |
1 | 3 | 1 | |||||||||
|
|
|
|
|
|
|||||||
Net income attributable to ARAMARK stockholders |
$ | 69 | $ | 104 | $ | 84 | ||||||
|
|
|
|
|
|
|||||||
Pro forma net income attributable to ARAMARK stockholders(3) |
$ | 116 | ||||||||||
|
|
|||||||||||
Pro forma net income attributable to ARAMARK stockholders (as adjusted)(4) |
$ | 109 | ||||||||||
|
|
|||||||||||
Per share data: |
||||||||||||
Basic: |
||||||||||||
Income from continuing operations |
$ | 0.35 | $ | 0.51 | $ | 0.47 | ||||||
Loss from discontinued operations |
(0.01 | ) | | (0.06 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income attributable to ARAMARK stockholders |
$ | 0.34 | $ | 0.51 | $ | 0.41 | ||||||
|
|
|
|
|
|
|||||||
Diluted: |
||||||||||||
Income from continuing operations |
$ | 0.34 | $ | 0.49 | $ | 0.46 | ||||||
Loss from discontinued operations |
|
(0.01 |
) |
| (0.06 | ) | ||||||
|
|
|
|
|
|
|||||||
Net income attributable to ARAMARK stockholders |
$ | 0.33 | $ | 0.49 | $ | 0.40 | ||||||
|
|
|
|
|
|
|||||||
Pro forma basic: |
||||||||||||
Income from continuing operations |
$ | 0.58 | ||||||||||
Loss from discontinued operations |
|
(0.01 |
) |
|||||||||
|
|
|||||||||||
Net income attributable to ARAMARK stockholders(3) |
$ | 0.57 | ||||||||||
|
|
18
Fiscal year(1) | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
(dollars in millions, except per share data) | ||||||||||||
Pro forma diluted: |
||||||||||||
Income from continuing operations |
$ | 0.56 | ||||||||||
Loss from discontinued operations |
|
(0.01 |
) |
|||||||||
|
|
|||||||||||
Net income attributable to ARAMARK stockholders(3) |
$ | 0.55 | ||||||||||
|
|
|||||||||||
Pro forma, as adjusted, basic: |
||||||||||||
Income from continuing operations |
$ | 0.48 | ||||||||||
Loss from discontinued operations |
(0.01 | ) | ||||||||||
|
|
|||||||||||
Net income attributable to ARAMARK stockholders(4) |
$ | 0.47 | ||||||||||
|
|
|||||||||||
Pro forma, as adjusted, diluted: |
||||||||||||
Income from continuing operations |
$ | 0.47 | ||||||||||
Loss from discontinued operations |
(0.01 | ) | ||||||||||
|
|
|||||||||||
Net income attributable to ARAMARK stockholders(4) |
$ | 0.46 | ||||||||||
|
|
|||||||||||
Cash dividend per share(5) |
$ | | $ | | $ | 3.50 | ||||||
Statement of cash flows data: |
||||||||||||
Net cash provided by/(used in): |
||||||||||||
Operating activities(6) |
$ | 696 | $ | 692 | $ | 304 | ||||||
Investing activities |
(385 | ) | (482 | ) | (363 | ) | ||||||
Financing activities(6) |
(336 | ) | (287 | ) | 112 | |||||||
Balance sheet data (at period end): |
||||||||||||
Cash and cash equivalents |
$ |
111 |
|
$ | 137 | $ | 213 | |||||
Total assets(6) |
10,267 | 10,487 | 10,523 | |||||||||
Total debt (including current portion of long term debt)(6)(7) |
5,824 | 6,009 | 6,232 | |||||||||
Total equity(5) |
904 | 967 | 882 | |||||||||
Other financial data: |
||||||||||||
Adjusted Net Income(8) |
$ | 248 | $ | 209 | $ | 200 | ||||||
Adjusted Operating Income(8) |
798 | 750 | 717 | |||||||||
Adjusted EBITDA(8) |
1,185 | 1,126 | 1,075 | |||||||||
Capital expenditures, net of disposals |
382 | 343 | 272 |
(1) | Fiscal years 2013, 2012 and 2011 refer to the fiscal years ended September 27, 2013, September 28, 2012 and September 30, 2011, respectively. All periods presented are 52-week periods. |
(2) | During fiscal 2011, the Company completed the sale of its wholly-owned subsidiary, Galls, for approximately $75.0 million in cash. The transaction resulted in a pretax loss of approximately $1.5 million (after-tax loss of approximately $12.0 million). Galls is accounted for as a discontinued operation. Galls results of operations have been removed from the Companys results of continuing operations for all periods presented. |
(3) | The pro forma net income attributable to ARAMARK stockholders assumes a reduction of interest expense, net of tax, of approximately $47 million for fiscal 2013 related to the debt refinancing that occurred during the second quarter of fiscal 2013. The pro forma net income attributable to ARAMARK stockholders and per share data assumes the debt refinancing occurred at the beginning of fiscal 2013. |
(4) | The pro forma net income attributable to ARAMARK stockholders (as adjusted) and per share data (as adjusted) for fiscal 2013 assumes $522.2 million of the proceeds from the initial public offering are used to repay amounts due under our senior secured credit facilities. Pro forma net income attributable to ARAMARK stockholders (as adjusted) for fiscal 2013 assumes a reduction of interest expense, net of tax, of approximately $11.9 million related to such repayment of amounts due under our senior secured credit facilities and an increase in share-based compensation expense of approximately $22.6 million for the ongoing portion of the non-cash charge related to the modification of the terms of certain performance-based options outstanding. The pro forma net income attributable to ARAMARK stockholders (as adjusted) and per share data (as adjusted) assumes the initial public offering and the related application of net proceeds was completed at the beginning of fiscal 2013. |
19
(5) | During fiscal 2011, the Company paid a dividend of approximately $711 million to its stockholders. On October 29, 2012, we completed the spin-off of our majority interest in Seamless North America, LLC, an online and mobile food ordering service, to our stockholders in the form of a dividend. Each stockholder received one share of the common stock of Seamless Holdings, a newly formed company created to hold our former interest in Seamless North America, LLC, for each share of our common stock held as of the record date. |
(6) | In the first quarter of fiscal 2011, the Company adopted the new authoritative accounting guidance regarding transfers of financial assets. The impact upon adoption resulted in the recognition of both the receivables securitized under the program and the borrowings they collateralize on the Consolidated Balance Sheet, which led to a $220.9 million increase in Receivables and Long-Term Borrowings. As a result of implementing the new guidance, funding under the agreement of $220.9 million on October 2, 2010 was reflected in the Companys Consolidated Statement of Cash Flows as a use of cash from the securitization of accounts receivable under net cash provided by/(used in) operating activities and as a source of cash under net cash provided by/(used in) financing activities. |
(7) | During fiscal 2011, the Company completed a private placement of $600 million, net of a 1% discount, in aggregate principal amount of 8.625% / 9.375% Senior Notes due 2016. In the second quarter of fiscal 2013, the Company completed a refinancing, repurchasing ARAMARK Corporations outstanding 8.50% Senior Notes due 2015 and Senior Floating Rate Notes due 2015 and our 8.625% / 9.375% Senior Notes due 2016. The Company refinanced that debt with new term loan borrowings under its senior secured credit facilities and the issuance of the outstanding notes. |
(8) | We use Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA as supplemental measures to evaluate our performance. Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA are not measurements of financial performance under generally accepted accounting principles in the United States, or U.S. GAAP. Adjusted Net Income represents net income adjusted to eliminate the impact from discontinued operations, net of tax; the increased amortization of acquisition-related customer relationship intangible assets and depreciation of property and equipment resulting from the 2007 Transaction; the impact of changes in the fair value of our gasoline and diesel fuel derivative instruments; severance and other charges; and share-based compensation, less the tax impact of these adjustments. Adjusted Operating Income represents Adjusted Net Income further adjusted to exclude the impact from income taxes and interest and other financing costs, net. Adjusted EBITDA represents Adjusted Operating Income further adjusted to exclude the impact of all other depreciation and amortization expense. |
20
The following table presents a reconciliation of the non-GAAP financial measures used in this prospectus. A directly comparable U.S. GAAP measure to Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA is net income. Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA are reconciled from net income as follows:
Fiscal year | ||||||||||||
(unaudited, dollars in millions) | 2013 | 2012 | 2011 | |||||||||
Net Income (as reported) |
$ | 70 | $ | 107 | $ | 85 | ||||||
Adjustment: |
||||||||||||
Loss from Discontinued Operations, net of tax |
1 | | 12 | |||||||||
Increased Amortization of Acquisition-Related Customer Relationship Intangible Assets and Depreciation of Property and Equipment Resulting from the 2007 Transaction |
155 | 153 | 153 | |||||||||
Change in Fair Value of Gasoline and Diesel Fuel Derivative Instruments |
1 | (1 | ) | | ||||||||
Severance and Other Charges (a) |
108 | | | |||||||||
Share-Based Compensation |
19 | 16 | 17 | |||||||||
Tax Impact of Adjustments to Adjusted Net Income (b) |
(106 | ) | (66 | ) | (67 | ) | ||||||
|
|
|
|
|
|
|||||||
Adjusted Net Income |
$ | 248 | $ | 209 | $ | 200 | ||||||
Adjustment: |
||||||||||||
Tax Impact of Adjustments to Adjusted Net Income (b) |
106 | 66 | 67 | |||||||||
Provision (Benefit) for Income Taxes |
20 | 18 | (1 | ) | ||||||||
Interest and Other Financing Charges, net |
424 | 457 | 451 | |||||||||
|
|
|
|
|
|
|||||||
Adjusted Operating Income |
$ | 798 | $ | 750 | $ | 717 | ||||||
Adjustment: |
||||||||||||
Increased Amortization of Acquisition-Related Customer Relationship Intangible Assets and Depreciation of Property and Equipment Resulting from the 2007 Transaction |
(155 | ) | (153 | ) | (153 | ) | ||||||
Depreciation and Amortization |
542 | 529 | 511 | |||||||||
|
|
|
|
|
|
|||||||
Adjusted EBITDA |
$ | 1,185 | $ | 1,126 | $ | 1,075 |
(a) | Severance and Other Charges includes severance and related costs of $63.9 million, goodwill impairments of $11.7 million, asset write-offs of $12.0 million and costs related to transformation initiatives of $20.7 million for fiscal 2013. |
(b) | Represents the tax benefit, using an effective tax rate of 39.5%, associated with the adjusted expenses. |
We use Adjusted Net Income as a supplemental measure of our overall profitability because it excludes the impact of the non-cash amortization of certain intangible assets and depreciation of property and equipment that were created at the time of the 2007 Transaction, non-cash share-based compensation expense and other items which are not indicative of our ongoing operational performance. Similarly, we use Adjusted Operating Income and Adjusted EBITDA as supplemental measures of our operating profitability and to evaluate and control our cash operating costs because they exclude the impact of the items noted above relating to the calculation of Adjusted Net Income that are not indicative of our ongoing operational performance. We believe the presentation of Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA is appropriate to provide additional information to investors about our operating performance.
Our presentation of these measures has limitations as an analytical tool, and should not be considered in isolation or as a substitute for analysis of our results as reported under U.S. GAAP. You should not consider these measures as alternatives to net income or operating income, determined in accordance with U.S. GAAP. Adjusted Net Income, Adjusted Operating Income and Adjusted EBITDA, as presented by us, may
21
not be comparable to other similarly titled measures of other companies because not all companies use identical calculations. Moreover, our definition of Adjusted EBITDA as presented here, although similar, is not the same as Covenant EBITDA and Covenant Adjusted EBITDA, which are calculated for ARAMARK Corporation in connection with our financial covenants in the indenture governing our notes and in our senior secured credit facilities.
22
You should carefully consider each of the following risks as well as the other information included in this prospectus, including Selected Consolidated Financial Data, Managements Discussion and Analysis of Financial Condition and Results of Operations and our financial statements and related notes, before participating in the exchange offer. Any of the following risks could materially and adversely affect our business, financial condition or results of operations. In such a case, you may lose all or part of your original investment.
Risks Related to Our Business
Unfavorable economic conditions have, and in the future could, adversely affect our results of operations and financial condition.
A national or international economic downturn has, and in the future could, reduce demand for our services in each of our reportable segments, which may result in the loss of business or increased pressure to contract for business on less favorable terms than our generally preferred terms. Economic hardship among our client base can also impact our business. For example, during the recent period of economic distress, certain of our businesses have been negatively affected by reduced employment levels at our clients locations and declining levels of business and consumer spending. In addition, insolvency experienced by clients, especially larger clients, has, and in the future could, make it difficult for us to collect amounts we are owed and could result in the voiding of existing contracts. Similarly, financial distress or insolvency, if experienced by our key vendors and service providers such as insurance carriers, could significantly increase our costs.
The portion of our food and support services business that provides services in public facilities such as convention centers and tourist and recreational attractions is particularly sensitive to an economic downturn, as expenditures to take vacations or hold or attend conventions are funded to a partial or total extent by discretionary income. A decrease in such discretionary income on the part of potential attendees at our clients facilities has, and in the future could, result in a reduction in our sales. Further, because our exposure to the ultimate consumer of what we provide is limited by our dependence on our clients to attract those consumers to their facilities and events, our ability to respond to such a reduction in attendance, and therefore our sales, is limited. There are many factors that could reduce the numbers of events in a facility or attendance at an event, including labor disruptions involving sports leagues, poor performance by the teams playing in a facility, number of playoff games, inclement weather and adverse economic conditions which would adversely affect sales and profits.
Natural disasters, global calamities, sport strikes and other adverse incidents could adversely affect our sales and operating results.
Natural disasters, including hurricanes and earthquakes, or global calamities have, and in the future could, affect our sales and operating results. In the past, ARAMARK experienced lost and closed client locations, business disruptions and delays, the loss of inventory and other assets, and the effect of the temporary conversion of a number of ARAMARK client locations to provide food and shelter to those left homeless by storms. In addition, any terrorist attacks, particularly against venues that we serve, and the national and global military, diplomatic and financial response to such attacks or other threats, also may adversely affect our sales and operating results. Sports strikes, particularly those that are for an extended time period, can reduce our sales and have an adverse impact on our results of operations. For example, in 2012, the collective bargaining agreement for the players in the National Hockey League expired. As a result, the 2012/2013 season was significantly shortened and our sales and profits were negatively impacted. Any decrease in the number of games played would mean a loss of sales and reduced profits at the venues we service.
23
Our failure to retain our current clients, renew our existing client contracts and obtain new client contracts could adversely affect our business.
Our success depends on our ability to retain our current clients, renew our existing client contracts and obtain new business. Our ability to do so generally depends on a variety of factors, including the quality, price and responsiveness of our services, as well as our ability to market these services effectively and differentiate ourselves from our competitors. We cannot assure you that we will be able to obtain new business, renew existing client contracts at the same or higher levels of pricing or that our current clients will not turn to competitors, cease operations, elect to self-operate or terminate contracts with us. The failure to renew a significant number of our existing contracts would have a material adverse effect on our business and results of operations and the failure to obtain new business could have an adverse impact on our growth.
We may be adversely affected if clients reduce their outsourcing or use of preferred vendors.
Our business and growth strategies depend in large part on the continuation of a current trend toward outsourcing services. Clients will outsource if they perceive that outsourcing may provide quality services at a lower overall cost and permit them to focus on their core business activities. We cannot be certain that this trend will continue or not be reversed or that clients that have outsourced functions will not decide to perform these functions themselves.
In addition, labor unions representing employees of some of our current and prospective clients have occasionally opposed the outsourcing trend to the extent that they believed that current union jobs for their memberships might be lost. In these cases, unions typically seek to prevent public sector entities from outsourcing and if that fails, ensure that jobs that are outsourced continue to be unionized, which can reduce our pricing and operational flexibility with respect to such businesses.
We have also identified a trend among some of our clients toward the retention of a limited number of preferred vendors to provide all or a large part of their required services. We cannot be certain that this trend will continue or not be reversed or, if it does continue, that we will be selected and retained as a preferred vendor to provide these services. Unfavorable developments with respect to either outsourcing or the use of preferred vendors could have a material adverse effect on our business and results of operations.
Competition in our industries could adversely affect our results of operations.
There is significant competition in the food and support services business from local, regional, national and international companies, of varying sizes, many of which have substantial financial resources. Our ability to successfully compete depends on our ability to provide quality services at a reasonable price and to provide value to our clients and consumers. Certain of our competitors have been and may in the future be willing to underbid us or accept a lower profit margin or expend more capital in order to obtain or retain business. Also, certain regional and local service providers may be better established than we are within a specific geographic region. In addition, existing or potential clients may elect to self-operate their food and support services, eliminating the opportunity for us to serve them or compete for the account. While we have a significant international presence, certain of our competitors have more extensive portfolios of services and a broader geographic footprint than we do. Therefore, we may be placed at a competitive disadvantage for clients who require multiservice or multinational bids.
We have a number of major national competitors in the uniform rental industry with significant financial resources. In addition, there are regional and local uniform suppliers whom we believe may have strong client loyalty. While most clients focus primarily on quality of service, uniform rental also is a price-sensitive service and if existing or future competitors seek to gain clients or accounts by reducing prices, we may be required to lower prices, which would reduce our sales and profits. The uniform rental business requires investment capital for growth. Failure to maintain capital investment in this business would put us at a competitive disadvantage. In
24
addition, due to competition in our uniform rental business, it has become increasingly important for us to source garments and other products overseas, particularly from Asia. To the extent we are not able to effectively source such products from Asia and gain the related cost savings, we may be at a further disadvantage in relation to some of our competitors.
Increased operating costs and obstacles to cost recovery due to the pricing and cancellation terms of our food and support services contracts may constrain our ability to make a profit.
Our profitability can be adversely affected to the extent we are faced with cost increases for food, wages, other labor related expenses (including workers compensation, state unemployment insurance and federal or state mandated health benefits and other healthcare costs), insurance, fuel, utilities, piece goods, clothing and equipment, especially to the extent we are unable to recover such increased costs through increases in the prices for our products and services, due to one or more of general economic conditions, competitive conditions or contractual provisions in our client contracts. Oil and natural gas prices have fluctuated significantly in the last several years. Substantial increases in the cost of fuel and utilities have historically resulted in substantial cost increases in our uniform rental business, and to a lesser extent in our food and support services segments. From time to time we have experienced increases in our food costs. While we believe a portion of these increases were attributable to fuel prices, we believe the increases also resulted from rising global food demand and the increased production of biofuels such as ethanol. In addition, food prices can fluctuate as a result of temporary changes in supply, including as a result of incidences of severe weather such as droughts, heavy rains and late freezes. We have two main types of contract in our food and facilities business: profit and loss contracts in which we bear all of the expenses of the contract but gain the benefit of the sales, and client interest contracts in which our clients share some or all of the expenses and gain some or all of the sales. Approximately 73% of our food and support services sales in fiscal 2013 are from profit and loss contracts under which we have limited ability to pass on cost increases to our clients. Therefore, in many cases, we will have to absorb any cost increases, which may adversely impact our operating results.
The amount of risk that we bear and our profit potential vary depending on the type of contract under which we provide food and support services. We may be unable to fully recover costs on contracts that limit our ability to increase prices. In addition, we provide many of our services under contracts of indefinite term, which are subject to termination on short notice by either party without cause. Some of our profit and loss contracts contain minimum guaranteed remittances to our client regardless of our sales or profit at the facility involved. If sales do not exceed costs under a contract that contains minimum guaranteed commissions, we will bear any losses which are incurred, as well as the guaranteed commission. Generally, our contracts also limit our ability to raise prices on the food, beverages and merchandise we sell within a particular facility without the clients consent. In addition, some of our contracts exclude certain events or products from the scope of the contract, or give the client the right to modify the terms under which we may operate at certain events. The payment of guaranteed commissions to a client under a profit and loss contract that is not profitable, the refusal by individual clients to permit the sale of some products at their venues, the imposition by clients of limits on prices which are not economically feasible for us, or decisions by clients to curtail their use of the services we provide could adversely affect our sales and results of operations. For example, during the recent economic downturn, certain of our business and industry clients curtailed their employees use of catering, which had a negative effect on our sales and profits.
Our inability to achieve cost savings through our cost reduction efforts could impact our results of operations.
The achievement of the goals we set in our plans and our future financial performance is dependent, in part, on our efforts to reduce our cost structure through various cost reduction initiatives. One of our recent initiatives is the establishment of a North American business services center that will bring together certain back office operations that are currently dispersed in many areas. Successful execution of our cost reduction initiatives is not assured and there are several obstacles to success, including our ability to enable the information technology and business process required for these efforts, as well as the timing of the transition to our business services center.
25
In addition, there can be no assurance that our efforts, if properly executed, will result in our desired outcome of improved financial performance.
Our expansion strategy involves risks.
We may seek to acquire companies or interests in companies or enter into joint ventures that complement our business, and our inability to complete acquisitions, integrate acquired companies successfully or enter into joint ventures may render us less competitive. At any given time, we may be evaluating one or more acquisitions or engaging in acquisition negotiations although we are not currently contemplating any acquisition transaction that would be material to our business. We cannot be sure that we will be able to continue to identify acquisition candidates or joint venture partners on commercially reasonable terms or at all. If we make acquisitions, we also cannot be sure that any benefits anticipated from the acquisitions will actually be realized. Likewise, we cannot be sure that we will be able to obtain necessary financing for acquisitions. Such financing could be restricted by the terms of our debt agreements or it could be more expensive than our current debt. The amount of such debt financing for acquisitions could be significant and the terms of such debt instruments could be more restrictive than our current covenants. In addition, our ability to control the planning and operations of our joint ventures and other less than majority-owned affiliates may be subject to numerous restrictions imposed by the joint venture agreements and majority stockholders. Our joint venture partners may also have interests which differ from ours.
The process of integrating acquired operations into our existing operations may result in operating, contract and supply chain difficulties, such as the failure to retain clients or management personnel and problems coordinating technology and supply chain arrangements. Also, in connection with any acquisition, we could fail to discover liabilities of the acquired company for which we may be responsible as a successor owner or operator in spite of any investigation we make prior to the acquisition. In addition, labor laws in certain countries may require us to retain more employees than would otherwise be optimal from entities we acquire. Such difficulties may divert significant financial, operational and managerial resources from our existing operations, and make it more difficult to achieve our operating and strategic objectives. The diversion of management attention, particularly in a difficult operating environment, may affect our sales. Similarly, our business depends on effective information technology systems and implementation delays or poor execution of the integration of different information technology systems could disrupt our operations and increase costs. Possible future acquisitions could result in the incurrence of additional debt and related interest expense or contingent liabilities and amortization expenses related to intangible assets, which could have a material adverse effect on our financial condition, operating results and/or cash flow. In addition, goodwill resulting from business combinations represents a significant portion of our assets. If the goodwill were deemed to be impaired, we would need to take a charge to earnings to write down the goodwill to its fair value.
A failure to maintain food safety throughout our supply chain and food-borne illness concerns may result in reputational harm and claims of illness or injury that could adversely affect us.
Food safety is a top priority for us and we dedicate substantial resources to ensuring that our consumers enjoy safe, quality food products. Claims of illness or injury relating to food quality or food handling are common in the food service industry, and a number of these claims may exist at any given time. Because food safety issues could be experienced at the source or by food suppliers or distributors, food safety could, in part, be out of our control. Regardless of the source or cause, any report of food-borne illness or other food safety issues such as food tampering or contamination at one of our locations could adversely impact our reputation, hindering our ability to renew contracts on favorable terms or to obtain new business, and have a negative impact on our sales. Even instances of food-borne illness, food tampering or contamination at a location served by one of our competitors could result in negative publicity regarding the food service industry generally and could negatively impact our sales. Future food product recalls and health concerns associated with food contamination may also increase our raw materials costs and, from time to time, disrupt our business.
26
Governmental regulations relating to food and beverages may subject us to significant liability.
The regulations relating to each of our food and support services segments are numerous and complex. A variety of regulations at various governmental levels relating to the handling, preparation and serving of food (including, in some cases, requirements relating to the temperature of food), and the cleanliness of food production facilities and the hygiene of food-handling personnel are enforced primarily at the local public health department level. We cannot assure you that we are in full compliance with all applicable laws and regulations at all times or that we will be able to comply with any future laws and regulations. Furthermore, legislation and regulatory attention to food safety is very high. Additional or amended regulations in this area may significantly increase the cost of compliance or expose us to liabilities.
We serve alcoholic beverages at many facilities, and must comply with applicable licensing laws, as well as state and local service laws, commonly called dram shop statutes. Dram shop statutes generally prohibit serving alcoholic beverages to certain persons such as an individual who is intoxicated or a minor. If we violate dram shop laws, we may be liable to the patron and/or third parties for the acts of the patron. Although we sponsor regular training programs designed to minimize the likelihood of such a situation, we cannot guarantee that intoxicated or minor patrons will not be served or that liability for their acts will not be imposed on us. There can be no assurance that additional regulation in this area would not limit our activities in the future or significantly increase the cost of regulatory compliance. We must also obtain and comply with the terms of licenses in order to sell alcoholic beverages in the states in which we serve alcoholic beverages. Some of our contracts require us to pay liquidated damages during any period in which our liquor license for the facility is suspended, and most contracts are subject to termination if we lose our liquor license for the facility.
If we fail to comply with requirements imposed by applicable law or other governmental regulations, we could become subject to lawsuits, investigations and other liabilities and restrictions on our operations that could significantly and adversely affect our business.
We are subject to governmental regulation at the federal, state, international, national, provincial and local levels in many areas of our business, such as employment laws, wage and hour laws, discrimination laws, immigration laws, human health and safety laws, import and export controls and customs laws, environmental laws, false claims or whistleblower statutes, minority, women and disadvantaged business enterprise statutes, tax codes, antitrust and competition laws, consumer protection statutes, public procurement regulations, intellectual property laws, food safety and sanitation laws, cost and accounting principles, the Foreign Corrupt Practices Act, the U.K. Bribery Act, other anti-corruption laws, lobbying laws, motor carrier safety laws, data privacy laws and alcohol licensing and service laws.
From time to time, both federal and state governmental agencies have conducted reviews of our billing practices as part of investigations or audits of providers of services under governmental contracts, or otherwise. We also receive requests for information from governmental agencies in connection with these reviews. While we attempt to comply with all applicable laws and regulations, we cannot assure you that we are in full compliance with all applicable laws and regulations or interpretations of these laws and regulations at all times or that we will be able to comply with any future laws, regulations or interpretations of these laws and regulations.
If we fail to comply with applicable laws and regulations, including those referred to above, we may be subject to investigations, criminal sanctions or civil remedies, including fines, penalties, damages, reimbursement, injunctions, seizures or debarments from government contracts or the loss of liquor licenses. The cost of compliance or the consequences of non-compliance, including debarments, could have a material adverse effect on our business and results of operations. In addition, governmental units may make changes in the regulatory frameworks within which we operate that may require either the corporation as a whole or individual businesses to incur substantial increases in costs in order to comply with such laws and regulations.
27
Changes in, new interpretations of or changes in the enforcement of the governmental regulatory framework may affect our contracts and contract terms and may reduce our sales or profits.
A portion of our sales, estimated to be approximately 11.2% in fiscal 2013, is derived from business with U.S. federal, state and local governments and agencies. Changes or new interpretations in, or changes in the enforcement of, the statutory or regulatory framework applicable to services provided under governmental contracts or bidding procedures, including an adverse change in government spending policies or appropriations (including budget cuts at the federal level resulting from sequestration or reductions in government spending resulting from the October 2013 government shut down), budget priorities or revenue levels, particularly by our food and support services businesses, could result in fewer new contracts or contract renewals, modifications to the methods we apply to price government contracts, or in contract terms of shorter duration than we have historically experienced. Any of these changes could result in lower sales or profits than we have historically achieved, which could have an adverse effect on our results of operations.
Environmental regulations may subject us to significant liability and limit our ability to grow.
We are subject to various environmental protection laws and regulations, including the U.S. federal Clean Water Act, Clean Air Act, Resource Conservation and Recovery Act, Comprehensive Environmental Response, Compensation, and Liability Act and similar state statutes and regulations governing the use, management, and disposal of chemicals and hazardous materials. In particular, industrial laundries in our uniform rental business use certain detergents and cleaning chemicals to launder garments and other merchandise. The residues from such detergents and chemicals and residues from soiled garments and other merchandise laundered at our facilities may result in potential discharges to air and to water (through sanitary sewer systems and publicly owned treatment works) and may be contained in waste generated by our wastewater treatment systems.
Our industrial laundries are subject to certain volume and chemical air and water pollution discharge limits, monitoring, permitting and recordkeeping requirements.
We own or operate aboveground and underground storage tank systems at some locations to store petroleum products for use in our or our clients operations. Certain of these storage tank systems also are subject to performance standards, periodic monitoring, and recordkeeping requirements. We also may use and manage chemicals and hazardous materials in our operations from time to time. In the course of our business, we may be subject to penalties and fines for non-compliance with environmental protection laws and regulations and we may settle, or contribute to the settlement of, actions or claims relating to the management of underground storage tanks and the handling and disposal of chemicals or hazardous materials. We may, in the future, be required to expend material amounts to rectify the consequences of any such events.
In addition, changes to environmental laws may subject us to additional costs or cause us to change aspects of our business. Under U.S. federal and state environmental protection laws, as an owner or operator of real estate we may be liable for the costs of removal or remediation of certain hazardous materials located on or in or emanating from our owned or leased property or our clients properties, as well as related costs of investigation and property damage, without regard to our fault, knowledge, or responsibility for the presence of such hazardous materials. There can be no assurance that locations that we own, lease or otherwise operate, either for ourselves or for our clients, or that we may acquire in the future, have been operated in compliance with environmental laws and regulations or that future uses or conditions will not result in the imposition of liability upon us under such laws or expose us to third-party actions such as tort suits. In addition, such regulations may limit our ability to identify suitable sites for new or expanded facilities. In connection with our present or past operations and the present or past operations of our predecessors or companies that we have acquired, hazardous substances may migrate from properties on which we operate or which were operated by our predecessors or companies we acquired to other properties. We may be subject to significant liabilities to the extent that human health is adversely affected or the value of such properties is diminished by such migration.
28
Our international business faces risks different from those we face in the United States that could have an effect on our results of operations and financial condition.
A significant portion of our sales is derived from international business. During fiscal 2013, approximately 21% of our sales were generated outside of North America. We currently have a presence in 19 countries outside of North America with approximately 88,000 personnel. Our international operations are subject to risks that are different from those we face in the United States, including the requirement to comply with changing and conflicting national and local regulatory requirements; Foreign Corrupt Practices Act, U.K. Bribery Act and other anti-corruption law compliance matters; potential difficulties in staffing and labor disputes; differing local labor laws; managing and obtaining support and distribution for local operations; credit risk or financial condition of local clients; potential imposition of restrictions on investments; potentially adverse tax consequences, including imposition or increase of withholding, VAT and other taxes on remittances and other payments by subsidiaries; foreign exchange controls; and local political and social conditions. In addition, the operating results of our non-U.S. subsidiaries are translated into U.S. dollars and those results are affected by movements in foreign currencies relative to the U.S. dollar.
We intend to continue to develop our business in emerging countries over the long term. Emerging international operations present several additional risks, including greater fluctuation in currencies relative to the U.S. dollar; economic and governmental instability; civil disturbances; volatility in gross domestic production; and nationalization and expropriation of private assets.
There can be no assurance that the foregoing factors will not have a material adverse effect on our international operations or on our consolidated financial condition and results of operations.
Continued or further unionization of our workforce may increase our costs and work stoppages could damage our business.
Approximately 40,000 employees in our North American operations are represented by unions and covered by collective bargaining agreements. The continued or further unionization of a significantly greater portion of our workforce could increase our overall costs at the affected locations and adversely affect our flexibility to run our business in the most efficient manner to remain competitive or acquire new business. In addition, any significant increase in the number of work stoppages at our various operations could adversely affect our business, financial condition or results of operations.
We may incur significant liability as a result of our participation in multiemployer defined benefit pension plans.
We operate at a number of locations under collective bargaining agreements. Under some of these agreements, we are obligated to participate in and contribute to multiemployer defined benefit pension plans. As a contributing employer to such plans, should ARAMARK withdraw, either totally or trigger a partial withdrawal, we would be subject to withdrawal liability (or partial withdrawal liability) for our proportionate share of any unfunded vested benefits. In addition, if a multiemployer defined benefit pension plan fails to satisfy the minimum funding standards, we could be liable to increase our contributions to meet minimum funding standards. Also, if a participating employer withdraws from the plan or experiences financial difficulty, including bankruptcy, our obligation could increase. The financial status of certain of the plans in which ARAMARK participates has deteriorated in the recent past and continues to deteriorate. In addition, any increased funding obligations for underfunded multiemployer defined benefit pension plans could have a financial impact on us.
Risks associated with the suppliers from whom our products are sourced could adversely affect our results of operations.
The raw materials we use in our business and the finished products we sell are sourced from a wide variety of domestic and international suppliers. We seek to require our suppliers to comply with applicable laws and
29
otherwise be certified as meeting our supplier standards of conduct. Our ability to find qualified suppliers who meet our standards, and to access raw materials and finished products in a timely and efficient manner is a challenge, especially with respect to suppliers located and goods sourced outside the United States. In addition, insolvency experienced by suppliers could make it difficult for us to source the items we need to run our business. Political and economic stability in the countries in which foreign suppliers are located, the financial stability of suppliers, suppliers failure to meet our supplier standards, labor problems experienced by our suppliers, the availability of raw materials to suppliers, currency exchange rates, transport availability and cost, inflation and other factors relating to the suppliers and the countries in which they are located are beyond our control. In addition, United States foreign trade policies, tariffs and other impositions on imported goods, trade sanctions imposed on certain countries, the limitation on the importation of certain types of goods or of goods containing certain materials from other countries and other factors relating to foreign trade are beyond our control. In addition, if one of our suppliers were to violate the law, our reputation may be harmed simply due to our association with that supplier. These and other factors affecting our suppliers and our access to raw materials and finished products could adversely affect our results of operations.
In fiscal 2013, one distributor distributed approximately 60% of our food and non-food products in the United States and Canada, and if our relationship or their business were to be disrupted, we could experience disruptions to our operations and cost structure.
Although we negotiate the pricing and other terms for the majority of our purchases of food and related products in the U.S. and Canada directly with national manufacturers, we purchase these products and other items through SYSCO Corporation and other distributors. SYSCO, the main U.S. and Canadian distributor of our food and non-food products, and other distributors are responsible for tracking our orders and delivering products to our specific locations. If our relationship with, or the business of, SYSCO were to be disrupted, we would have to arrange alternative distributors and our operations and cost structure could be adversely affected in the short term. Similarly, a sudden termination of the relationship with a significant provider in other geographic areas could in the short term adversely affect our ability to provide services and disrupt our client relationships in such areas.
Our business may suffer if we are unable to hire and retain sufficient qualified personnel or if labor costs increase.
From time to time, we have had difficulty in hiring and retaining qualified management personnel, particularly at the entry management level. We will continue to have significant requirements to hire such personnel. In the past, at times when the United States or other geographic regions have periodically experienced reduced levels of unemployment, there has been a shortage of qualified workers at all levels. Given that our workforce requires large numbers of entry level and skilled workers and managers, low levels of unemployment when such conditions exist or mismatches between the labor markets and our skill requirements can compromise our ability in certain areas of our businesses to continue to provide quality service or compete for new business. We also regularly hire a large number of part-time and seasonal workers, particularly in our food and support services segments. Any difficulty we may encounter in hiring such workers could result in significant increases in labor costs, which could have a material adverse effect on our business, financial condition and results of operations. Competition for labor has at times resulted in wage increases in the past and future competition could substantially increase our labor costs. Due to the labor intensive nature of our businesses and the fact that 73% of our food and support services segments sales are from profit and loss contracts under which we have limited ability to pass along cost increases, a shortage of labor or increases in wage levels in excess of normal levels could have a material adverse effect on our results of operations.
Healthcare reform legislation could have an impact on our business.
During 2010, the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 were signed into law in the United States. Certain of the provisions that have
30
increased our healthcare costs include the removal of annual plan limits and the mandate that health plans provide 100% coverage on expanded preventative care. In addition, our healthcare costs could increase as the new legislation and accompanying regulations require us to apply new eligibility rules, which could potentially cover more variable hour employees than we do currently or pay penalty amounts in the event that employees do not elect our offered coverage. While much of the cost of the recent healthcare legislation enacted will occur after 2014 due to provisions of the legislation being delayed and phased in over time, changes to our healthcare cost structure could have an impact on our business and operating costs.
Our business is contract intensive and may lead to client disputes.
Our business is contract intensive and we are parties to many contracts with clients all over the world. Our client interest contracts provide that client billings, and for some contracts the sharing of profits and losses, are based on our determinations of costs of service. Contract terms under which we base these determinations and, for certain government contracts, regulations governing our cost determinations, may be subject to differing interpretations which could result in disputes with our clients from time to time. Clients generally have the right to audit our contracts, and we periodically review our compliance with contract terms and provisions. If clients were to dispute our contract determinations, the resolution of such disputes in a manner adverse to our interests could negatively affect sales and operating results. While we do not believe any reviews, audits or other such matters should result in material adjustments, if a large number of our client arrangements were modified in response to any such matter, the effect could be materially adverse to our business or results of operations.
Our operations are seasonal and quarter to quarter comparisons may not be a good indicator of our performance.
In our first and second fiscal quarters, within the FSS North America segment, there historically has been a lower level of sales at the sports, entertainment and recreational clients, which is partly offset by increased activity in educational operations. In our third and fourth fiscal quarters, there historically has been a significant increase in sales at the sports, entertainment and recreational clients, which is partially offset by the effect of summer recess in educational operations. For these reasons, a quarter to quarter comparison is not a good indication of our performance or how we will perform in the future.
Risks Related to Our Indebtedness
Our leverage could adversely affect our ability to raise additional capital to fund our operations, limit our ability to react to changes in the economy or our industries, expose us to interest rate risk to the extent of our variable rate debt and prevent us from meeting our obligations.
We are highly leveraged. As of September 27, 2013, our outstanding indebtedness was $5,824.1 million, including amounts outstanding under our credit facilities, notes and receivables facility, not giving effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering. We also had additional availability of approximately $579.0 million under our revolving credit facility at that date.
This degree of leverage could have important consequences, including:
| exposing us to the risk of increased interest rates as certain of our borrowings, including borrowings under our senior secured credit facilities and our receivables facility, are at variable rates of interest; |
| making it more difficult for us to make payments on our indebtedness; |
| increasing our vulnerability to general economic and industry conditions; |
| requiring a substantial portion of cash flow from operations to be dedicated to the payment of principal and interest on our indebtedness, thereby reducing our ability to use our cash flow to fund our operations, capital expenditures and future business opportunities; |
| restricting us from making strategic acquisitions or causing us to make non-strategic divestitures; |
31
| limiting our ability to obtain additional financing for working capital, capital expenditures, debt service requirements, acquisitions and general corporate or other purposes; and |
| limiting our ability to adjust to changing market conditions and placing us at a competitive disadvantage compared to our competitors who are less highly leveraged. |
We and our subsidiaries may be able to incur substantial additional indebtedness in the future, subject to the restrictions contained in our senior secured credit facilities and the indenture governing our notes. If new indebtedness is added to our current debt levels, the related risks that we now face could increase.
If our financial performance were to deteriorate, we may not be able to generate sufficient cash to service all of our indebtedness and may be forced to take other actions to satisfy our obligations under our indebtedness, which may not be successful.
Our ability to make scheduled payments on or to refinance our debt obligations depends on our financial condition and operating performance, which is subject to prevailing economic and competitive conditions and to certain financial, business and other factors beyond our control. While we believe that we currently have adequate cash flows to service our indebtedness, if our financial performance were to deteriorate significantly, we might be unable to maintain a level of cash flows from operating activities sufficient to permit us to pay the principal, premium, if any, and interest on our indebtedness.
If, due to such a deterioration in our financial performance, our cash flows and capital resources were to be insufficient to fund our debt service obligations, we may be forced to reduce or delay investments and capital expenditures, or to sell assets, seek additional capital or restructure or refinance our indebtedness. These alternative measures may not be successful and may not permit us to meet our scheduled debt service obligations. In addition, if we were required to raise additional capital in the current financial markets, the terms of such financing, if available, could result in higher costs and greater restrictions on our business. In addition, although a significant amount of our long-term borrowings do not mature until 2016 and later, if we were to need to refinance our existing indebtedness, the conditions in the financial markets at that time could make it difficult to refinance our existing indebtedness on acceptable terms or at all. If such alternative measures proved unsuccessful, we could face substantial liquidity problems and might be required to dispose of material assets or operations to meet our debt service and other obligations. Our senior secured credit agreement and the indenture governing our notes restrict our ability to dispose of assets and use the proceeds from any disposition of assets and to refinance our indebtedness. We may not be able to consummate those dispositions or to obtain the proceeds that we could realize from them and these proceeds may not be adequate to meet any debt service obligations then due.
Our debt agreements contain restrictions that limit our flexibility in operating our business.
Our senior secured credit agreement and the indenture governing our notes contain various covenants that limit our ability to engage in specified types of transactions. These covenants limit our and our restricted subsidiaries ability to, among other things:
| incur additional indebtedness, refinance or restructure indebtedness or issue certain preferred shares; |
| pay dividends on, repurchase or make distributions in respect of our capital stock, make unscheduled payments on our notes, repurchase or redeem our notes or make other restricted payments; |
| make certain investments; |
| sell certain assets; |
| create liens; |
| consolidate, merge, sell or otherwise dispose of all or substantially all of our assets; and |
| enter into certain transactions with our affiliates. |
32
In addition, our senior secured revolving credit facility requires us to satisfy and maintain specified financial ratios and other financial condition tests. Our ability to meet those financial ratios and tests can be affected by events beyond our control, and in the event of a significant deterioration of our financial performance, we cannot assure you that we will satisfy those ratios and tests. A breach of any of these covenants could result in a default under the senior secured credit agreement. Upon our failure to maintain compliance with these covenants that is not waived by the lenders under the revolving credit facility, the lenders under the senior secured credit facilities could elect to declare all amounts outstanding under the senior secured credit facilities to be immediately due and payable and terminate all commitments to extend further credit under such facilities. If we were unable to repay those amounts, the lenders under the senior secured credit facilities could proceed against the collateral granted to them to secure that indebtedness. We have pledged a significant portion of our assets as collateral under the senior secured credit agreement. If the lenders under the senior secured credit facilities accelerate the repayment of borrowings, we cannot assure you that we will have sufficient assets to repay those borrowings, as well as our unsecured indebtedness. If our senior secured indebtedness was accelerated by the lenders as a result of a default, our notes may become due and payable as well. Any such acceleration may also constitute an amortization event under our receivables facility, which could result in the amount outstanding under that facility becoming due and payable.
Risks Related to the Exchange Offer
If you choose not to exchange your outstanding notes in the exchange offer, the transfer restrictions currently applicable to your outstanding notes will remain in force and the market price of your outstanding notes could decline.
If you do not exchange your outstanding notes for exchange notes in the exchange offer, then you will continue to be subject to the transfer restrictions on the outstanding notes as set forth in the offering memorandum distributed in connection with the private offering of the outstanding notes. In general, the outstanding notes may not be offered or sold unless they are registered or exempt from registration under the Securities Act and applicable state securities laws. Except as required by the registration rights agreement, we do not intend to register resales of the outstanding notes under the Securities Act. You should refer to SummarySummary of the Terms of the Exchange Offer, The Exchange Offer and Registration Rights for information about how to tender your outstanding notes.
The tender of outstanding notes under the exchange offer will reduce the principal amount of the outstanding notes, which may have an adverse effect upon and increase the volatility of, the market price of the outstanding notes due to reduction in liquidity.
Your ability to transfer the exchange notes may be limited by the absence of an active trading market, and there is no assurance that any active trading market will develop for the exchange notes.
The exchange notes are new issues of securities for which there is no established public market. Certain of the initial purchasers in the private offering of the outstanding notes have advised us that they intend to make a market in the exchange notes as permitted by applicable laws and regulations; however, the initial purchasers are not obligated to make a market in any of the exchange notes, and they may discontinue their market-making activities at any time without notice. Therefore, an active market for any of the exchange notes may not develop or, if developed, it may not continue. Historically, the market for non-investment-grade debt has been subject to disruptions that have caused substantial volatility in the prices of securities similar to the exchange notes. The market, if any, for any of the exchange notes may not be free from similar disruptions and any such disruptions may adversely affect the prices at which you may sell your exchange notes. In addition, subsequent to their initial issuance, the exchange notes may trade at a discount from their initial offering price, depending upon prevailing interest rates, the market for similar notes, our performance and other factors.
33
Risks Related to the Notes
For purposes of this section, Risks Related to the Notes, we, us, and our refer to ARAMARK Corporation, the issuer of the notes, and not to Holdings.
The following risks apply to the outstanding notes and will apply equally to the exchange notes.
We may not be able to generate sufficient cash to service all of our indebtedness, including the notes, and may be forced to take other actions to satisfy our obligations under our indebtedness, which may not be successful.
Our ability to make scheduled payments on or to refinance our debt obligations depends on our financial condition and operating performance, which is subject to prevailing economic and competitive conditions and to certain financial, business and other factors beyond our control. We may be unable to maintain a level of cash flows from operating activities sufficient to permit us to pay the principal, premium, if any, and interest on our indebtedness, including the notes.
If our cash flows and capital resources are insufficient to fund our debt service obligations, we may be forced to reduce or delay investments and capital expenditures, or to sell assets, seek additional capital or restructure or refinance our indebtedness, including the notes. These alternative measures may not be successful and may not permit us to meet our scheduled debt service obligations. In the absence of such operating results and resources, we could face substantial liquidity problems and might be required to dispose of material assets or operations to meet our debt service and other obligations. Our senior secured credit agreement and the indenture governing the notes restrict our ability to dispose of assets, use the proceeds from any disposition of assets and to refinance our indebtedness. We may not be able to consummate those dispositions or to obtain the proceeds that we could realize from them and these proceeds may not be adequate to meet any debt service obligations then due.
Repayment of our debt is dependent on cash flow generated by our subsidiaries.
Our subsidiaries own a significant portion of our assets and conduct a significant portion of our operations. Accordingly, repayment of our indebtedness is dependent, to a significant extent, on the generation of cash flow by our subsidiaries and their ability to make such cash available to us, by dividend, debt repayment or otherwise. Unless they are guarantors of the notes, our subsidiaries do not have any obligation to pay amounts due on the notes or to make funds available for that purpose. Our subsidiaries may not be able to, or may not be permitted to, make distributions to enable us to make payments in respect of our indebtedness, including each series of notes. Each subsidiary is a distinct legal entity and, under certain circumstances, legal and contractual restrictions may limit our ability to obtain cash from our subsidiaries. While the indenture governing the notes limits the ability of our subsidiaries to incur consensual restrictions on their ability to pay dividends or make other intercompany payments to us, these limitations are subject to certain qualifications and exceptions. In the event that we do not receive distributions from our subsidiaries, we may be unable to make required principal and interest payments on our indebtedness, including the notes.
Your right to receive payments on the notes is effectively junior to those lenders who have a security interest in our assets.
Our obligations under the notes and our guarantors obligations under their guarantees of the notes are unsecured, but our obligations under our senior secured credit facilities and each guarantors obligations under their respective guarantees of the senior secured credit facilities are secured by a security interest in substantially all of our domestic tangible and intangible assets, including the stock of most of our wholly-owned U.S. subsidiaries and the stock of certain of our non-U.S. subsidiaries. If we are declared bankrupt or insolvent, or if we default under our senior secured credit agreement, the lenders could declare all of the funds borrowed thereunder, together with accrued interest, immediately due and payable. If we were unable to repay such indebtedness, the lenders could foreclose on the pledged assets to the exclusion of holders of the notes, even if an event of default exists under the indenture governing the notes at such time. Furthermore, if the lenders foreclose and sell the pledged equity interests in any subsidiary guarantor under the notes, then that guarantor will be released from its guarantee of the notes automatically and immediately upon such sale. In any such event,
34
because the notes are not secured by any of our assets or the equity interests in subsidiary guarantors, it is possible that there would be no assets remaining from which your claims could be satisfied or, if any assets remained, they might be insufficient to satisfy your claims fully. See Description of Other Indebtedness.
As of September 27, 2013, our outstanding senior secured indebtedness was $5,824.1 million, not giving effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering. We had additional availability of approximately $579.0 million under our revolving credit facility at that date, after taking into account outstanding letters of credit. The indenture governing the notes offered hereby permits us and our restricted subsidiaries to incur substantial additional indebtedness in the future, including senior secured indebtedness.
Claims of noteholders will be structurally subordinate to claims of creditors of all of our non-U.S. subsidiaries and some of our U.S. subsidiaries because they will not guarantee the notes.
The notes will not be guaranteed by any of our non-U.S. subsidiaries, our receivables subsidiaries or certain other U.S. subsidiaries. Accordingly, claims of holders of the notes will be structurally subordinate to the claims of creditors of these non-guarantor subsidiaries, including trade creditors. All obligations of our non-guarantor subsidiaries will have to be satisfied before any of the assets of such subsidiaries would be available for distribution, upon a liquidation or otherwise, to us or a guarantor of the notes.
For the twelve months ended September 27, 2013, our non-guarantor subsidiaries accounted for approximately $4,118.8 million, or 29.5%, of our total sales, and approximately $2,575.7 million, or 25.1%, of our total assets, and approximately $1,371.8 million, or 14.9%, of our total liabilities, in each case as of September 27, 2013.
The lenders under the senior secured credit facilities will have the discretion to release the guarantors under the senior secured credit agreement in a variety of circumstances, which will cause those guarantors to be released from their guarantees of the notes.
While any obligations under the senior secured credit facilities remain outstanding, any guarantee of the notes may be released without action by, or consent of, any holder of the notes or the trustee under the indenture governing the notes, at the discretion of lenders under the senior secured credit facilities, if the related guarantor is no longer a guarantor of obligations under the senior secured credit facilities or any other indebtedness. See Description of Notes. The lenders under the senior secured credit facilities will have the discretion to release the guarantees under the senior secured credit facilities in a variety of circumstances. You will not have a claim as a creditor against any subsidiary that is no longer a guarantor of the notes, and the indebtedness and other liabilities, including trade payables, whether secured or unsecured, of those subsidiaries will effectively be senior to claims of noteholders.
We may not be able to repurchase the notes upon a change of control.
Upon the occurrence of specific kinds of change of control events, we will be required to offer to re-purchase all outstanding notes at 101% of their principal amount plus accrued and unpaid interest. The source of funds for any such purchase of the notes will be cash generated from our subsidiaries operations or other sources, including borrowings, sales of assets or sales of equity. We may not be able to repurchase the notes upon a change of control because we may not have sufficient financial resources to purchase all of the notes that are tendered upon a change of control. Our failure to repurchase the notes upon a change of control would cause a default under the indenture governing the notes.
Federal and state fraudulent transfer laws may permit a court to void or limit the amount payable under the notes or the guarantees, and, if that occurs, you may receive limited or no payments on the notes and guarantees affected.
Federal and state fraudulent conveyance statutes may apply to the issuance of the notes and the incurrence of the guarantees. Under federal bankruptcy law and comparable provisions of state fraudulent transfer or
35
conveyance laws, which may vary from state to state, the notes or guarantees could be voided as a fraudulent transfer or conveyance if (1) we or any of the guarantors, as applicable, issued the notes or incurred the guarantees with the intent of hindering, delaying or defrauding creditors or (2) we or any of the guarantors, as applicable, received less than reasonably equivalent value or fair consideration in return for either issuing the notes or incurring the guarantees and, in the case of (2) only, one of the following is also true at the time hereof:
| we or any of the guarantors, as applicable, were insolvent or rendered insolvent by reason of the issuance of the notes or the incurrence of the guarantees; |
| the issuance of the notes or the incurrence of the guarantees left us or any of the guarantors, as applicable, with an unreasonably small amount of capital to carry on the business; |
| we or any of the guarantors intended to, or believed that we or such guarantor would, incur debts beyond our or such guarantors ability to pay as they mature; or |
| we or any of the guarantors were a defendant in an action for money damages, or had a judgment for money damages docketed against us or such guarantor if, in either case, after final judgment, the judgment is unsatisfied. |
If a court were to find that the issuance of the notes or the incurrence of the guarantees was a fraudulent transfer or conveyance, the court could void the payment obligations under the notes or such guarantee or limit the amount of payment or subordinate the notes or such guarantee to presently existing and future indebtedness of ours or of the related guarantor, or require you to repay any amounts received. In the event of a finding that fraudulent transfer or conveyance occurred, you may not receive any payment on the notes. As a general matter, value is given for a transfer or an obligation if, in exchange for the transfer or obligation, property is transferred or an antecedent debt is secured or satisfied. Under applicable law, a court may determine that a debtor has not received value in connection with a debt offering if the debtor uses the proceeds of that offering to make a dividend payment or otherwise retire or redeem equity securities issued by the debtor. We cannot be certain as to the standards a court would use to determine whether or not we or the guarantors were solvent at the relevant time or, regardless of the standard that a court uses, that the notes or the guarantees would not be voided, limited in amount or subordinated to our or any of our guarantors other debt. Each guarantee contains a provision intended to limit the guarantors liability to the maximum amount that it could incur without causing the incurrence of obligations under its guarantee to be a fraudulent transfer. This provision may not be effective to protect the guarantees from being voided under fraudulent transfer law, or may reduce or eliminate the guarantors obligation to an amount that effectively makes the guarantee worthless.
36
STATEMENTS REGARDING FORWARD-LOOKING INFORMATION
This prospectus contains forward-looking statements within the meaning of the federal securities laws, including, without limitation, statements concerning the conditions in our industry, our operations, our economic performance and financial condition, including, in particular, statements relating to our business and growth strategy under Prospectus Summary, Managements Discussion and Analysis of Financial Condition and Results of Operations and Business. You can identify forward-looking statements because they contain words such as aim, anticipate, are confident, estimate, expect, will be, will continue, will likely result, project, intend, plan, believe and other words and terms of similar meaning in connection with a discussion of future operating or financial performance. All statements we make relating to our estimated and projected earnings, costs, expenditures, cash flows, growth rates and financial results are forward-looking statements. In addition, we, through our senior management, from time to time make forward-looking public statements concerning our expected future operations and performance and other developments. These forward-looking statements are subject to risks and uncertainties that may change at any time, and, therefore, our actual results may differ materially from those that we expected. We derive many of our forward-looking statements from our operating budgets and forecasts, which are based upon many detailed assumptions. While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the impact of known factors, and, of course, it is impossible for us to anticipate all factors that could affect our actual results. Important factors that could cause actual results to differ materially from our expectations (cautionary statements) are disclosed under Risk Factors and elsewhere in this prospectus, including, without limitation, in conjunction with the forward-looking statements included in this prospectus. All subsequent written and oral forward-looking statements attributable to us, or persons acting on our behalf, are expressly qualified in their entirety by the cautionary statements. Some of the factors that we believe could affect our results include:
| unfavorable economic conditions; |
| natural disasters, global calamities, sports strikes and other adverse incidents; |
| the failure to retain current clients, renew existing client contracts and obtain new client contracts; |
| a determination by clients to reduce their outsourcing or use of preferred vendors; |
| competition in our industries; |
| increased operating costs and obstacles to cost recovery due to the pricing and cancellation terms of our food and support services contracts; |
| the inability to achieve cost savings through our cost reduction efforts; |
| our expansion strategy; |
| the failure to maintain food safety throughout our supply chain, food-borne illness concerns and claims of illness or injury; |
| governmental regulations including those relating to food and beverages, the environment, wage and hour and government contracting; |
| liability associated with noncompliance with applicable law or other governmental regulations; |
| changes in, new interpretations of or changes in the enforcement of the government regulatory framework; |
| currency risks and other risks associated with international operations, including Foreign Corrupt Practices Act, U.K. Bribery Act and other anti-corruption law compliance; |
| continued or further unionization of our workforce; |
| liability resulting from our participation in multiemployer defined benefit pension plans; |
| risks associated with suppliers from whom our products are sourced; |
37
| disruptions to our relationship with, or to the business of, our primary distributor; |
| the inability to hire and retain sufficient qualified personnel or increases in labor costs; |
| healthcare reform legislation; |
| the contract intensive nature of our business, which may lead to client disputes; |
| seasonality; |
| our leverage; |
| the inability to generate sufficient cash to service all of our indebtedness; |
| debt agreements that limit our flexibility in operating our business; |
| potential conflicts of interest between our Controlling Owners (as defined herein) and us; and |
| other factors set forth under the heading Risk Factors in this prospectus. |
We caution you that the foregoing list of important factors may not contain all of the material factors that are important to you. In addition, in light of these risks and uncertainties, the matters referred to in the forward-looking statements contained in this prospectus may not in fact occur. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.
38
The following diagram sets forth our ownership structure and information relating to our indebtedness as of September 27, 2013. As set forth in the diagram below, we hold all of the issued and outstanding capital stock of ARAMARK Corporation through ARAMARK Intermediate Holdco Corporation, our wholly-owned subsidiary. Following the completion of our initial public offering, the Sponsors collectively own approximately 80% of the capital stock of Holdings, on a fully-diluted basis.
(1) | ARAMARK Holdings Corporation guarantees the notes but not our senior secured credit facilities. ARAMARK Intermediate Holdco Corporation guarantees our senior secured credit facilities but not the notes. |
(2) | As of September 27, 2013, term loans with an aggregate principal amount of $4,433.7 million (recorded at $4,425.9 million to reflect original issue discount) were outstanding. The maturity date for $3,033.7 million of term loans is July 26, 2016. The maturity date for the remaining $1,400.0 million of term loans is September 7, 2019. The senior secured credit agreement also includes a $200.0 million synthetic letter of credit facility. The maturity date of $159.3 million of deposits securing the synthetic letter of credit facility is July 26, 2016. The maturity date for $40.7 million of deposits securing the letter of credit facility is January 26, 2014. As of September 27, 2013, there were approximately $121.7 million of issued letters of credit under the synthetic letter of credit facility. Such amounts do not give effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering. See Description of Other Indebtedness. |
(3) | The notes are guaranteed by, subject to certain exceptions, substantially all of our existing and future domestic subsidiaries. |
(4) | Our receivables facility provides for up to $300.0 million of funding, based, in part, on the amount of eligible receivables. As of September 27, 2013, we had outstanding borrowings under the receivables facility of $300.0 million. |
(5) | Only our existing or subsequently acquired domestic subsidiaries that guarantee the senior secured credit facilities will guarantee the notes, subject to certain limited exceptions. |
39
The exchange offer is intended to satisfy obligations under the registration rights agreement that ARAMARK Corporation entered into in connection with the private offering of the outstanding notes. We will not receive any cash proceeds from the issuance of the exchange notes in the exchange offer. As consideration for issuing the exchange notes as contemplated in this prospectus, we will receive in exchange a like principal amount of outstanding notes, the terms of which are identical in all material respects to the exchange notes, except that the exchange notes will not contain terms with respect to transfer restrictions or additional interest upon a failure to fulfill certain of our obligations under the registration rights agreement. The outstanding notes that are surrendered in exchange for the exchange notes will be retired and cancelled and cannot be reissued. As a result, the issuance of the exchange notes will not result in any increase or decrease in our level of indebtedness.
40
The following table sets forth our cash and cash equivalents and capitalization as of September 27, 2013 (1) on a historical basis and (2) on an as adjusted basis to give effect to the issuance of 28,000,000 shares of our common stock offered by us in our initial public offering and the use of proceeds therefrom as well as certain equity and compensation transactions that are contingent upon the completion of the initial public offering. The information in this table should be read in conjunction with Managements Discussion and Analysis of Financial Condition and Results of Operations, Prospectus SummarySummary Consolidated Financial Data and the audited consolidated financial statements and related notes appearing elsewhere in this prospectus.
As of September 27, 2013 | ||||||||
(in millions) |
Actual | As Adjusted | ||||||
Cash and cash equivalents(1)(2) |
$ | 111.0 | $ | 246.7 | ||||
|
|
|
|
|||||
Senior secured credit facilities: |
||||||||
Revolving credit facility(2)(3) |
$ | 10.0 | $ | | ||||
Term loan facility(4) |
4,425.9 | 4,053.7 | ||||||
5.75% senior notes due 2020 |
1,000.0 | 1,000.0 | ||||||
Receivables facility |
300.0 | 300.0 | ||||||
Capital leases |
52.4 | 52.4 | ||||||
Other existing debt(5) |
35.8 | 35.8 | ||||||
|
|
|
|
|||||
Total debt |
5,824.1 | 5,441.9 | ||||||
Common stock subject to repurchase and other(6) |
168.9 | 10.2 | ||||||
Stockholders equity: |
||||||||
Common stock, 600,000,000 shares authorized, actual; 219,585,247 shares issued and 201,798,518 shares outstanding, actual; 600,000,000 shares authorized, as adjusted; 247,585,247 shares issued and 229,798,518 shares outstanding, as adjusted |
2.2 | 2.5 | ||||||
Capital surplus(6)(7) |
1,693.6 | 2,406.2 | ||||||
Accumulated deficit(1)(7) |
(479.2 | ) | (501.2 | ) | ||||
Accumulated other comprehensive loss |
(59.2 | ) | (59.2 | ) | ||||
Treasury stock |
(253.7 | ) | (253.7 | ) | ||||
|
|
|
|
|||||
Total stockholders equity |
903.7 | 1,594.6 | ||||||
|
|
|
|
|||||
Total capitalization |
$ | 6,896.7 | $ | 7,046.7 | ||||
|
|
|
|
(1) | On November 11, 2013, the Compensation Committee of the Companys Board of Directors approved special cash bonuses to certain senior executives of approximately $4.3 million payable in connection with the completion of our initial public offering. The net of tax impact on accumulated deficit was $2.6 million (see Note 17 to our consolidated financial statements). |
(2) | The Company intends to use approximately $150.0 million of proceeds from our initial public offering to repay borrowings on the revolving credit facility incurred subsequent to September 27, 2013. As of November 22, 2013, a total of $283.7 million was outstanding under the revolving credit facility. |
(3) | Consists of a $555.0 million revolving credit facility available to the Company in U.S. dollars and a $50.0 million revolving credit facility available to the Company and a Canadian subsidiary in U.S. dollars and Canadian dollars. U.S. dollar borrowings under the revolving credit facilities have an applicable margin of 3.25% for eurocurrency (LIBOR) borrowings and 2.25% for base-rate borrowings and an unused commitment fee of 0.50% per annum. Canadian dollar borrowings have an applicable margin of 3.25% for BA (bankers acceptance) rate borrowings and 2.25% for base-rate borrowings and an unused commitment fee of 0.50% per annum. The final maturity date of the Canadian revolving loan commitments and $515.0 million of the $555.0 million U.S. revolving loan commitments is January 26, 2017, provided, however, that the maturity date accelerates to April 26, 2016 if any term loans, other than the term loans due on September 7, 2019 and any other term loans with a maturity at least 91 days after January 26, 2017, remain outstanding on April 26, 2016. The final maturity date of the remaining $40.0 million in revolving loan commitments is January 26, 2015. See Description of Other Indebtedness. |
41
(4) | As of September 27, 2013, term loans with an aggregate principal amount of $4,433.7 million (recorded at $4,425.9 million to reflect original issue discount) were outstanding. The maturity date for $3,033.7 million of term loans is July 26, 2016. The maturity date for the remaining $1,400.0 million of term loans is September 7, 2019. The senior secured credit agreement also includes a $200.0 million synthetic letter of credit facility. The maturity date of $159.3 million of deposits securing the synthetic letter of credit facility is July 26, 2016. The maturity date for $40.7 million of deposits securing the letter of credit facility is January 26, 2014. As of September 27, 2013, there were approximately $121.7 million of issued letters of credit under the synthetic letter of credit facility. See Description of Other Indebtedness. |
(5) | Consists of borrowings by our foreign subsidiaries. |
(6) | Upon the completion of the initial public offering, the Companys repurchase obligation under the Stockholders Agreement relating to certain shares of the Companys common stock held by former members of the Companys management terminates and the value of common stock subject to repurchase will be classified as capital surplus. |
(7) | Reflects an adjustment for share-based compensation expense totaling $19.4 million, net of income taxes, associated with a non-cash charge reflected as an increase in capital surplus of $32.0 million related to a modification of the terms of certain performance-based options outstanding (see Note 17 to our consolidated financial statements). |
42
UNAUDITED PRO FORMA FINANCIAL INFORMATION
We derived the unaudited pro forma financial data set forth below by the application of pro forma adjustments to the audited consolidated financial statements included elsewhere in this prospectus.
The unaudited pro forma consolidated statements of income for fiscal 2013 have been presented:
| on a pro forma basis which gives effect to the debt refinancing that occurred in the second quarter of fiscal 2013 whereby the 8.50% Senior Notes due 2015, Senior Floating Rate Notes due 2015 and 8.625% / 9.375% Senior Notes due 2016 were refinanced with the proceeds of new term loan borrowings under the senior secured credit facilities and the issuance of 5.75% Senior Notes due 2020; and |
| on a pro forma basis (as adjusted), which gives effect to our sale of 28,000,000 shares of common stock in our initial public offering at an initial public offering price of $20.00 per share, and net proceeds of $522.2 million which will be used to repay approximately $372.2 million in outstanding term loans due July 26, 2016 and approximately $150.0 million of borrowings on the revolving credit facility under our senior secured credit facilities as well as certain share-based compensation transactions that are contingent upon the completion of our initial public offering and for which expense will be recognized over a future derived service period. |
The unaudited pro forma consolidated statements of income give effect to the pro forma adjustments as if they had occurred at the beginning of our 2013 fiscal year. The notes to the unaudited pro forma financial statements provide a more detailed discussion of how such adjustments were derived and presented in the pro forma financial statements. An unaudited pro forma balance sheet as of September 27, 2013 is not presented because the impact of the March 2013 debt refinancing is included in the consolidated balance sheet of the Company as of such date. See also Capitalization.
The pro forma adjustments set forth below were based on available information and certain assumptions made by our management and may be revised as additional information becomes available. The unaudited pro forma financial information is presented for informational purposes only, and does not purport to represent what our results of operations would actually have been if the transactions had occurred on the date indicated, nor does it purport to project our results of operations that we may achieve in the future. The pro forma adjustments do not include the impact of any non-recurring additional charges which are directly related to the completion of our initial public offering.
You should read our unaudited pro forma financial information and the accompanying notes in conjunction with all of the historical financial statements and related notes included elsewhere in this prospectus and the financial and other information appearing elsewhere in this prospectus, including information contained in Risk Factors, Selected Consolidated Financial Data, Capitalization and Managements Discussion and Analysis of Financial Condition and Results of Operations.
43
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
UNAUDITED PRO FORMA CONSOLIDATED STATEMENTS OF INCOME
FOR THE FISCAL YEAR ENDED SEPTEMBER 27, 2013
(in millions, except per share amounts)
Actual | Debt Refinancing Pro Forma Adjustments |
Pro Forma for the Debt Refinancing |
Offering Pro Forma Adjustments |
Pro
Forma As Adjusted |
||||||||||||||||
Sales |
$ | 13,946 | $ | | $ | 13,946 | $ | | $ | 13,946 | ||||||||||
Costs and Expenses: |
||||||||||||||||||||
Cost of services provided |
12,661 | | 12,661 | | 12,661 | |||||||||||||||
Depreciation and amortization |
542 | | 542 | | 542 | |||||||||||||||
Selling and general corporate expenses |
228 | | 228 | 32 | (c) | 260 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operating income |
515 | | 515 | (32 | ) | 483 | ||||||||||||||
Interest and Other Financing costs, net |
424 | (77 | )(a) | 347 | (20 | )(d) | 327 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Income from Continuing Operations Before Income Taxes |
91 | 77 | 168 | (12 | ) | 156 | ||||||||||||||
Provision for Income Taxes |
20 | 30 | (b) | 50 | (5 | )(e) | 45 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Income from Continuing Operations |
71 | 47 | 118 | (7 | ) | 111 | ||||||||||||||
Loss from Discontinued Operations, net of tax |
(1 | ) | | (1 | ) | | (1 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income |
70 | 47 | 117 | (7 | ) | 110 | ||||||||||||||
Less: Net income attributable to noncontrolling interests |
1 | | 1 | | 1 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income attributable to ARAMARK Holdings stockholders |
$ | 69 | $ | 47 | $ | 116 | $ | (7 | ) | $ | 109 | |||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Earnings per share attributable to ARAMARK Holdings stockholders: |
||||||||||||||||||||
Basic: |
||||||||||||||||||||
Income from Continuing Operations |
$ | 0.35 | $ | 0.58 | $ | 0.48 | ||||||||||||||
Loss from Discontinued Operations |
(0.01 | ) | (0.01 | ) | (0.01 | ) | ||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Net income attributable to ARAMARK Holdings stockholders |
$ | 0.34 | $ | 0.57 | $ | 0.47 | ||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Diluted: |
||||||||||||||||||||
Income from Continuing Operations |
$ | 0.34 | $ | 0.56 | $ | 0.47 | ||||||||||||||
Loss from Discontinued Operations |
(0.01 | ) | (0.01 | ) | (0.01 | ) | ||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Net income attributable to ARAMARK Holdings stockholders |
$ | 0.33 | $ | 0.55 | $ | 0.46 | ||||||||||||||
|
|
|
|
|
|
44
NOTES TO UNAUDITED PRO FORMA FINANCIAL STATEMENTS
(a) | Amount represents the impact of eliminating the interest expense on the 8.50% Senior Notes due 2015, Senior Floating Rate Notes due 2015 and 8.625% / 9.375% Senior Notes due 2016 and including the interest expense on the new term loan borrowings and the issuance of the 5.75% Senior Notes due 2020. Amount also impacted by the elimination of the amortization of deferred financing fees associated with the 8.50% Senior Notes due 2015, Senior Floating Rate Notes due 2015 and 8.625% / 9.375% Senior Notes due 2016 and the inclusion of the amortization of deferred financing fees associated with the new term loan borrowings and the issuance of the 5.75% Senior Notes due 2020. The amount also includes the impact of the write-off of the deferred financing fees and the payment of the tender offer premium each as it relates to the debt that was refinanced. |
(b) | Amount represents the tax impact using an effective tax rate of 39.5% on the reduction in interest expense as a result of the debt refinancing. |
(c) | Amount represents the estimated share-based compensation expense of $9.3 million on an annual basis from grants of certain restricted stock units to senior executives upon the completion of this offering which vest over a three year period. The total value of the restricted stock units granted is approximately $35 million. The Company applied a forfeiture assumption of 8.7% per annum in the calculation of such expense. Amount also represents approximately $22.6 million of the estimated $55.0 million of share-based compensation expense in connection with the modification of certain performance-based options, which will be recognized over a derived service period upon completion of this offering. The fair value of the modified performance-based options was estimated using a Monte-Carlo option model, which simulates a range of possible future stock prices and estimates the probabilities of meeting the modified vesting provision of the trading price for the common stock of Holdings equaling or exceeding $25.00 per share over any consecutive twenty day trading period during the 18 month period following the initial public offering (See note 17 to the consolidated financial statements). |
(d) | To reflect the reduction in interest expense resulting from the application of $522.2 million of net proceeds from the initial public offering to repay approximately $372.2 million in outstanding term loans due July 26, 2016 and approximately $150.0 million of borrowings on the revolving credit facility under our senior secured credit facilities. |
(e) | Amount represents the tax impact using an effective tax rate of 39.5% on the reduction in interest expense as a result of the initial public offering. |
45
SELECTED CONSOLIDATED FINANCIAL DATA
Set forth below is selected consolidated financial data of the Company, as of the dates and for the periods indicated. The selected consolidated financial data as of September 27, 2013 and September 28, 2012, and for the fiscal years 2013, 2012 and 2011 have been derived from our consolidated financial statements appearing elsewhere in this prospectus, which have been audited by KPMG LLP. The selected consolidated financial data as of September 30, 2011 and October 1, 2010 and for fiscal year 2010 have been derived from our consolidated financial statements that are not included in this prospectus, which have been audited by KPMG LLP. The selected consolidated financial data as of October 2, 2009 and for fiscal year 2009 have been derived from our unaudited consolidated financial statements that are not included in this prospectus. Consolidated financial statements for our indirect wholly-owned subsidiary, ARAMARK Corporation, have been audited for such period.
The selected consolidated financial data set forth below should be read in conjunction with, and are qualified by reference to, the sections titled Managements Discussion and Analysis of Financial Condition and Results of Operations and Unaudited Pro Forma Financial Information, as well as with our consolidated financial statements and related notes that are also included in this prospectus.
Fiscal year(1) | ||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | ||||||||||||||||
(dollars in millions, except per share data) | ||||||||||||||||||||
Statement of operations data: |
||||||||||||||||||||
Sales |
$ | 13,946 | $ | 13,505 | $ | 13,082 | $ | 12,419 | $ | 12,138 | ||||||||||
Costs and expenses: |
||||||||||||||||||||
Cost of services provided |
12,661 | 12,191 | 11,836 | 11,247 | 11,009 | |||||||||||||||
Depreciation and amortization |
542 | 529 | 511 | 503 | 497 | |||||||||||||||
Selling and general corporate expenses |
228 | 203 | 188 | 191 | 183 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operating income |
515 | 582 | 547 | 478 | 449 | |||||||||||||||
Interest and other financing costs, net |
424 | 457 | 451 | 445 | 473 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Income (loss) from continuing operations before income taxes |
91 | 125 | 96 | 33 | (24 | ) | ||||||||||||||
Provision (benefit) for income taxes |
20 | 18 | (1 | ) | 1 | (24 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Income from continuing operations |
71 | 107 | 97 | 32 | | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Income (loss) from discontinued operations, net of tax(2) |
(1 | ) | | (12 | ) | (1 | ) | (7 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income (loss) |
70 | 107 | 85 | 31 | (7 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Less: Net income attributable to noncontrolling interests |
1 | 3 | 1 | | | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income (loss) attributable to ARAMARK stockholders |
$ | 69 | $ | 104 | $ | 84 | $ | 31 | $ | (7 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Pro forma net income attributable to ARAMARK stockholders(3) |
$ | 116 | ||||||||||||||||||
|
|
|||||||||||||||||||
Pro forma net income attributable to ARAMARK stockholders (as adjusted)(4) |
$ | 109 | ||||||||||||||||||
|
|
|||||||||||||||||||
Per Share Data: |
||||||||||||||||||||
Basic: |
||||||||||||||||||||
Income (loss) from continuing operations |
$ | 0.35 | $ | 0.51 | $ | 0.47 | $ | 0.16 | $ | (0.00 | ) | |||||||||
Income (loss) from discontinued operations |
(0.01 | ) | | (0.06 | ) | (0.01 | ) | (0.03 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income (loss) attributable to ARAMARK stockholders |
$ | 0.34 | $ | 0.51 | $ | 0.41 | $ | 0.15 | $ | (0.03 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Diluted: |
||||||||||||||||||||
Income (loss) from continuing operations |
$ | 0.34 | $ | 0.49 | $ | 0.46 | $ | 0.16 | $ | (0.00 | ) | |||||||||
Income (loss) from discontinued operations |
(0.01 | ) | | (0.06 | ) | (0.01 | ) | (0.03 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income (loss) attributable to ARAMARK stockholders |
$ | 0.33 | $ | 0.49 | $ | 0.40 | $ | 0.15 | $ | (0.03 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Pro forma basic: |
||||||||||||||||||||
Income from continuing operations |
$ | 0.58 | ||||||||||||||||||
Loss from discontinued operations |
(0.01 | ) | ||||||||||||||||||
|
|
|||||||||||||||||||
Net income attributable to ARAMARK stockholders(3) |
$ | 0.57 | ||||||||||||||||||
|
|
46
Fiscal year(1) | ||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | ||||||||||||||||
(dollars in millions, except per share data) | ||||||||||||||||||||
Pro forma diluted: |
||||||||||||||||||||
Income from continuing operations |
$ | 0.56 | ||||||||||||||||||
Loss from discontinued operations |
(0.01 | ) | ||||||||||||||||||
|
|
|||||||||||||||||||
Net income attributable to ARAMARK stockholders(3) |
$ | 0.55 | ||||||||||||||||||
|
|
|||||||||||||||||||
Pro forma, as adjusted, basic: |
||||||||||||||||||||
Income from continuing operations |
$ | 0.48 | ||||||||||||||||||
Loss from discontinued operations |
(0.01 | ) | ||||||||||||||||||
|
|
|||||||||||||||||||
Net income attributable to ARAMARK stockholders (4) |
$ | 0.47 | ||||||||||||||||||
|
|
|||||||||||||||||||
Pro forma, as adjusted, diluted: |
||||||||||||||||||||
Income from continuing operations |
$ | 0.47 | ||||||||||||||||||
Loss from discontinued operations |
(0.01 | ) | ||||||||||||||||||
|
|
|||||||||||||||||||
Net income attributable to ARAMARK stockholders(4) |
$ | 0.46 | ||||||||||||||||||
|
|
|||||||||||||||||||
Cash dividend per share(5) |
$ | | $ | | $ | 3.50 | $ | | $ | | ||||||||||
Statement of cash flows data: |
||||||||||||||||||||
Net cash provided by/(used in): |
||||||||||||||||||||
Operating activities(6) |
$ | 696 | $ | 692 | $ | 304 | $ | 634 | $ | 707 | ||||||||||
Investing activities |
(385 | ) | (482 | ) | (363 | ) | (354 | ) | (465 | ) | ||||||||||
Financing activities(6) |
(336 | ) | (287 | ) | 112 | (344 | ) | (167 | ) | |||||||||||
Other financial data: |
||||||||||||||||||||
Capital expenditures, net of disposals |
382 | 343 | 272 | 264 | 330 | |||||||||||||||
Ratio of earnings to fixed charges(8) |
1.2 | x | 1.2 | x | 1.1 | x | 1.0 | x | 0.9 | x | ||||||||||
Balance sheet data (at period end): |
||||||||||||||||||||
Cash and cash equivalents |
$ | 111 | $ | 137 | $ | 213 | $ | 161 | $ | 225 | ||||||||||
Total assets(6) |
10,267 | 10,487 | 10,523 | 10,222 | 10,327 | |||||||||||||||
Total debt (including current portion of long term debt)(6)(7) |
5,824 | 6,009 | 6,232 | 5,402 | 5,722 | |||||||||||||||
Total equity(5) |
904 | 967 | 882 | 1,397 | 1,360 |
(1) | Fiscal years 2013, 2012, 2011, 2010 and 2009 refer to the fiscal years ended September 27, 2013, September 28, 2012, September 30, 2011, October 1, 2010 and October 2, 2009, respectively. Fiscal years 2013, 2012, 2011 and 2010 were each 52-week periods. |
(2) | During fiscal 2011, the Company completed the sale of its wholly-owned subsidiary, Galls, for approximately $75.0 million in cash. The transaction resulted in a pretax loss of approximately $1.5 million (after-tax loss of approximately $12.0 million). Galls is accounted for as a discontinued operation. Galls results of operations have been removed from the Companys results of continuing operations for all periods presented. |
(3) | The pro forma net income attributable to ARAMARK stockholders assumes a reduction of interest expense, net of tax, of approximately $47 million for fiscal 2013 related to the debt refinancing that occurred during the second quarter of fiscal 2013. The pro forma net income attributable to ARAMARK stockholders and per share data assumes the debt refinancing occurred at the beginning of fiscal 2013. |
(4) | The pro forma net income attributable to ARAMARK stockholders (as adjusted) and per share data (as adjusted) for fiscal 2013 assumes $522.2 million of the proceeds from the initial public offering are used to repay amounts due under our senior secured credit facilities. Pro forma net income attributable to ARAMARK stockholders (as adjusted) for fiscal 2013 assumes a reduction of interest expense, net of tax, of approximately $11.9 million related to such repayment of our senior secured credit facilities and an increase in share-based compensation expense of approximately $22.6 million for the ongoing portion of the non-cash charge related to the modification of the terms of certain performance-based options outstanding. The pro forma net income attributable to ARAMARK stockholders (as adjusted) and per share data (as adjusted) assumes the initial public offering and the related application of net proceeds was completed at the beginning of fiscal 2013. |
(5) | During fiscal 2011, the Company paid a dividend of approximately $711 million to its stockholders. On October 29, 2012, we completed the spin-off of our majority interest in Seamless North America, LLC, on online and mobile food ordering service, to our stockholders in the form of a dividend. Each stockholder received one share of the common stock or Seamless Holdings, a newly formed company created to hold our former interest in Seamless North America, LLC, for each share of our common stock held as of the record date. |
(6) | In the first quarter of fiscal 2011, the Company adopted the new authoritative accounting guidance regarding transfers of financial assets. The impact upon adoption resulted in the recognition of both the receivables securitized under the program and the borrowings they collateralize on the Consolidated Balance Sheet, which led to a $220.9 million increase in Receivables and Long-Term Borrowings. As a result of implementing the new guidance, funding under the agreement of $220.9 million on October 2, 2010 was reflected in the Companys Consolidated Statement of Cash Flows as a use of cash from the securitization of accounts receivables under net cash provided by/(used in) operating activities and as a source of cash under net cash provided by/(used in) provided by financing activities. |
47
(7) | During fiscal 2011, the Company completed a private placement of $600 million, net of a 1% discount, in aggregate principal amount of 8.625% / 9.375% Senior Notes due 2016. In the second quarter of fiscal 2013, the Company completed a refinancing, repurchasing ARAMARK Corporations outstanding 8.50% Senior Notes due 2015 and Senior Floating Rate Notes due 2015 and our 8.625% / 9.375% Senior Notes due 2016. The Company refinanced that debt with new term loan borrowings under its senior secured credit facilities and the issuance of the outstanding notes. |
(8) | For the purpose of determining the ratio of earnings to fixed charges, earnings include pretax income (loss) from continuing operations plus fixed charges (excluding capitalized interest). Fixed charges consist of interest on all indebtedness (including capitalized interest) plus that portion of operating lease rentals representative of the interest factor (deemed to be one third of operating lease rentals). Prior periods have been adjusted to reflect Galls as a discontinued operation. |
48
MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
The following discussion and analysis of our financial condition and results of operations for the fiscal years ended September 27, 2013, September 28, 2012 and September 30, 2011, should be read in conjunction with Selected Consolidated Financial Data and our consolidated financial statements and the notes to those statements.
Our discussion contains forward-looking statements based upon current expectations that involve risks and uncertainties, such as our plans, objectives, opinions, expectations, anticipations, intentions and beliefs. Actual results and the timing of events could differ materially from those anticipated in those forward-looking statements as a result of a number of factors, including those set forth under Risk Factors, Statements Regarding Forward-looking Information and Business sections and elsewhere in this prospectus. In the following discussion and analysis of financial condition and results of operations, certain financial measures may be considered non-GAAP financial measures under Securities and Exchange Commission (SEC) rules. These rules require supplemental explanation and reconciliation, which is provided elsewhere in this prospectus.
Overview
We are a leading global provider of food, facilities and uniform services to education, healthcare, business and industry, and sports, leisure and corrections clients. Our core market is North America, which is supplemented by an additional 19-country footprint serving many of the fastest growing global geographies. Through our established brand, broad geographic presence and approximately 272,000 employees, we anchor our business in our partnerships with thousands of education, healthcare, business, sports, leisure and corrections clients. Through these partnerships we serve millions of consumers including students, patients, employees, sports fans and guests worldwide.
The Company operates its business in three reportable segments:
| Food and Support Services North America (FSS North America)Food, refreshment, specialized dietary and support services, including facility maintenance and housekeeping, provided to business, educational and healthcare institutions and in sports, entertainment, recreational and other facilities serving the general public in the United States, Canada and Mexico. |
| Food and Support Services International (FSS International)Food, refreshment, specialized dietary and support services, including facility maintenance and housekeeping, provided to business, educational and healthcare institutions and in sports, entertainment, recreational and other facilities serving the general public. We have operations in 19 countries outside North America. Our largest international operations are in the United Kingdom, Germany, Chile and Ireland, and in each of these countries we are one of the leading food service providers. We also have operations in emerging market geographies, such as South America and China, and we own 50% of AIM Services Co., Ltd., a leader in providing outsourced food services in Japan. |
| Uniform and Career Apparel (Uniform)Rental, sale, cleaning, maintenance and delivery of personalized uniform and career apparel and other textile items on a contract basis and direct marketing of personalized uniforms and career apparel and accessories to businesses, public institutions and individuals. We also provide walk-off mats, cleaning cloths and disposable towels. |
Our Food and Support Services operations focus on serving clients in four principal sectors: Education, Healthcare, Business & Industry and Sports, Leisure and Corrections. Our FSS International reportable segment provides a similar range of services as those provided to our FSS North America reportable segment clients and operates in the same sectors although it is more heavily weighted towards Business & Industry. In fiscal 2013, our FSS North America segment generated $9.6 billion in sales, or 69% of our total sales, and our FSS International
49
segment generated $2.9 billion in sales, or 21% of our total sales. Our Uniform segment provides uniforms, career and image apparel, work clothes and accessories to meet the needs of clients in a wide range of industries in the United States, Puerto Rico, Japan and Canada, including manufacturing, transportation, construction, restaurants and hotels, healthcare and pharmaceutical industries and many others. We supply garments, other textile and paper products and other accessories through rental and direct purchase programs to businesses, government agencies and individuals. In fiscal 2013, our Uniform segment generated $1.4 billion in sales, or 10% of our total sales. Administrative expenses not allocated to our three reportable segments are presented separately as corporate expenses and are not included in our segment results.
Our operating results continue to be affected by the economic uncertainty being experienced in the countries in which we operate. We anticipate that economic conditions, specifically in Europe, and unemployment levels will continue to remain challenging.
Across all of our businesses, we are planning and executing both growth and cost control initiatives and are working to streamline and improve the efficiency and effectiveness of our general and administrative functions through increased standards, process improvements, and consolidation. As a result, we recorded certain costs related to these initiatives starting in the second quarter of fiscal 2013 and estimate that we will incur an additional $20 to $45 million of costs over the next 15 months.
Seasonality
Our sales and operating results have varied, and we expect them to continue to vary, from quarter to quarter, as a result of different factors. Within our FSS North America segment, historically there has been a lower level of activity during our first and second fiscal quarters in operations that provide services to sports, entertainment and recreational clients. This lower level of activity historically has been partially offset during our first and second fiscal quarters by the increased activity in our educational operations. Conversely, historically there has been a significant increase in the provision of services to sports, entertainment and recreational clients during our third and fourth fiscal quarters, which is partially offset by the effect of summer recess at colleges, universities and schools on our educational operations.
Sources of Sales
Our clients engage us, generally through written contracts, to provide our services at their locations. Depending on the type of client and service, we are paid either by our client or directly by the consumer to whom we have been provided access by our client. We use two general contract types in our FSS North America and FSS International segments: profit and loss contracts and client interest contracts. These contracts differ in their provision for the amount of financial risk that we bear and, accordingly, the potential compensation, profits or fees we may receive. Under profit and loss contracts, we receive all of the revenue from, and bear all of the expenses of, the provision of our services at a client location. For fiscal 2013, approximately 73% of our FSS North America and FSS International sales were derived from profit and loss contracts. Client interest contracts include management fee contracts, under which our clients reimburse our operating costs and pay us a management fee, which may be calculated as a fixed dollar amount or a percentage of sales or operating costs. Some management fee contracts entitle us to receive incentive fees based upon our performance under the contract, as measured by factors such as sales, operating costs and customer satisfaction surveys. For fiscal 2013, approximately 27% of our FSS North America and FSS International sales were derived from client interest contracts.
For our Uniform segment, we typically serve our rental clients under written service contracts for an initial term of three to five years. Because the majority of our clients purchase on a recurring basis, our backlog of orders at any given time consists principally of orders in the process of being filled. With the exception of certain governmental bid business, most of our direct marketing business is conducted under invoice arrangement with repeat clients. Our direct marketing business is, to a large degree, relationship-centered. While we have long term relationships with some of our larger clients, we generally do not have contracts with these clients.
50
Costs and Expenses
Our costs and expenses are comprised of Cost of services provided, depreciation and amortization and selling and general corporate expenses. Cost of services provided consists of direct expenses associated with our operations, including food costs, wages, other labor related expenses (including workers compensation, state unemployment insurance and federal or state mandated health benefits and other healthcare costs), insurance, fuel, utilities, piece goods and clothing and equipment. Depreciation and amortization mainly relate to assets used in generating sales. Selling and general corporate expenses include expenses related to sales commissions, marketing, share-based compensation and other costs related to administrative functions including compensation and benefits, professional services and information technology.
Interest and Other Financing Costs, net
Interest and other financing costs, net relates primarily to interest expense on long-term borrowings. Interest and other financing costs, net also includes third-party costs associated with long-term borrowings that were capitalized as deferred financing costs and are being amortized over the term of the borrowing.
Provision for Income Taxes
The provision for income taxes represents federal, foreign, state and local income taxes. Our effective tax rate differs from the statutory U.S. income tax rate due to the effect of state and local income taxes, tax rates in foreign jurisdictions and certain nondeductible expenses. Our effective tax rate will change from quarter to quarter based on recurring and nonrecurring factors including, but not limited to, the geographical mix of earnings, enacted tax legislation, including certain business tax credits, state and local income taxes, tax audit settlements and the effect of various global tax strategies. Changes in judgment from the evaluation of new information resulting in the recognition, derecognition or remeasurement of a tax position taken in a prior annual period are recognized separately in the quarter of the change.
Foreign Currency Fluctuations
The impact from foreign currency translation assumes constant foreign currency exchange rates based on the rates in effect for the current year period were used in translation for the comparable prior year period. We believe that providing the impact of fluctuations in foreign currency rates on certain financial results can facilitate analysis of period-to-period comparisons of business performance.
51
RESULTS OF OPERATIONS
The following tables present our sales and operating income from continuing operations, and related percentages, attributable to each reportable segment for the fiscal years 2013, 2012 and 2011 (dollars in millions). On September 30, 2011, the Company sold its wholly-owned subsidiary, Galls. Accordingly, operating results for this business are reported as discontinued operations.
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||||||||||||||
Sales by Segment |
$ | % | $ | % | $ | % | ||||||||||||||||||
FSS North America |
$ | 9,665.2 | 69 | % | $ | 9,413.2 | 70 | % | $ | 9,019.0 | 69 | % | ||||||||||||
FSS International |
2,869.2 | 21 | % | 2,729.5 | 20 | % | 2,723.3 | 21 | % | |||||||||||||||
Uniform |
1,411.3 | 10 | % | 1,362.7 | 10 | % | 1,340.1 | 10 | % | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
$ | 13,945.7 | 100 | % | $ | 13,505.4 | 100 | % | $ | 13,082.4 | 100 | % | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||||||||||||||
Operating Income by Segment |
$ | % | $ | % | $ | % | ||||||||||||||||||
FSS North America |
$ | 405.1 | 79 | % | $ | 425.6 | 73 | % | $ | 400.5 | 73 | % | ||||||||||||
FSS International |
66.2 | 13 | % | 89.9 | 15 | % | 79.9 | 15 | % | |||||||||||||||
Uniform |
117.3 | 22 | % | 118.1 | 21 | % | 117.3 | 21 | % | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
588.6 | 114 | % | 633.6 | 109 | % | 597.7 | 109 | % | ||||||||||||||||
Corporate |
(74.2 | ) | -14 | % | (51.8 | ) | -9 | % | (50.6 | ) | -9 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
$ | 514.4 | 100 | % | $ | 581.8 | 100 | % | $ | 547.1 | 100 | % | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2013 Compared to Fiscal 2012
Consolidated Overview
Sales of $13.9 billion for fiscal 2013 represented an increase of 3% over the prior year period. This increase is primarily attributable to growth in the Sports, Leisure and Corrections, Healthcare and Education sectors and the facilities business in the Business & Industry sector of the FSS North America segment, growth in Ireland, China, Chile and Argentina in our FSS International segment and growth in the uniform rental base business in our Uniform segment. This increase was partially offset by a sales decline in the U.K. in our FSS International segment. Sales for fiscal 2013 were negatively impacted as a result of the National Hockey League (NHL) lockout and the impact of Hurricane Sandy in our FSS North America segment and the spin-off of Seamless North America, LLC (Seamless) in October 2012 in the Business & Industry sector of the FSS North America segment.
Cost of services provided was $12.7 billion for fiscal 2013 compared to $12.2 billion for the prior year period. Cost of services provided as a percentage of sales was 91% for fiscal 2013 compared to 90% in the prior year period. Food and support service costs comprised approximately 27% of Cost of services provided for fiscal 2013 compared to 28% for fiscal 2012, personnel costs comprised approximately 47% of Cost of services provided for both periods, and other direct costs comprised the remaining approximately 26% of Cost of services provided for fiscal 2013 as compared to 25% for fiscal 2012. Cost of services provided was impacted by the items discussed below for operating income.
Operating income for fiscal 2013 was $514.4 million compared to $581.8 million in the prior year period. The decline in operating income for fiscal 2013 was primarily due to $63.9 million of severance and related costs as a result of the series of actions the Company initiated in the second quarter of fiscal 2013 to drive efficiency
52
through the consolidation and centralization of its operations (see Note 4 to our consolidated financial statements). During fiscal 2013, the Company also recorded approximately $11.7 million of goodwill impairment charges (see Note 5 to our consolidated financial statements), other asset write-downs of approximately $12.0 million primarily related to the write-offs of certain client contractual investments and approximately $20.7 million of costs related to transformation initiatives. In addition, fiscal 2013 was also negatively affected by the NHL lockout and Hurricane Sandy. This profit decline was partially offset by profit growth in our Business & Industry and Education sectors and other income recognized of approximately $14.0 million relating to the recovery of the Companys investment (possessory interest) at one of the National Park Service (NPS) sites in the Sports, Leisure and Corrections sector, which was terminated in the current year. Fiscal 2012 includes other income recognized of $6.7 million relating to the recovery of the Companys investment (possessory interest) at one of the NPS sites in the Sports, Leisure and Corrections sector, which was terminated during fiscal 2012, a favorable risk insurance adjustment of $7.4 million related to favorable claims experience, of which $5.7 million relates to our Uniform segment, transition and integration costs of $4.9 million related to the Filterfresh acquisition and severance related charges of $6.9 million in the Uniform segment and FSS International segment.
Interest and Other Financing Costs, net, for fiscal 2013 decreased by approximately $33.0 million when compared to the prior year period. The decrease in fiscal 2013 was primarily due to the maturity of interest rate swaps during fiscal 2012 and the repurchase of the 8.625% / 9.375% Senior Notes due 2016 (Holdings Notes), 8.50% senior notes due 2015 (Fixed Rate Notes) and senior floating rate notes due 2015 (Floating Rate Notes) (see Note 6 to our consolidated financial statements). Interest and Other Financing Costs, net, for fiscal 2013 includes charges of $39.8 million in connection with the tender offer and repayment of the Holdings Notes, Fixed Rate Notes and Floating Rate Notes, consisting of $12.9 million of third-party costs for the tender offer premium and $26.9 million of non-cash charges for the write-off of deferred financing costs. Interest and Other Financing Costs, net, for fiscal 2013 also includes approximately $11.6 million of third-party costs incurred related to Amendment Agreement No. 3 to the senior secured credit agreement and approximately $3.2 million of hedge ineffectiveness related to the repayment of the Canadian subsidiarys term loan with a maturity date of January 26, 2014. Interest and Other Financing Costs, net, for fiscal 2012 includes $11.1 million of third-party costs related to Amendment Agreement No. 2 and the amendment of the Companys Canadian subsidiary cross currency swap.
The effective income tax rate for fiscal 2013 was 21.2% compared to 14.5% in the prior year period. The increase is primarily due to the goodwill impairment charges in the second quarter of fiscal 2013 that were non-tax deductible which more than offset the impact of the work opportunity tax credits that were extended under the American Taxpayer Relief Act.
Income from continuing operations was $71.4 million during fiscal 2013 compared to $106.9 million in the prior year period. Income (loss) from discontinued operations was ($1.0) million during fiscal 2013 compared to $0.3 million in the prior year period. Net income attributable to noncontrolling interests for fiscal 2013 was $1.0 million compared to $3.6 million in the prior year period.
Segment Results
The following tables present a fiscal 2013/2012 comparison of reportable segment sales and operating income from continuing operations together with the amount of and percentage change between periods (dollars in millions).
Sales by Segment |
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
$ | % | ||||||||||||
FSS North America |
$ | 9,665.2 | $ | 9,413.2 | $ | 252.0 | 3 | % | ||||||||
FSS International |
2,869.2 | 2,729.5 | 139.7 | 5 | % | |||||||||||
Uniform |
1,411.3 | 1,362.7 | 48.6 | 4 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 13,945.7 | $ | 13,505.4 | $ | 440.3 | 3 | % | |||||||||
|
|
|
|
|
|
|
|
53
Operating Income by Segment |
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
$ | % | ||||||||||||
FSS North America |
$ | 405.1 | $ | 425.6 | $ | (20.5 | ) | -5 | % | |||||||
FSS International |
66.2 | 89.9 | (23.7 | ) | -26 | % | ||||||||||
Uniform |
117.3 | 118.1 | (0.8 | ) | -1 | % | ||||||||||
Corporate |
(74.2 | ) | (51.8 | ) | (22.4 | ) | 43 | % | ||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 514.4 | $ | 581.8 | $ | (67.4 | ) | -12 | % | ||||||||
|
|
|
|
|
|
|
|
FSS North America Segment
The Food and Support ServicesNorth America reportable segment consists of four operating segments which have similar economic characteristics and are aggregated into a single operating segment consistent with the objective and basic principles of Financial Accounting Standards Board Accounting Standard Codification 280-10-50-11. The four operating segments of the Food and Support ServicesNorth America reportable segment are Business & Industry; Education; Healthcare; and Sports, Leisure and Corrections.
Sales for each of these operating segments are summarized as follows (dollars in millions):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
|||||||
Business & Industry |
$ | 2,287.1 | $ | 2,315.4 | ||||
Education |
3,385.5 | 3,217.9 | ||||||
Healthcare |
1,982.5 | 1,941.6 | ||||||
Sports, Leisure and Corrections |
2,010.1 | 1,938.3 | ||||||
|
|
|
|
|||||
$ | 9,665.2 | $ | 9,413.2 | |||||
|
|
|
|
The Companys Education and Healthcare operating segments generally have high-single digit operating margins while the Business & Industry and Sports, Leisure and Corrections operating segments generally have mid-single digit operating margins.
FSS North America segment sales for fiscal 2013 increased 3% over the prior year period, primarily due to growth in the Sports, Leisure and Corrections, Healthcare and Education sectors and in the facilities business in the Business & Industry sector. Sales for fiscal 2013 were negatively impacted by the NHL lockout and Hurricane Sandy. The negative impact of acquisitions and divestitures was approximately -1% in fiscal 2013.
The Business & Industry sector had a low-single digit sales decline for fiscal 2013 primarily due to the spin-off of Seamless in October 2012 and the impact of Hurricane Sandy on our business dining operations. This was somewhat offset by growth in our facilities business as a result of base and net new business growth.
The Education sector had mid-single digit sales growth for fiscal 2013 due to base and net new business growth in our Higher Education and K-12 food and facilities businesses.
The Healthcare sector had low-single digit sales growth for fiscal 2013. This was primarily due to base business growth as net new business has been impacted by sector uncertainty.
The Sports, Leisure and Corrections sector had mid-single digit sales growth for fiscal 2013 due to growth in our Major League Baseball venues. In addition, we have seen an increase in attendance and number of events in our amphitheaters. This growth was partially offset by the effect of the NHL lockout.
Cost of services provided was $8.8 billion for fiscal 2013 compared to $8.6 billion for the prior year period. Cost of services provided as a percentage of sales was 91% in both periods. Cost of services provided was impacted by the items discussed below for operating income.
54
Operating income for fiscal 2013 was $405.1 million compared to $425.6 million in the prior year period. The decrease in fiscal 2013 is due to approximately $43.5 million of severance and related costs, $6.8 million of asset write-offs and approximately $15.2 million of costs related to transformation initiatives, which more than offset the profit growth in our Business & Industry and Education sectors from food and labor productivity initiatives and the other income recognized of approximately $14.0 million relating to the recovery of the Companys investment (possessory interest) at one of the NPS sites in the Sports, Leisure and Corrections sector, which was terminated in the current year. Fiscal 2013 was also negatively affected by the NHL lockout and Hurricane Sandy. Operating income for fiscal 2012 includes other income recognized of $6.7 million relating to the recovery of the Companys investment (possessory interest) at one of the NPS sites in the Sports, Leisure and Corrections sector, which was terminated during fiscal 2012 and $4.9 million of transition and integration costs related to the Filterfresh acquisition.
FSS International Segment
Sales in the FSS International segment for fiscal 2013 increased 5% compared to the prior year period, as net new and base business growth in Chile, China, Argentina and Germany more than offset the sales decline in the U.K. as a result of the Olympics in the prior year (-2%) and prior year lost business.
Cost of services provided was $2.7 billion for fiscal 2013 compared to $2.5 billion for the prior year period. Cost of services provided as a percentage of sales was 95% in fiscal 2013 compared to 94% in fiscal 2012. Cost of services provided was impacted by the items discussed below for operating income.
Operating income for fiscal 2013 was $66.2 million compared to $89.9 million in the prior year period as profit growth in Chile and Germany was more than offset by $14.6 million of severance and related costs, $16.9 million of goodwill impairment charges and other asset write-offs and $2.3 million of costs related to transformation initiatives as well as the negative impact of foreign currency translation (approximately -3%).
Uniform Segment
Uniform segment sales increased 4% for fiscal 2013 compared to the prior year period primarily due to growth in our uniform rental base business.
Cost of services provided was $1.1 billion for both periods. Cost of services provided as a percentage of sales was 80% for fiscal 2013 compared to 79% for the prior year period. Cost of services provided was impacted by the items discussed below for operating income.
Operating income for fiscal 2013 was $117.3 million compared to $118.1 million in the prior year period as growth in the uniform rental business and operational efficiencies across the segment were more than offset by $8.5 million of severance and related costs, which includes $3.7 million of severance related expenses recorded in the first quarter of fiscal 2013, and a net charge of approximately $6.5 million related to multiemployer pension withdrawals and a final settlement of wage and hour claims, net of a favorable risk insurance adjustment. Operating income for fiscal 2012 includes severance related charges of $2.6 million and a favorable risk insurance adjustment of $5.7 million.
Corporate
Corporate expenses, those administrative expenses not allocated to the business segments, were $74.2 million for fiscal 2013 compared to $51.8 million for the prior year period. The increase is primarily due to the increase in share-based compensation expense for performance-based options and the issuance of restricted stock units (see note 11 to the consolidated financial statements), an accounting charge related to the retirement obligation to our current Chairman and former Chief Executive Officer, increase in consulting costs, approximately $1.0 million of severance and related costs and approximately $3.2 million of costs related to transformation initiatives.
55
Fiscal 2012 Compared to Fiscal 2011
Consolidated Overview
Sales of $13.5 billion for fiscal 2012 represented an increase of 3% over the prior year. This increase is primarily attributable to growth in the Higher Education business and Business & Industry sector of the FSS North America segment, growth in Ireland, Germany, China, Chile and Argentina in our FSS International segment, growth in the uniform rental business in our Uniform segment and the impact of acquisitions (approximately 1%). Sales were also positively impacted from our role as the exclusive food service provider in the Athletes Villages for the London Olympics in the U.K. in our FSS International segment. This increase more than offset the sales decline in Spain in our FSS International segment and the negative impact of foreign currency translation (approximately -1%).
Cost of services provided was $12.2 billion for fiscal 2012 compared to $11.8 billion for the prior year. Cost of services provided as a percentage of sales was 90% in both periods. Food and support service costs comprised approximately 28% of Cost of services provided for both periods, personnel costs comprised approximately 47% of Cost of services provided for both periods, and other direct costs comprised the remaining approximately 25% of Cost of services provided for both periods. Cost of services provided was impacted by the items discussed below for operating income.
Operating income was $581.8 million for fiscal 2012 compared to $547.1 million for the prior year. This increase is primarily attributable to profit growth in our Higher Education business, our Healthcare sector and in the U.K., Ireland and Chile, offset by the negative impact of foreign currency translation (approximately -1%). Fiscal 2012 also includes other income recognized of $6.7 million relating to the recovery of the Companys investment (possessory interest) at one of the National Park Service (NPS) sites in the Sports, Leisure and Corrections sector, which was terminated during fiscal 2012, a favorable risk insurance adjustment of $7.4 million related to favorable claims experience, of which $5.7 million relates to our Uniform segment, transition and integration costs of $4.9 million related to the Filterfresh acquisition and severance related charges of $6.9 million. Fiscal 2011 included a gain of approximately $7.7 million on the sale of the Companys 67% ownership interest in the security business of its Chilean subsidiary, favorable non-income tax settlements of approximately $5.3 million in the U.K., a goodwill and other intangible assets impairment charge of $5.3 million, severance related charges of approximately $22.8 million, other income of approximately $7.8 million related to a compensation agreement signed with the NPS under which the NPS agreed to pay down a portion of our investment (possessory interest) in certain assets at one of our NPS sites in our Sports, Leisure and Corrections sector and a favorable risk insurance adjustment of $5.7 million.
Interest and Other Financing Costs, net, for fiscal 2012 increased approximately $5.7 million from the prior year primarily due to the impact of a full year of interest expense on the Holdings Notes compared to the prior year period, which more than offset the positive impact of interest rate swaps that matured during fiscal 2012. Interest and Other Financing Costs, net, for fiscal 2012 includes $7.5 million of third-party costs incurred related to the March 2012 amendment that extended the U.S. dollar equivalent of approximately $1,231.6 million of the Companys term loans and approximately $3.6 million of hedge ineffectiveness incurred related to the Companys amendment of its cross currency swaps. Interest and Other Financing Costs, net, for fiscal 2011 includes interest income related to $14.1 million of favorable non-income tax settlements in the U.K. recorded in the second quarter of fiscal 2011 and a write-off of deferred financing fees of $2.1 million related to the amendment that extended the U.S. dollar denominated portion of the revolving credit facility.
The effective income tax rate for fiscal 2012 was 14.5% compared to (0.8%) in the prior year. The higher effective income tax rate in fiscal 2012 is due to a reduction of approximately $17.0 million in reserves in fiscal 2011 related to the remeasurement of an uncertain tax position.
Income from continuing operations for fiscal 2012 was $106.9 million compared to $96.7 million in the prior year. Income (loss) from discontinued operations during fiscal 2012 was $0.3 million compared to $(11.7) million in fiscal 2011. Fiscal 2011 included the pretax loss of approximately $1.5 million (after-tax loss of
56
approximately $12.0 million) related to the sale of the Companys wholly-owned subsidiary, Galls, for approximately $75.0 million in cash (see Note 2 to our consolidated financial statements). Net income attributable to noncontrolling interests for fiscal 2012 was $3.6 million compared to $1.1 million in the prior year.
Segment Results
The following tables present a fiscal 2012/2011 comparison of reportable segment sales and operating income from continuing operations together with the amount of and percentage change between periods (dollars in millions).
Sales by Segment |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
$ | % | ||||||||||||
FSS North America |
$ | 9,413.2 | $ | 9,019.0 | $ | 394.2 | 4 | % | ||||||||
FSS International |
2,729.5 | 2,723.3 | 6.2 | | % | |||||||||||
Uniform |
1,362.7 | 1,340.1 | 22.6 | 2 | % | |||||||||||
|
|
|
|
|
|
|||||||||||
$ | 13,505.4 | $ | 13,082.4 | $ | 423.0 | 3 | % | |||||||||
|
|
|
|
|
|
|||||||||||
Operating Income by Segment |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
$ | % | ||||||||||||
FSS North America |
$ | 425.6 | $ | 400.5 | $ | 25.1 | 6 | % | ||||||||
FSS International |
89.9 | 79.9 | 10.0 | 13 | % | |||||||||||
Uniform |
118.1 | 117.3 | 0.8 | 1 | % | |||||||||||
Corporate |
(51.8 | ) | (50.6 | ) | (1.2 | ) | 2 | % | ||||||||
|
|
|
|
|
|
|||||||||||
$ | 581.8 | $ | 547.1 | $ | 34.7 | 6 | % | |||||||||
|
|
|
|
|
|
FSS North America Segment
The Food and Support ServicesNorth America reportable segment consists of four operating segments which have similar economic characteristics and are aggregated into a single operating segment consistent with the objective and basic principles of Financial Accounting Standards Board Accounting Standard Codification 280-10-50-11. The four operating segments of the Food and Support ServicesNorth America reportable segment are Business & Industry; Education; Healthcare; and Sports, Leisure and Corrections.
Sales for each of these operating segments are summarized as follows (dollars in millions):
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
|||||||
Business & Industry |
$ | 2,315.4 | $ | 2,139.1 | ||||
Education |
3,217.9 | 3,111.6 | ||||||
Healthcare |
1,941.6 | 1,877.6 | ||||||
Sports, Leisure and Corrections |
1,938.3 | 1,890.7 | ||||||
|
|
|
|
|||||
$ | 9,413.2 | $ | 9,019.0 | |||||
|
|
|
|
The Companys Education and Healthcare operating segments generally have high-single digit operating margins while the Business & Industry and Sports, Leisure and Corrections operating segments generally have mid-single digit operating margins.
57
FSS North America segment sales for fiscal 2012 increased 4% over the prior year primarily due to growth in the Higher Education business, the Sports, Leisure and Corrections and Business & Industry sectors and the positive impact of acquisitions (approximately 2%), which more than offset the negative impact of foreign currency translation (approximately -1%).
The Business & Industry sector had high-single digit sales growth for fiscal 2012 primarily due to base business growth in our refreshment services and facilities businesses. New sales related to the Filterfresh acquisition also contributed to the sales growth in the fiscal year. This growth more than offset the sales decline in our business dining operations due to the impact of net lost business.
The Education sector had low-single digit sales growth for fiscal 2012. This was due to base and net new business growth in our Higher Education food and facilities services businesses. This growth more than offset the sales decline in K-12 due to the impact of lost business.
The Healthcare sector had low-single digit sales growth for fiscal 2012. This was primarily due to base business growth and the full year impact of the 2011 acquisition of Masterplan within the Healthcare Technologies business.
The Sports, Leisure and Corrections sector had low-single digit sales growth for fiscal 2012 primarily related to growth at our National Hockey League and Major League Baseball venues. Sales in our Corrections business were flat as base business growth was offset by net lost business.
Cost of services provided was $8.6 billion for fiscal 2012 compared to $8.2 billion for the prior year. Cost of services provided as a percentage of sales was 91% in both periods. Cost of services provided was impacted by the items discussed below for operating income.
Operating income for fiscal 2012 was $425.6 million compared to $400.5 million in the prior year. The increase is due to profit growth in our Higher Education business and Healthcare sector and other income recognized of $6.7 million relating to the recovery of the Companys investment (possessory interest) at one of the NPS sites in the Sports, Leisure and Corrections sector, which was terminated in the current year. This profit growth more than offset the negative impact of foreign currency translation (approximately -1%), the profit decline in our Business & Industry sector and the transition and integration costs of $4.9 million related to the Filterfresh acquisition. Fiscal 2011 included other income recognized in the first quarter of fiscal 2011 of $7.8 million related to a compensation agreement signed with the NPS under which the NPS agreed to pay down a portion of our investment (possessory interest) in certain assets at one of our NPS sites in our Sports, Leisure and Corrections sector and severance related charges of $6.2 million.
FSS International Segment
Sales in the FSS International segment for fiscal 2012 were flat compared to the prior year as growth in Ireland, Germany, China, Chile and Argentina and sales related to the London Olympics (approximately 2%) were offset by the negative impact of foreign currency translation (approximately -5%), divestitures (approximately -1%) and the sales decline in Spain (approximately -1%).
Cost of services provided was $2.5 billion for both periods. Cost of services provided as a percentage of sales was 94% in both periods. Cost of services provided was impacted by the items discussed below for operating income.
Operating income for fiscal 2012 was $89.9 million compared to $79.9 million in the prior year. This increase is primarily attributable to profit growth in the U.K., Ireland and Chile and a reduction in severance related expenses, which more than offset the profit decline in Belgium and in our equity method investee in Japan and the negative impact of foreign currency translation (approximately -4%). Operating income for fiscal
58
2011 included a gain of $7.7 million related to the divestiture of the Companys 67% ownership interest in the security business of its Chilean subsidiary, favorable non-income tax settlements in the U.K. of $5.3 million, a goodwill and other intangible assets impairment charge of $5.3 million and severance related expenses of $11.4 million.
Uniform Segment
Uniform segment sales increased 2% for fiscal 2012 compared to the prior year, resulting primarily from growth in our uniform rental business.
Cost of services provided was $1.1 billion for both periods. Cost of services provided as a percentage of sales was 79% for both periods. Cost of services provided was impacted by the items discussed below for operating income.
Operating income for fiscal 2012 was $118.1 million compared to $117.3 million in the prior year as the increase in favorable risk insurance adjustments compared to the prior year and a reduction in severance related expenses more than offset the fiscal 2012 increased investment in our growing sales force and higher energy costs. Operating income for fiscal 2012 includes a favorable risk insurance adjustment of $5.7 million compared to $4.8 million in the prior year. Operating income for fiscal 2012 also includes severance related charges of $2.6 million compared to $3.9 million in the prior year.
Corporate
Corporate expenses, those administrative expenses not allocated to the business segments, were $51.8 million in fiscal 2012, compared to $50.6 million for the prior year. The increase is mainly due to costs related to the hiring of our new Chief Executive Officer and President in May 2012, which more than offset the decrease in share-based compensation expense related to performance-based options (see Note 10 to our consolidated financial statements), gains due to the change in fair value on gasoline and diesel fuel agreements and prior year charges for headcount reductions.
Quarterly Financial Data
The following table presents select historical quarterly consolidated statements of operations data for fiscal 2012 and fiscal 2013.
This quarterly information has been prepared using our unaudited condensed consolidated financial statements and only includes all normal recurring adjustments necessary for a fair presentation of the results of the interim periods.
(in millions) | Quarter Ended | |||||||||||||||||||||||||||||||
December 30, 2011 |
March 30, 2012 |
June 29, 2012 |
September 28, 2012 |
December 28, 2012 |
March 29, 2013 |
June 28, 2013 |
September 27, 2013 |
|||||||||||||||||||||||||
Sales |
$ | 3,423 | $ | 3,345 | $ | 3,336 | $ | 3,401 | $ | 3,536 | $ | 3,404 | $ | 3,490 | $ | 3,516 | ||||||||||||||||
Operating Income |
167 | 134 | 115 | 166 | 175 | 80 | 124 | 135 | ||||||||||||||||||||||||
Net income (loss) attributable to ARAMARK stockholders |
$ | 30 | $ | 1 | $ | 14 | $ | 59 | $ | 43 | $ | (40 | ) | $ | 27 | $ | 39 |
Liquidity and Capital Resources
Overview
Our principal sources of liquidity are cash generated from operating activities, funds from borrowings and existing cash on hand. As of September 27, 2013, we had $111.0 million of cash and cash equivalents and approximately $579.0 million of availability under our senior secured revolving credit facility.
59
We believe that our cash and cash equivalents and the unused portion of our committed credit availability under our senior secured revolving credit facility will be adequate to meet anticipated cash requirements to fund working capital, capital spending, debt service obligations, refinancings and other cash needs. We will continue to seek to invest strategically but prudently in certain sectors and geographies. Over time, the Company has repositioned its service portfolio so that today a significant portion of the operating income in our FSS North America segment comes from sectors and businesses such as Education, Healthcare and corrections, which we believe to be economically less sensitive. In addition, we have worked to further diversify our international business by geography and sector. The Company routinely monitors its cash flow and the condition of the capital markets in order to be prepared to respond to changing conditions.
The table below summarizes our cash activity (in millions):
Fiscal Year | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Net cash provided by operating activities |
$ | 695.9 | $ | 691.8 | $ | 303.6 | ||||||
Net cash used in investing activities |
(385.4 | ) | (481.6 | ) | (363.1 | ) | ||||||
Net cash (used in) provided by financing activities |
(336.3 | ) | (286.8 | ) | 112.0 |
Reference to the Consolidated Statements of Cash Flows will facilitate understanding of the discussion that follows.
Cash Flows Provided by Operating Activities
During fiscal 2013, the decrease in the total of net income and noncash charges results mainly from the results of operations of the Company as discussed above. As expected and consistent with historical patterns, working capital was a source of cash for us during fiscal 2013. The change in working capital requirements relates principally to changes in Inventory (approximately $15.4 million) due to less inventory purchases in our Uniform segment offset by inventory purchases for new business in our Sports, Leisure and Corrections sector and Accrued Expenses (approximately $144.9 million) due to the severance and related costs from the series of actions undertaken by the Company to drive efficiency through the consolidation and centralization of its operations, timing of interest payments and timing of higher commission payments from increased business offset by Accounts Receivable (approximately $63.4 million) primarily due to business growth and the timing of collections, Prepayments (approximately $87.5 million) due to the timing of estimated tax payments and a change in tax regulations that impacts the timing of deductions allowable for certain in service inventory and Accounts Payable (approximately $9.5 million) primarily due to business growth and the timing of disbursements. The Other operating activities caption reflects adjustments to net income in the current year period related to nonoperating gains and losses, which are primarily non-cash and include goodwill impairments and other financing related charges and write-offs.
During fiscal 2012, the increase in the total of net income and noncash charges results mainly from the overall growth of the business and higher results of operations of the Company, as discussed above. A portion of the net change in cash provided by operating activities was driven by the new accounting treatment for the Companys accounts receivable securitization agreement. On October 2, 2010, the Company adopted new accounting guidance that affected the presentation of its accounts receivables securitization program, through which the Company sells eligible accounts receivables on a revolving basis. As a result of implementing the new guidance, funding under the agreement of $220.9 million on October 2, 2010 was reflected in the Companys Consolidated Statement of Cash Flows as a use of cash from the securitization of accounts receivables under net cash provided in operating activities and as a source of cash under net cash (used in) provided by financing activities in fiscal 2011. As expected and consistent with historical patterns, working capital was a source of cash for us during fiscal 2012. The change in working capital requirements relates principally to changes in Accounts Receivable (approximately $66.7 million), primarily due to the improvement and timing of collections offset by the overall growth in the business, Accounts Payable (approximately $57.0 million), due to the timing of disbursements and Prepayments (approximately $41.4 million), primarily due to the timing of income tax payments, partially offset by changes in Inventory (approximately $24.3 million), primarily due to the growth of the business. The increase in the Other operating activities caption is primarily due to $34.9 million of cash distributions
60
received in fiscal 2012 versus $10.5 million in fiscal 2011 from our 50% ownership interest in AIM Services Co., Ltd. The Other, net caption also reflects adjustments to net income in the current year and prior year periods related to nonoperating gains and losses.
During fiscal 2011, the increase in the total of net income and noncash charges results mainly from the overall growth of the business and higher results of operations of the Company, as discussed above. Cash flows provided by operating activities include an increase in accounts receivable of $220.9 million associated with the Companys adoption of the new authoritative accounting guidance related to the transfer of financial assets in the first quarter of fiscal 2011. Effective October 2, 2010, the periodic transfers of undivided interests in accounts receivable no longer qualify for sale accounting treatment in accordance with the new accounting guidance and are now accounted for as secured borrowings. Cash flows after October 2, 2010 associated with the receivables facility are presented as financing activities. During fiscal 2011, the Companys accounts receivable increased by $220.9 million resulting in a cash outflow being reported in the operating section of the Consolidated Statement of Cash Flows and the secured borrowings associated with the Receivables Facility increased by $225.9 million resulting in a cash inflow being reported in the financing section of the Consolidated Statement of Cash Flows. As expected, working capital was a use of cash during fiscal 2011. The change in working capital requirements relates principally to changes in Accounts Receivable (approximately $42.6 million), primarily due to the overall growth of the business and timing of collections, Inventory (approximately $44.9 million) due to growth of the business, Accounts Payable (approximately $47.7 million) due to timing of disbursements and Accrued Expenses (approximately $35.7 million) due to the timing of commissions and income tax payments as compared to the prior year period. The Other operating activities caption reflects adjustments to net income related to nonoperating gains and losses.
Cash Flows Used in Investing Activities
During fiscal 2013, the Company received proceeds of approximately $15.3 million related to the recovery of our investment (possessory interest) in certain assets at one of our NPS sites in our Sports, Leisure and Corrections sector, which was terminated in the current year.
During fiscal 2012, ARAMARK Refreshment Services, LLC, a subsidiary of the Company, acquired all of the outstanding shares of common stock of Van Houtte USA Holdings, Inc. (doing business as Filterfresh), a refreshment services company, for approximately $145.2 million. The acquisition was financed with cash on hand and borrowings under the Companys revolving credit facility. Under the terms of the purchase agreement, if a certain significant customer relationship was not maintained within a specific timeframe, the Company was entitled to a refund of a portion of the purchase price. During fiscal 2012, the Company received a refund of approximately $7.4 million related to the termination of this customer relationship. During fiscal 2012, the Company received $5.5 million in cash related to the settlement of indemnity claims filed against the former owners of Masterplan. During fiscal 2012, the Company received proceeds of approximately $7.3 million related to the recovery of our investment (possessory interest) at one of our NPS sites in our Sports, Leisure and Corrections sector which was terminated in the current year.
During fiscal 2011, ARAMARK Clinical Technology Services, LLC, a subsidiary of the Company, purchased the common stock of the ultimate parent company of Masterplan, a clinical technology management and medical equipment maintenance company, for cash consideration of approximately $154.2 million. During fiscal 2011, the Company completed the sale of its wholly-owned subsidiary, Galls, for approximately $75.0 million in cash. The Company, also during fiscal 2011, completed the sale of the Companys 67% ownership interest in a security business in its Chilean subsidiary for approximately $11.6 million in cash. During fiscal 2011, the Company received proceeds of $7.8 million related to a compensation agreement signed with the NPS under which the NPS agreed to pay down a portion of our investment (possessory interest) in certain assets at one of our NPS sites in our Sports, Leisure and Corrections sector.
61
Cash Flows Provided by (Used in) Financing Activities
During fiscal 2013, ARAMARK Corporation made a payment of $265.0 million on the outstanding U.S. dollar term loan due 2016. During fiscal 2013, the Company completed the spin-off of its majority interest in Seamless to its stockholders. In the spin-off, ARAMARK Corporation distributed all of the issued and outstanding shares of the common stock of Seamless Holdings Corporation (Seamless Holdings), an entity formed for the purpose of completing the spin-off and whose assets primarily consist of the Companys former interest in Seamless, to its parent company and sole stockholder, ARAMARK Intermediate Holdco Corporation (ARAMARK Intermediate). Thereafter, ARAMARK Intermediate distributed such shares to the Company, its parent company and sole stockholder, who then distributed all of the shares of Seamless Holdings on a pro rata basis to the holders of ARAMARK Holdings common stock as of October 26, 2012, the record date, through a tax-free stock dividend. Each ARAMARK Holdings stockholder received one share of Seamless Holdings common stock for each share of ARAMARK Holdings common stock held as of the record date. The Company distributed cash of approximately $47.4 million to Seamless prior to the spin-off.
On February 22, 2013, ARAMARK Corporation amended the senior secured credit agreement (Amendment Agreement No. 4) to provide for, among other things, additional term loans and the extension of a portion of the revolving credit facility. On March 7, 2013, ARAMARK Corporation borrowed $1,400 million of term loans pursuant to Amendment Agreement No. 4. The new term loans were borrowed by ARAMARK Corporation with an original issue discount of 0.50% and mature on September 7, 2019. During the second quarter of fiscal 2013, approximately $14.0 million of third-party costs directly attributable to the term loans borrowed pursuant to Amendment Agreement No. 4 were capitalized and are included in Other Assets in the Consolidated Balance Sheets, of which approximately $6.2 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners. Amendment Agreement No. 4 also provided for the extension, from January 26, 2015 to January 26, 2017, of the maturity of $500 million in revolving lender commitments of the existing $550 million revolving credit facility. Third-party costs directly attributable to the revolving credit facility of approximately $2.8 million were capitalized and are included in Other Assets in the Consolidated Balance Sheets, of which approximately $0.6 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
On December 20, 2012, ARAMARK Corporation amended the senior secured credit agreement (Amendment Agreement No. 3) to, among other things, borrow $670 million of new term loans with a maturity date of July 26, 2016. The proceeds of the new term loans were used primarily to repay approximately $650 million of existing term loans with a maturity date of January 26, 2014 and to fund certain discounts, fees and costs associated with the amendment. During the first quarter of fiscal 2013, approximately $11.6 million of third-party costs directly attributable to the amendment were expensed and are included in Interest and Other Financing Costs, net in the Consolidated Statements of Income. Approximately $4.6 million of the third-party costs were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
On March 7, 2013, ARAMARK Corporation issued $1,000 million of 5.75% Senior Notes due 2020 (the Senior Notes) pursuant to a new indenture, dated as of March 7, 2013 (the Indenture), entered into by ARAMARK Corporation. During the second quarter of fiscal 2013, approximately $13.8 million of third-party costs directly attributable to the Senior Notes were capitalized and are included in Other Assets in the Consolidated Balance Sheets. Approximately $7.3 million of the third-party costs were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
In February 2013, ARAMARK Corporation and the Company commenced a tender offer to purchase for cash any and all of the Holdings Notes, the Fixed Rate Notes and the Floating Rate Notes (collectively, the Notes). On March 7, 2013, ARAMARK Corporation used a portion of the aggregate proceeds of the Senior Notes offering and the borrowings under the new term loans pursuant to Amendment Agreement No. 4 to purchase all Notes tendered by March 6, 2013, the early tender date. On March 7, 2013, ARAMARK Corporation issued redemption notices for the portions of ARAMARK Corporations Fixed Rate Notes and Floating Rate Notes that remained outstanding, including accrued and unpaid interest, as of March 7, 2013,
62
which provided for the redemption of such notes on April 6, 2013 at prices of 100% of the principal amount thereof. On March 7, 2013, the Company issued a redemption notice for the portion of the Holdings Notes that remained outstanding as of March 7, 2013, including accrued and unpaid interest, which notices provided for the redemption of the Holdings Notes on May 1, 2013 at a price of 101% of the principal amount thereof. On March 7, 2013, ARAMARK Corporation and the Company deposited sufficient funds in trust with the trustee under the indenture governing the Notes in full and complete satisfaction and discharge of the remaining aggregate principal amount of such notes, including accrued and unpaid interest (the Satisfaction and Discharge). As a result of the Satisfaction and Discharge, the trustee became the primary obligor for payment of the remaining Notes on or about the redemption notice date of March 7, 2013. ARAMARK Corporation and the Company had a contingent obligation for payment of the Notes were the trustee to default on its payment obligations. The Company believed the risk of such default was remote and therefore did not record a related liability. The remaining Fixed Rate Notes and Floating Rate Notes were redeemed by the trustee on April 6, 2013. The remaining Holdings Notes were redeemed by the trustee on May 1, 2013. In connection with the tender offer and Satisfaction and Discharge of the Notes, the Company recorded $39.8 million of charges to Interest and Other Financing Costs, net in the Consolidated Statements of Income for fiscal 2013, consisting of $12.9 million cash charges for the tender offer premium and $26.9 million of non-cash charges for the write-off of deferred financing costs.
During fiscal 2012, the Companys 5.00% Senior Notes, contractually due in June 2012, were paid in full. The Company, also during fiscal 2012, paid an amendment fee of approximately $3.2 million and third-party costs of approximately $7.5 million related to Amendment Agreement No. 2 to the senior secured credit agreement, which extended the maturity date of an aggregate U.S. dollar equivalent of approximately $1,231.6 million of the Companys term loans and $66.7 million of letter of credit deposits securing the Companys synthetic letter of credit facility to July 26, 2016. Approximately $4.5 million of the third-party costs were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
During fiscal 2011, the Company paid commitment fees and third-party costs of approximately $7.2 million, of which approximately $3.9 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners, related to an Amendment Agreement to the senior secured credit agreement that extended, from January 2013 to January 2015, the maturity of, and increased, from $435 million to $500 million, the U.S. dollar denominated portion of its existing revolving credit facility. In addition, during fiscal 2011, the Company paid third-party costs of approximately $14.6 million, of which approximately $8.3 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners, related to the private placement of $600 million, net of a 1% discount, in aggregate principal amount of the Holdings Notes. The Company used the net proceeds from the offering of the Holdings Notes, along with $132.7 million in borrowings under the extended U.S. dollar revolving credit facility, to pay an approximately $711 million dividend to the Companys stockholders and to pay fees and expenses related to the issuance of the Holdings Notes. During fiscal 2011, the Company sold a noncontrolling ownership interest in Seamless North America, LLC, an online and mobile food ordering service, for consideration of $50.0 million in cash.
Our Indebtedness
Senior Secured Credit Facilities
Our senior secured credit facilities currently provide:
| a total of $4,433.7 million in term loan facilities comprised of various tranches denominated in U.S. dollars, Canadian dollars, euros, yen and pounds sterling; |
| a revolving credit facility of up to $605.0 million available for loans denominated in U.S. dollars, $50.0 million of which is also available in Canadian dollars; and |
| a synthetic letter of credit facility of up to $200.0 million. |
63
The primary borrower under the senior secured credit facilities is ARAMARK Corporation. In addition, certain subsidiaries of ARAMARK Corporation are borrowers under certain tranches of the term loan facility and/or the revolving credit facility. Holdings is not a guarantor under the senior secured credit facilities and is not subject to the covenants or obligations under the senior secured credit agreement.
The revolving credit facility currently consists of the following subfacilities:
| a revolving credit facility available for loans in U.S. dollars to ARAMARK Corporation with aggregate commitments of $555.0 million; and |
| a revolving credit facility available for loans in Canadian dollars or U.S. dollars to ARAMARK Canada, Ltd. or ARAMARK Corporation with aggregate commitments of $50.0 million. |
The final maturity date of $515.0 million of the $555.0 million U.S. revolving loan commitments and of all of the Canadian revolving loan commitments is January 26, 2017, provided, however, that the maturity date accelerates to April 26, 2016 if any term loans, other than the term loans due September 7, 2019 and any other term loans with a maturity at least 91 days after January 26, 2017, remain outstanding on April 26, 2016. The final maturity date of the $40.0 million of remaining U.S. dollar revolving loan commitments is January 26, 2015.
Our revolving credit facility includes a $250.0 million sublimit for letters of credit and includes borrowing capacity available for short-term borrowings referred to as swingline loans subject to a sublimit.
The senior secured credit facilities provide that we have the right at any time to request up to $675.0 million of incremental commitments in the aggregate under one or more incremental term loan facilities and/or synthetic letter of credit facilities and/or revolving credit facilities and/or by increasing commitments under the revolving credit facility. The lenders under these facilities are not under any obligation to provide any such incremental facilities or commitments, and any such addition of or increase in facilities or commitments will be subject to pro forma compliance with an incurrence-based financial covenant and customary conditions precedent. Our ability to obtain extensions of credit under these incremental facilities or commitments is subject to the same conditions as extensions of credit under the existing credit facilities.
As of September 27, 2013, outstanding term loan borrowings were $4,433.7 million (recorded at $4,425.9 million to reflect original issue discount) and outstanding revolving credit borrowings were $10.0 million. Such amounts do not give effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering.
Senior Notes
On March 7, 2013, ARAMARK Corporation issued $1,000 million of 5.75% Senior Notes due 2020 (the senior notes) pursuant to the indenture, dated as of March 7, 2013 (the Indenture), among the ARAMARK Corporation, the guarantors named therein and The Bank of New York Mellon, as trustee.
The senior notes are unsecured obligations of ARAMARK Corporation. The senior notes rank equal in right of payment to all of ARAMARK Corporations existing and future senior debt and senior in right of payment to all of ARAMARK Corporations existing and future debt that is expressly subordinated in right of payment to the senior notes. Each of the guarantors named in the Indenture (each a Senior Notes Guarantor) is providing an unconditional guarantee of the senior notes which ranks equal in right of payment to all of the senior obligations of such Senior Notes Guarantor. The senior notes and the guarantees are effectively subordinated to ARAMARK Corporations existing and future secured debt and that of the Senior Notes Guarantors, including all indebtedness under our senior secured credit facilities, to the extent of the value of the assets securing that indebtedness. The senior notes and guarantees are structurally subordinated to all of the liabilities of any of ARAMARK Corporations subsidiaries that do not guarantee the senior notes.
64
Interest on the senior notes is payable on March 15 and September 15 of each year, commencing on September 15, 2013. Interest on the senior notes accrues from March 7, 2013 and is calculated on the basis of a 360-day year of twelve 30-day months. The senior notes mature on March 15, 2020.
Holdings guarantees the senior notes for purposes of financial reporting, but is not subject to any covenants under the senior notes.
Receivables Facility
We have in place an agreement whereby ARAMARK Receivables, LLC (ARAMARK Receivables), a wholly-owned, bankruptcy-remote subsidiary of ARAMARK Corporation, purchases accounts receivable generated by certain of our operating subsidiaries using funding provided through the sale of an interest in such accounts receivable and other related assets to Wells Fargo Bank, N.A. (Wells Fargo) and a commercial paper conduit (the Commercial Paper Conduit) sponsored by Coöperatieve Centrale Raiffeisen-Boerenleenbank B.A., New York Branch (Rabobank). This receivables facility provides an amount of funding up to a maximum of $300.0 million. The availability of funding under the facility depends on the amount of receivables eligible for funding under the receivables facility and satisfaction of other customary conditions. As of September 27, 2013, we had outstanding borrowings under the receivables facility of $300.0 million.
Availability of funding under the receivables facility depends primarily upon the outstanding accounts receivable balance of our subsidiaries that participate in the facility. Aggregate availability is determined by using a formula that reduces the gross receivables balance by factors that take into account, among other things, historical default and dilution rates, excessive obligor concentrations and average days outstanding and the costs of the facility.
The Commercial Paper Conduit may discontinue funding the receivables facility at any time for any reason. If it does, Rabobank will be obligated to fund the Commercial Paper Conduits proportion of the receivables facility.
Twenty-three of our subsidiaries participate in the receivables facility program all of which are domestic subsidiaries in our FSS North America segment.
Covenant Compliance
The senior secured credit agreement contains a number of covenants that, among other things, restrict our ability to: incur additional indebtedness; issue preferred stock or provide guarantees; create liens on assets; engage in mergers or consolidations; sell assets; pay dividends, make distributions or repurchase our capital stock; make investments, loans or advances; repay or repurchase any notes, except as scheduled or at maturity; create restrictions on the payment of dividends or other amounts to us from our restricted subsidiaries; make certain acquisitions; engage in certain transactions with affiliates; amend material agreements governing the notes (or any indebtedness that refinances the notes); and fundamentally change the Companys business. The indenture governing our senior notes contains similar provisions. As of September 27, 2013, we were in compliance with these covenants.
Under the senior secured credit agreement and the indenture governing our senior notes we are required to satisfy and maintain specified financial ratios and other financial condition tests and covenants. Our continued ability to meet those financial ratios, tests and covenants can be affected by events beyond our control, and we cannot assure you that we will meet those ratios, tests and covenants.
65
These financial ratios, tests and covenants involve the calculation of certain measures that we refer to in this discussion as Covenant EBITDA and Covenant Adjusted EBITDA. Covenant EBITDA and Covenant Adjusted EBITDA are not measurements of financial performance under U.S. GAAP. Covenant EBITDA is defined as net income (loss) of ARAMARK Corporation and its restricted subsidiaries plus interest and other financing costs, net, provision (benefit) for income taxes, and depreciation and amortization. Covenant Adjusted EBITDA is defined as Covenant EBITDA, further adjusted to give effect to adjustments required in calculating covenant ratios and compliance under our senior secured credit agreement and the indenture.
Covenant EBITDA and Covenant Adjusted EBITDA are included in this section to provide additional information to investors about the calculation of certain financial measures in the senior secured credit agreement and the indenture governing our senior notes that are calculated by reference to Covenant Adjusted EBITDA. Our presentation of these measures has limitations as an analytical tool, and should not be considered in isolation or as a substitute for analysis of our results as reported under U.S. GAAP. You should not consider these measures as alternatives to net income or operating income determined in accordance with U.S. GAAP. Covenant EBITDA and Covenant Adjusted EBITDA, as presented by us, may not be comparable to other similarly titled measures of other companies because not all companies use identical calculations.
The following is a reconciliation of net income attributable to ARAMARK Corporation stockholder, which is a U.S. GAAP measure of ARAMARK Corporations operating results, to Covenant Adjusted EBITDA as defined in our debt agreements. The terms and related calculations are defined in the senior secured credit agreement and the indenture governing our senior notes. Covenant EBITDA and Covenant Adjusted EBTIDA are measures of ARAMARK Corporation and its restricted subsidiaries only and do not include the results of Holdings.
(dollars in millions) | Twelve Months Ended September 27, 2013 |
Twelve Months Ended September 28, 2012 |
Twelve Months Ended September 30, 2011 |
|||||||||
Net income attributable to ARAMARK Corporation stockholder |
$ | 102.1 | $ | 138.3 | $ | 100.1 | ||||||
Interest and other financing costs, net |
372.8 | 401.7 | 426.3 | |||||||||
Provision for income taxes |
38.4 | 38.8 | 9.0 | |||||||||
Depreciation and amortization |
542.1 | 529.2 | 510.5 | |||||||||
|
|
|
|
|
|
|||||||
Covenant EBITDA |
1,055.4 | 1,108.0 | 1,045.9 | |||||||||
Share-based compensation expense |
19.4 | 15.7 | 17.3 | |||||||||
Unusual or non-recurring (gains)/losses(1) |
8.7 | (6.7 | ) | 1.8 | ||||||||
Pro forma EBITDA for equity method investees(2) |
21.0 | 26.0 | 23.6 | |||||||||
Pro forma EBITDA for certain transactions(3) |
| (0.1 | ) | 2.0 | ||||||||
Seamless North America, LLC EBITDA(4) |
(1.6 | ) | (17.5 | ) | (17.2 | ) | ||||||
Other(5) |
76.1 | 10.3 | 26.8 | |||||||||
|
|
|
|
|
|
|||||||
Covenant Adjusted EBITDA |
$ | 1,179.0 | $ | 1,135.7 | $ | 1,100.2 | ||||||
|
|
|
|
|
|
(1) | Fiscal 2013 includes goodwill impairment charges in Spain and Korea, asset write-downs mainly related to client contract investments and other income related to the Companys investments (possessory interest) at one of our terminated National Park Service (NPS) client sites. Fiscal 2012 includes other income recognized related to our investment (possessory interest) at one of our NPS sites which was terminated in the prior year. Fiscal 2011 includes the after-tax loss on the sale of our Galls business, the gain on the sale of our 67% ownership interest in a security business in Chile, goodwill and other intangible assets impairment charge and other income related to a compensation agreement signed with the NPS under which the NPS agreed to pay down a portion of our investment (possessory interest) in certain assets at one of our NPS sites. |
66
(2) | Represents our estimated share of EBITDA from our AIM Services Co., Ltd. equity method investment not already reflected in Covenant EBITDA. EBITDA for this equity method investee is calculated in a manner consistent with Covenant EBITDA but does not represent cash distributions received from this investee. |
(3) | Represents the annualizing of estimated EBITDA from acquisitions and divestitures made during the period. |
(4) | During fiscal 2011, the Company sold a noncontrolling ownership interest in Seamless North America, LLC. In connection with the sale, we designated Seamless North America, LLC as an Unrestricted Subsidiary under the senior secured credit agreement, and as a result, its EBITDA for all periods presented are excluded from Covenant Adjusted EBITDA. |
(5) | Other includes certain other miscellaneous items (primarily severance related expenses). |
Our covenant requirements and actual ratios for the twelve months ended September 27, 2013 are as follows:
Covenant Requirements |
Actual Ratios |
|||||||
Maximum Consolidated Secured Debt Ratio(1) |
5.75x | 4.00x | ||||||
Interest Coverage Ratio (Fixed Charge Coverage Ratio)(2) |
2.00x | 3.52x |
(1) | Our senior secured credit agreement requires us to maintain a maximum Consolidated Secured Debt Ratio, defined as consolidated total indebtedness secured by a lien to Covenant Adjusted EBITDA, of 5.875x, being reduced over time to 5.125x by the end of 2016. Consolidated total indebtedness secured by a lien is defined in the senior secured credit agreement as total indebtedness outstanding under the senior secured credit agreement, capital leases, advances under the receivables facility and any other indebtedness secured by a lien reduced by the lesser of the amount of cash and cash equivalents on our balance sheet that is free and clear of any lien and $75 million. Non-compliance with the maximum Consolidated Secured Debt Ratio could result in the requirement to immediately repay all amounts outstanding under such agreement, which, if the Companys revolving credit facility lenders failed to waive any such default, would also constitute a default under our indenture. |
(2) | Our senior secured credit agreement establishes an incurrence-based minimum Interest Coverage Ratio, defined as Covenant Adjusted EBITDA to consolidated interest expense, the achievement of which is a condition for us to incur additional indebtedness and to make certain restricted payments. If we do not maintain this minimum Interest Coverage Ratio calculated on a pro forma basis for any such additional indebtedness or restricted payments, we could be prohibited from being able to incur additional indebtedness, other than the additional funding provided for under the senior secured credit agreement and pursuant to specified exceptions, and make certain restricted payments, other than pursuant to certain exceptions. The minimum Interest Coverage Ratio is 2.00x for the term of the senior secured credit agreement. Consolidated interest expense is defined in the senior secured credit agreement as consolidated interest expense excluding interest income, adjusted for acquisitions and dispositions, further adjusted for certain non-cash or nonrecurring interest expense and our estimated share of interest expense from one equity method investee. The indenture governing our senior notes includes a similar requirement which is referred to as a Fixed Charge Coverage Ratio. |
The Company and its subsidiaries, affiliates or significant stockholders may from time to time, in their sole discretion, purchase, repay, redeem or retire any of the Companys outstanding debt securities (including any publicly issued debt securities), in privately negotiated or open market transactions, by tender offer or otherwise, or extend or refinance any of the Companys outstanding indebtedness.
67
Contractual Obligations
The following table summarizes the Companys future obligations for debt repayments, capital leases, estimated interest payments, future minimum rental and similar commitments under noncancelable operating leases as well as contingent obligations related to outstanding letters of credit and guarantees as of September 27, 2013 (dollars in thousands):
Payments Due by Period | ||||||||||||||||||||
Contractual Obligations as of September 27, 2013 | Total | Less than 1 year |
1-3 years | 3-5 years | More than 5 years |
|||||||||||||||
Long-term borrowings(1) |
$ | 5,779,450 | $ | 53,822 | $ | 3,354,128 | $ | 38,000 | $ | 2,333,500 | ||||||||||
Capital lease obligations |
52,385 | 12,019 | 20,699 | 12,029 | 7,638 | |||||||||||||||
Estimated interest payments(2) |
1,127,100 | 258,800 | 482,700 | 242,400 | 143,200 | |||||||||||||||
Operating leases |
599,969 | 219,698 | 170,081 | 119,592 | 90,598 | |||||||||||||||
Purchase obligations(3) |
249,840 | 140,961 | 56,934 | 17,164 | 34,781 | |||||||||||||||
Other long-term liabilities reflected on the |
254,300 | 20,100 | 12,300 | 6,600 | 215,300 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
$ | 8,063,044 | $ | 705,400 | $ | 4,096,842 | $ | 435,785 | $ | 2,825,017 | |||||||||||
|
|
|
|
|
|
|
|
|
|
Total Amounts Committed |
Amount of Commitment Expiration Per Period | |||||||||||||||||||
Other Commercial Commitments as of September 27, 2013 | Less than 1 year |
1-3 years | 3-5 years | More than 5 years |
||||||||||||||||
Letters of credit |
$ | 121,660 | $ | 121,660 | $ | | $ | | $ | | ||||||||||
Guarantees |
| | | | | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
$ | 121,660 | $ | 121,660 | $ | | $ | | $ | | |||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Excludes the $7.8 million discount on the term loans. |
(2) | These amounts represent future interest payments related to our existing debt obligations based on fixed and variable interest rates specified in the associated debt agreements. Payments related to variable debt are based on applicable rates at September 27, 2013 plus the specified margin in the associated debt agreements for each period presented. The amounts provided relate only to existing debt obligations and do not assume the refinancing or replacement of such debt. The average debt balance for each fiscal year from 2014 through 2020 is $5,433,000, $5,385,700, $4,843,500, $2,356,300, $2,342,300, $2,243,700 and $791,700, respectively. The average interest rate (after giving effect to interest rate swaps) for each fiscal year from 2014 through 2020 is 4.76%, 4.71%, 4.73%, 5.38%, 4.94%, 4.78% and 4.55%, respectively. Refer to Note 6 to the consolidated financial statements for the terms and maturities of existing debt obligations. |
(3) | Represents commitments for capital projects and client contract investments to help finance improvements or renovations at the facilities from which the Company operates. |
(4) | Includes certain unfunded employee retirement obligations. |
The Company has excluded from the table above uncertain tax liabilities due to the uncertainty of the amount and period of payment. As of September 27, 2013, the Company has gross uncertain tax liabilities of $27.3 million (see Note 9 to our consolidated financial statements). During fiscal 2013, the Company made contributions totaling $19.7 million into our defined benefit pension plans and benefit payments and settlements of $16.8 million out of these plans. Estimated contributions to our defined benefit pension plans in fiscal 2014 are $25.8 million and estimated benefit payments out of these plans in fiscal 2014 are $12.2 million (see Note 8 to our consolidated financial statements).
Pursuant to the stockholders agreement which was entered into in connection with the 2007 Transaction and which was amended and restated in connection with the initial public offering (as so amended, the Stockholders Agreement), upon termination of employment from the Company or one of its subsidiaries, members of the Companys management (other than Mr. Neubauer) who hold shares of common stock can cause the Company to repurchase all of their initial investment shares (as defined) or shares acquired as a result of the exercise of
68
installment stock purchase opportunities at appraised fair market value. Generally, payment for shares repurchased could be, at the Companys option, in cash or installment notes. The amount of common stock subject to repurchase as of September 27, 2013 and September 28, 2012 was $158.7 million and $167.5 million, which is based on approximately 9.4 million and 11.0 million shares of common stock valued at $16.88 and $15.17 per share, respectively. The Stockholders Agreement, the senior secured credit agreement and the indenture governing our senior notes contain limitations on the amount that can be expended for such share repurchases.
Pursuant to the Stockholders Agreement, former employees who have terminated employment with the Company within one year of our initial public offering and have sold back their shares to the Company prior to our initial public offering will be entitled to receive upon consummation of our initial public offering an amount equal to the difference between the price they were paid for their shares and the offering price multiplied by the number of shares they sold. We will owe such former employees an aggregate of $0.3 million upon consummation of our initial public offering.
The Companys business activities do not include the use of unconsolidated special purpose entities, and there are no significant business transactions that have not been reflected in the accompanying financial statements. The Company is self-insured for a limited portion of the risk retained under its general liability and workers compensation arrangements. Self-insurance reserves are recorded based on actuarial analyses.
Critical Accounting Policies and Estimates
The Companys significant accounting policies are described in the notes to the consolidated financial statements included in this prospectus. As described in such notes, the Company recognizes sales in the period in which services are provided pursuant to the terms of our contractual relationships with our clients. Sales from direct marketing activities are recognized upon shipment.
In preparing our financial statements, management is required to make estimates and assumptions that, among other things, affect the reported amounts of assets, liabilities, sales and expenses. These estimates and assumptions are most significant where they involve levels of subjectivity and judgment necessary to account for highly uncertain matters or matters susceptible to change, and where they can have a material impact on our financial condition and operating performance. We discuss below the more significant estimates and related assumptions used in the preparation of our consolidated financial statements. If actual results were to differ materially from the estimates made, the reported results could be materially affected.
Asset Impairment Determinations
Goodwill and the ARAMARK trade name are indefinite-lived intangible assets that are not amortizable and are subject to an impairment test that we conduct annually as of the end of fiscal August or more frequently if a change in circumstances or the occurrence of events indicates that potential impairment exists, using discounted cash flows. The Company performs its assessment of goodwill at the reporting unit level. Within the FSS International segment, each country is evaluated separately since such operating units are relatively autonomous and separate goodwill balances have been recorded for each entity. The Company completed its annual goodwill and trade name impairment tests for fiscal 2013, which did not result in an impairment charge. During the second quarter of fiscal 2013, the Company performed an interim goodwill impairment test and recorded an impairment charge of approximately $11.7 million in the FSS International segment to write-off all of the goodwill associated with its reporting units in Spain and Korea. The impairment charge resulted from continued economic weakness in Spain and reductions in government support for the healthcare and education sectors, two of the primary sectors of the Spanish reporting unit. In Korea, the Company undertook a strategic analysis of the Korean reporting unit, which prompted the impairment analysis in the second quarter. The completion of the step two impairment analyses confirmed that goodwill for both reporting units was impaired. The Company estimated the fair value measurements using a discounted cash flow valuation methodology which included making assumptions about the future profitability and cash flows of the business.
69
With respect to our other long-lived assets, we are required to test for asset impairment whenever events or circumstances indicate that the carrying value of an asset may not be recoverable. If indicators of impairment are present, the Company compares the sum of the future expected cash flows from the asset, undiscounted and without interest charges, to the assets carrying value. If the sum of the future expected cash flows from the asset is less than the carrying value, an impairment would be recognized for the difference between the estimated fair value and the carrying value of the asset.
In making future cash flow analyses of various assets, the Company makes assumptions relating to the following:
| the intended use of assets and the expected future cash flows resulting directly from such use; |
| comparable market valuations of businesses similar to ARAMARKs business segments; |
| industry specific economic conditions; |
| competitor activities and regulatory initiatives; and |
| client and consumer preferences and behavior patterns. |
We believe that an accounting estimate relating to asset impairment is a critical accounting estimate because the assumptions underlying future cash flow estimates are subject to change from time to time and the recognition of an impairment could have a significant impact on our consolidated statement of income.
Environmental Loss Contingencies
Accruals for environmental loss contingencies (i.e., environmental reserves) are recorded when it is probable that a liability has been incurred and the amount can reasonably be estimated. Management views the measurement of environmental reserves as a critical accounting estimate because of the considerable uncertainty surrounding estimation, including the need to forecast well into the future. We are involved in legal proceedings under federal, state, local and foreign environmental laws in connection with our operations or businesses conducted by our predecessors or companies that we have acquired. The calculation of environmental reserves is based on the evaluation of currently available information, prior experience in the remediation of contaminated sites and assumptions with respect to government regulations and enforcement activity, changes in remediation technology and practices, and financial obligations and creditworthiness of other responsible parties and insurers.
Litigation and Claims
From time to time, the Company and its subsidiaries are party to various legal actions, proceedings and investigations involving claims incidental to the conduct of their business, including those brought by clients, consumers, employees, government entities and third parties under, among others, federal, state, international, national, provincial and local employment laws, wage and hour laws, discrimination laws, immigration laws, human health and safety laws, import and export controls and customs laws, environmental laws, false claims or whistleblower statutes, minority, women and disadvantaged business enterprise statutes, tax codes, antitrust and competition laws, consumer protection statutes, procurement regulations, intellectual property laws, food safety and sanitation laws, cost and accounting principles, the Foreign Corrupt Practices Act, the U.K. Bribery Act, other anti-corruption laws, lobbying laws, motor carrier safety laws, data privacy laws and alcohol licensing and service laws, or alleging negligence and/or breaches of contractual and other obligations. Management considers the measurement of litigation reserves as a critical accounting estimate because of the significant uncertainty in some cases relating to the outcome of potential claims or litigation and the difficulty of predicting the likelihood and range of potential liability involved, coupled with the material impact on our results of operations that could result from litigation or other claims. In determining legal reserves, management considers, among other issues:
| interpretation of contractual rights and obligations; |
| the status of government regulatory initiatives, interpretations and investigations; |
70
| the status of settlement negotiations; |
| prior experience with similar types of claims; |
| impact to the Companys brand or reputation; |
| whether there is available insurance; and |
| advice of counsel. |
Allowance for Doubtful Accounts
We encounter risks associated with sales and the collection of the associated accounts receivable. We record a provision for accounts receivable that are considered to be uncollectible. In order to calculate the appropriate provision, management analyzes the creditworthiness of specific clients and the aging of client balances. Management also considers general and specific industry economic conditions, industry concentrations, such as exposure to small and medium-sized businesses, the non-profit healthcare sector and the automotive, airline and financial services industries, and contractual rights and obligations. Management believes that the accounting estimate related to the allowance for doubtful accounts is a critical accounting estimate because the underlying assumptions used for the allowance can change from time to time and uncollectible accounts could potentially have a material impact on our results of operations.
Inventory Obsolescence
We record an inventory obsolescence reserve for obsolete, excess and slow-moving inventory, principally in the Uniform segment. In calculating our inventory obsolescence reserve, management analyzes historical and projected data regarding client demand within specific product categories and makes assumptions regarding economic conditions within client specific industries, as well as style and product changes. Management believes that its accounting estimate related to inventory obsolescence is a critical accounting estimate because client demand in certain of our businesses can be variable and changes in our reserve for inventory obsolescence could materially affect our results of operations.
Income Taxes
We use the asset and liability method of accounting for income taxes. Under this method, income tax expense is recognized for the amount of taxes payable or refundable for the current year and for deferred tax liabilities and assets for the future tax consequences of events that have been recognized in our consolidated financial statements or tax returns. We must make assumptions, judgments and estimates to determine our current provision for income taxes and also our deferred tax assets and liabilities and any valuation allowance to be recorded against a deferred tax asset. Our assumptions, judgments and estimates relative to the current provision for income taxes take into account current tax laws, our interpretation of current tax laws and possible outcomes of current and future audits conducted by foreign and domestic tax authorities. Changes in tax law or our interpretation of tax laws and the resolution of current and future tax audits could significantly impact the amounts provided for income taxes in our consolidated financial statements. Our assumptions, judgments and estimates relative to the amount of deferred income taxes take into account estimates of the amount of future taxable income, and actual operating results in future years could render our current assumptions, judgments and estimates inaccurate. Any of the assumptions, judgments and estimates mentioned above could cause our actual income tax obligations to differ from our estimates.
Share-Based Compensation
Under the ARAMARK Holdings Corporation 2007 Management Stock Incentive Plan, as amended (the Plan), incentive awards may be granted to employees or directors of, or consultants to, the Company or one of its affiliates in the form of non-qualified stock options (time- and performance-based), installment stock purchase opportunities (ISPOs) and deferred stock units (only to non-employee directors). In June 2013, the Plan was
71
amended and now additionally provides for the grant of restricted stock units and restricted stock. The compensation committee also approved a new form of non-qualified stock option award agreement which provides for 100% time-based vesting rather than earlier forms of non-qualified discretionary stock option agreements which had provided for 50% time-based vesting and 50% performance-based vesting. Finally, in June 2013, the Company offered to holders of outstanding ISPOs the ability to exchange such awards for restricted stock and non-qualified stock options (the Award Exchange).
We value our non-qualified stock option and ISPO awards using the Black-Scholes option valuation model. The Black-Scholes option valuation model uses assumptions of expected volatility, the expected dividend yield of our stock, the expected term of the awards and the risk-free interest rate, as well as our estimated fair value of our common stock. Since our stock has not been publicly traded, the expected volatility is based on an average of the historical volatility of our competitors stocks over the expected term of the share-based awards. The dividend yield assumption is based on our history and expected future dividend payouts, excluding dividends that resulted from activities we deemed to be one-time in nature. The expected term of share-based awards represents the weighted-average period the share-based award is expected to remain outstanding. The expected term for all grants of time-based awards and ISPO awards were calculated using the simplified method, as permitted under SEC rules and regulations due to the lack of history of our equity incentive plan and the lack of a public market for our common stock. The expected term for all grants and modifications of performance-based awards was calculated utilizing the same approach as time-based awards as management believes that the exercise activity of award holders is similar for both types of awards, however management has calculated a different expected term for each tranche of the performance-based awards. The simplified method uses the midpoint between an options vesting date and contractual term. The risk-free interest rate assumption is based upon the rate applicable to the U.S. Treasury security with a maturity equal to the expected term of the option on the grant date. All other employee share-based awards and non-employee director awards are valued based on the fair value of our common stock on the date of grant.
Share-based compensation expense is recognized in our results of operations for the awards that are expected to vest. For time-based options, restricted stock and restricted stock units, share-based compensation expense is recognized over the period during which an employee is required to provide service in exchange for the award, usually the vesting period. For performance-based options, management must assess the probability of the achievement of the earnings before interest and taxes (EBIT) targets, as defined in the Plan. If the EBIT targets are not probable of achievement, changes in the recognition of share-based compensation expense may occur. Management makes its probability assessments based on the Companys actual and projected results of operations. As share-based compensation expense recognized in the Companys results of operations is based on awards ultimately expected to vest, it has been reduced for estimated forfeitures. Forfeitures are estimated at the time of each grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. Forfeitures were estimated based on our historical experience.
During fiscal 2013, fiscal 2012 and fiscal 2011, share-based compensation expense was approximately $19.4 million, $15.7 million and $17.3 million, respectively. We expect to continue to grant share-based awards in the future, and to the extent that we do, our actual share-based compensation expense recognized will likely increase.
72
Valuation of our Common Stock
The following table presents the grant dates, timing of valuations performed relative to the date of grant and the number of underlying shares and related exercise prices of awards granted to employees and non-employee directors of the Company, from June 1, 2012 through the date of this filing, as well as the estimated fair value of the underlying common stock per share on the grant date.
Grant Date | Date of Valuation | Number of Options Granted |
Original Exercise Price |
Fair Value per share of Common Stock |
||||||||||
June 2, 2012(a) |
June 1, 2012 |
3,340 | $ | 14.96 | ||||||||||
June 6, 2012 |
June 1, 2012 |
2,040,000 | $ | 14.96 | $ | 14.96 | ||||||||
September 5, 2012 |
September 1, 2012 |
150,000 | $ | 15.17 | $ | 15.17 | ||||||||
October 29, 2012(a) |
September 1, 2012 |
17,066 | $ | 14.23 | ||||||||||
December 5, 2012 |
December 1, 2012 |
1,150,000 | $ | 14.99 | $ | 14.99 | ||||||||
March 2, 2013(a) |
March 1, 2013 |
25,396 | $ | 15.75 | ||||||||||
March 7, 2013 |
March 1, 2013 |
125,000 | $ | 15.75 | $ | 15.75 | ||||||||
June 20, 2013 |
June 1, 2013 |
1,247,638 | $ | 16.21 | $ | 16.21 | ||||||||
June 20, 2013(b) |
June 1, 2013 |
271,438 | $ | 16.21 | ||||||||||
July 9, 2013 |
June 1, 2013 |
3,059,626 | $ | 16.21 | $ | 16.21 | ||||||||
July 9, 2013(b) |
June 1, 2013 |
975,618 | $ | 16.21 | ||||||||||
July 31, 2013(c) |
June 1, 2013 |
1,108,738 | $ | 16.21 | $ | 16.21 | ||||||||
July 31, 2013(c) |
June 1, 2013 |
225,262 | $ | 16.21 | ||||||||||
September 4, 2013 |
September 1, 2013 |
80,341 | $ | 16.88 | $ | 16.88 | ||||||||
September 4, 2013(b) |
September 1, 2013 |
26,219 | $ | 16.88 |
(a) | Represents Deferred Stock Units issued to non-employee members of the board of directors. Value of deferred stock units is based on the fair value of the Company's common stock on date of grant. |
(b) | Represents grants of restricted stock units. |
(c) | As a result of the Award Exchange, a total of 1,334,000 outstanding ISPOs were exchanged for 225,262 restricted stock awards and 1,108,738 replacement stock option awards. The offer to holders of outstanding ISPOs relating to the Award Exchange commenced on June 28, 2013 and, following an offer period of 20 business days, the Award Exchange was completed on July 31, 2013. |
Each quarter, a contemporaneous valuation (within the meaning of such term under the American Institute of Certified Public Accountants (the AICPA) Practice Aid) was performed. At each grant date, the compensation committee of the board of directors considered whether any events or circumstances occurred between the date of the valuation and the date of the grant that would indicate a significant change in the fair value of our common stock per share during that period. The decline in market value from September 5, 2012 to October 29, 2012 was a result of the spin-off of our majority interest in Seamless North America, LLC, an online and mobile food ordering service, to our stockholders in the form of a dividend. Each stockholder received one share of Seamless Holdings, a newly formed company created to hold our former interest in Seamless North America, LLC, for each share of our common stock held as of the record date.
Prior to our initial public offering, we were a private company with no active public market for our common stock. Management, with authority delegated by the board of directors, estimates the fair value of our common stock per share, which includes consideration of a contemporaneous valuation by an independent third-party valuation firm in accordance with the guidelines outlined in the AICPA Practice Aid, Valuation of Privately-Held Company Equity Securities Issued as Compensation. The valuation of the Companys common stock per share is performed on a regular quarterly basis as of the beginning of the month when share-based awards are expected to be granted. The third party valuations consider a number of objective and subjective factors that we believe market participants would consider, including understanding the financial condition, future prospects and projected operations of the Company, a review of the history and nature of the Company, a review of the financial data bearing upon recent and prospective operations, a review of certain other publicly available financial data for certain companies deemed comparable to the Company and capital market information deemed relevant to the assessment of the investment risk return attributes of the Companys common stock. For all periods, the valuation of our common stock has agreed to the valuation performed by the third party valuation firm.
73
In making a determination of the fair value of common stock per share, the valuation of our enterprise value utilizes the market-comparable approach and the income approach. The valuation methodology has been performed on a consistent basis for all periods. The market-comparable approach estimates the value of a company by applying market multiples of publicly traded comparable companies in similar lines of business to the results and projected results of the company being valued. The income approach involves applying an appropriate risk-adjusted discount rate to projected cash flows based on forecasted sales and costs. When estimating an enterprise value at each valuation date and the corresponding value of the common stock per share, the valuation equally weights the market-comparable approach and income approach.
For each valuation date, the Company prepares financial forecasts which are used in the different valuation approaches. The financial forecasts are based on assumed sales growth rates, operating margins and expected cash flows in the future. These forecasts can differ from time to time based on current and projected changes in the business. As the assumptions in these forecasts change, the value of our common stock will also change. In addition to the forecast, changes in the multiples of our publicly-traded comparable companies and changes in our cash and debt balances will also cause the value of our common stock to vary.
Management believes that the accounting estimate related to the expense of share-based awards is a critical accounting estimate because the underlying assumptions, including financial forecasts, can change from time to time and, as a result, the compensation expense that we record in future periods may differ significantly from what we have recorded in the current period with respect to similar instruments.
Fair Value of Financial Assets and Financial Liabilities
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities recorded at fair value are classified based upon the level of judgment associated with the inputs used to measure their fair value. The hierarchical levels related to the subjectivity of the valuation inputs are defined as follows:
| Level 1inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets |
| Level 2inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument |
| Level 3inputs to the valuation methodology are unobservable and significant to the fair value measurement |
Management believes that the carrying value of cash and cash equivalents, accounts receivable and accounts payable are representative of their respective fair values. The fair value of the Companys debt was computed using market quotes, if available, or based on discounted cash flows using market interest rates as of the end of the period. The fair values for interest rate swap agreements, foreign currency forward exchange contracts and natural gas, gasoline and diesel fuel agreements are based on quoted market prices from various banks for similar instruments, adjusted for the Company and the counterparties credit risk. The Company performs an independent review of these values to determine if they are reasonable. The fair value of our derivative instruments are impacted by changes in interest rates, foreign exchange rates, and the prices of natural gas, gasoline and diesel fuel. The fair value of our common stock subject to repurchase is derived principally from unobservable inputs. Management believes that the accounting estimate related to the fair value of our financial assets and financial liabilities is a critical accounting estimate due to its complexity and the significant judgments and estimates involved in determining fair value in the absence of quoted market prices.
*****
Critical accounting estimates and the related assumptions are evaluated periodically as conditions warrant, and changes to such estimates are recorded as new information or changed conditions require.
74
New Accounting Standard Updates
See Note 1 to our consolidated financial statements for a full description of recent accounting standard updates, including the expected dates of adoption.
Quantitative and Qualitative Disclosure About Market Risk
We are exposed to the impact of interest rate changes and manage this exposure through the use of variable-rate and fixed-rate debt and by utilizing interest rate swaps. We do not enter into contracts for trading purposes and do not use leveraged instruments. The information below summarizes our market risks associated with debt obligations and other significant financial instruments as of September 27, 2013 (See Notes 6 and 7 to our consolidated financial statements). Fair values were computed using market quotes, if available, or based on discounted cash flows using market interest rates as of the end of the respective periods. For debt obligations, the table presents principal cash flows and related interest rates by contractual fiscal year of maturity. Variable interest rates disclosed represent the weighted-average rates of the portfolio at September 27, 2013. For interest rate swaps, the table presents the notional amounts and related weighted-average interest rates by the fiscal year of maturity. The variable rates presented are the average forward rates for the term of each contract.
Expected Fiscal Year of Maturity | ||||||||||||||||||||||||||||||||
As of September 27, 2013 |
2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | Fair Value | ||||||||||||||||||||||||
(US$ equivalent in millions) | ||||||||||||||||||||||||||||||||
Debt: |
||||||||||||||||||||||||||||||||
Fixed rate |
$ | 12 | $ | 13 | $ | 8 | $ | 6 | $ | 6 | $ | 1,007 | (a) | $ | 1,052 | $ | 1,068 | |||||||||||||||
Average interest rate |
5.5 | % | 5.5 | % | 5.5 | % | 5.5 | % | 5.5 | % | 5.8 | % | 5.7 | % | ||||||||||||||||||
Variable rate |
$ | 54 | (b) | $ | 336 | (b)(c) | $ | 3,018 | (b) | $ | 24 | (b) | $ | 14 | (b) | $ | 1,333 | (b) | $ | 4,779 | $ | 4,787 | ||||||||||
Average interest rate |
6.3 | % | 1.9 | % | 3.8 | % | 4.2 | % | 4.0 | % | 4.0 | % | 3.7 | % | ||||||||||||||||||
Interest Rate Swaps: |
||||||||||||||||||||||||||||||||
Receive variable/pay fixed |
$ | 585 | $ | 500 | $ | 1,075 | $ | 300 | $ | 2,460 | $ | (63 | ) | |||||||||||||||||||
Average pay rate |
3.5 | % | 2.2 | % | 1.7 | % | 0.6 | % | ||||||||||||||||||||||||
Average receive rate |
0.3 | % | 0.3 | % | 0.4 | % | 1.9 | % |
(a) | Balance includes $1,000 million of senior notes callable by us at any time with any applicable prepayment penalty. |
(b) | Balance includes $25 million for fiscal 2014, $33 million for fiscal 2015, $3,014 million for fiscal 2016, $14 million for fiscal 2017 and fiscal 2018 and $1,334 million thereafter of senior secured term loan facilities callable by us at any time. |
(c) | Balance includes $300 million of borrowings under the receivables facility. |
As of September 27, 2013, the Company had foreign currency forward exchange contracts outstanding with notional amounts of 95.9 million ($129.6 million), £45.8 million ($74.0 million), kr.26.6 million ($4.8 million) and CAD16.0 million ($15.5 million) to mitigate the risk of changes in foreign currency exchange rates on short-term intercompany loans to certain international subsidiaries. As of September 27, 2013, the fair value of these foreign exchange contracts is $0.4 million, which is included in Accounts Payable in our Consolidated Balance Sheets.
The Company entered into a series of pay fixed/receive floating gasoline and diesel fuel agreements based on the Department of Energy weekly retail on-highway index in order to limit its exposure to price fluctuations for gasoline and diesel fuel. As of September 27, 2013, the Company has contracts for approximately 0.2 million gallons outstanding for fiscal 2014. As of September 27, 2013, the fair value of the Companys gasoline and diesel fuel hedge agreements is $0.1 million, which is included in Prepayments and Other Current Assets in our Consolidated Balance Sheets.
75
Our Company
We are a leading global provider of food, facilities and uniform services to education, healthcare, business and industry, and sports, leisure and corrections clients. Our core market is North America, which is supplemented by an additional 19-country footprint serving many of the fastest growing global geographies. We hold the #2 position in North America in food, and facilities services and uniform services based on total sales in 2013. Internationally, we hold a top 3 position in food and facilities services based on total sales in 2013 in most countries in which we have significant operations, and are one of only 3 food and facilities competitors with our combination of scale, scope, and global reach. Through our established brand, broad geographic presence and approximately 272,000 employees, we anchor our business in our partnerships with thousands of education, healthcare, business, sports, leisure and corrections clients. Through these partnerships we serve millions of consumers including students, patients, employees, sports fans and guests worldwide. The scope and range of ARAMARKs services are evidenced by the following:
| We provide services to 86% of the Fortune 500 |
| We serve over 500 million meals annually to approximately 5 million students at colleges, universities, and K-12 schools |
| We service over 2,000 healthcare facilities, collectively representing over 75 million patient days annually |
| We cater to approximately 100 million sports fans annually through our partnerships with over 150 professional and collegiate teams |
| We serve approximately 50 million visitors annually to convention centers, national and state parks |
| We maintain and enhance the environment in over 800 million square feet of client facility space |
| We put over 2 million people in uniforms each day |
| We operate in 22 countries in North America, Europe, Asia and South America |
| We provide refreshment services to over 100,000 offices in North America |
| We provide food and commissary services to correctional facilities housing over 300,000 inmates |
| We provide food and facilities services to over 160 mining and off-shore and in-shore oil & gas drilling operations around the world |
We operate our business in three reportable segments that share many of the same operating characteristics: FSS North America, FSS International and Uniform. Both FSS North America and Uniform have significant scale and hold the #2 position in North America while all of our reportable segments hold a top 3 position in most countries in which we have significant operations based on 2013 total sales. The following chart shows a breakdown of our sales and operating income by our reportable segments:
(1) | Fiscal 2013 operating income excludes $74.2 million of unallocated corporate expenses. |
76
We believe that our broad range of services, diversified client base, global reach and repeatable business model position us well for continued growth and margin expansion opportunities, although there can be no assurance that we will continue to grow. In fiscal 2013, we generated $13.9 billion of sales, $70 million of net income, $514.4 million of operating income, $798.3 million of Adjusted Operating Income and $1.2 billion of Adjusted EBITDA. As of September 27, 2013, we had $5.8 billion of total debt, not giving effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering. Please see ProspectusSummary Consolidated Financial Data for a reconciliation of Adjusted Operating Income and Adjusted EBITDA to net income.
Our Mission
ARAMARKs mission is to Deliver experiences that enrich and nourish lives. This mission is anchored in a set of goals, which we refer to as our core values, that guide our execution in the marketplace:
| Sell and Serve with Passion. Placing clients and consumers at the center of all that we do by listening and responding to their needs with service focused on quality and innovation |
| Set Goals. Act. Win. Maintaining a culture of accountability where performance matters and exhibiting leadership that achieves and exceeds expectations through our execution |
| Front-Line First. Providing our front-line employees with tools and training that empower them to deliver excellence at the point of service to thousands of consumers and clients every day |
| Integrity and Respect Always. High ethical standards are the cornerstone of the ARAMARK brand and help us earn the trust of our key constituents |
We strive to accomplish this mission through a repeatable business model founded on five principles of excellenceselling, service, execution, marketing and operations. Our commitment to these values has earned us numerous awards and recognitions; we have been named one of the Worlds Most Admired Companies by Fortune Magazine in the category of Diversified Outsourcing Services every year since 1999 and we are recognized as one of the Worlds Most Ethical Companies by the Ethisphere Institute. Fortune Magazine conducts its survey of the Worlds Most Admired Companies by requesting industry executives, directors and analysts to rank the 15 largest companies in each international industry and the 10 largest for each U.S. industry based on revenue based on nine criteria ranging from investment value to social responsibility. The criteria for selection as one of the Ethisphere Institutes Worlds Most Ethical Companies is based on Ethispheres collection of certain information regarding a companys corporate governance, risk, sustainability, compliance or ethics and the processing of such information through Ethispheres internal ethics rating system.
Our History and Recent Accomplishments
Since ARAMARKs founding in 1959, we have broadened our service offerings and expanded our client base through a combination of organic growth and successful acquisitions, with the goal of further developing our food, facilities and uniform capabilities, as well as growing our international presence.
In 1984, we completed a management buyout, after which our management and employees increased their Company ownership to approximately 90% of our equity capital leading up to our December 2001 public offering.
On January 26, 2007, ARAMARK delisted from the NYSE in conjunction with a going-private transaction executed with investment funds affiliated with GS Capital Partners, CCMP Capital Advisors, J.P. Morgan Partners, Thomas H. Lee Partners, L.P. and Warburg Pincus LLC as well as approximately 250 senior management personnel.
In May 2012, Eric Foss became the new CEO and President of our company. Previously, Mr. Foss was the CEO of Pepsi Beverages Company and was Chairman and CEO of the publicly-traded Pepsi Bottling Group.
77
Under Mr. Foss leadership at ARAMARK, we have introduced a number of initiatives designed to accelerate revenue and profit growth and expand margins. Our programs focused on the enhanced management of our key costsfood, labor and overheadinclude SKU rationalization (a consolidation of product categories for our purchases), standardization of portion sizes, waste control, enhanced labor scheduling, turn-over reduction and SG&A discipline, among others. We expect SKU rationalization to reduce our food costs by allowing us to concentrate our purchasing power with suppliers and achieve a lower average cost per unit. We are also training our employees to use standardized portioning and waste control measures in an effort to reduce the amount of food that we utilize in providing our services thereby improving our profitability. To improve our labor costs, we have implemented technology solutions and process improvements designed to reduce over-scheduling of labor and similar staffing inefficiencies, thereby reducing total hours worked. We also hope to lower our recruiting and training costs through programs designed to reduce employee turnover. Our initiatives to reduce our SG&A costs are focused on eliminating redundant processes and centralizing our back office functions, among others.
In 2013, we continued to grow our existing business and win new clients, including the Ohio and Michigan departments of corrections, the Minnesota Vikings, the Chicago Bears, and the Tampa Bay Buccaneers, and additional services from existing clients such as Airbus and American University. There is no assurance that we will continue to grow and gain new customers.
Food and Support Services
Our Food and Support Services segments manage a number of interrelated servicesincluding food, hospitality and facility servicesfor school districts, colleges and universities, healthcare facilities, businesses, sports, entertainment and recreational venues, conference and convention centers, national and state parks and correctional institutions. Our Food and Support Services segments holds the #2 position in North America and a top 3 position in most countries in which FSS has significant operations based on 2013 total sales.
We are the exclusive provider of food and beverage services at most of the locations we serve and are responsible for hiring, training and supervising substantially all of the food service personnel in addition to ordering, receiving, preparing and serving food and beverage items sold at those facilities. Our facilities services capabilities are broad, and include plant operations and maintenance, custodial/housekeeping, energy management, clinical equipment maintenance, grounds keeping, and capital project management. In governmental, business, educational and healthcare facilities (for example, offices and industrial plants, schools and universities and hospitals), our clients provide us with a captive client base through their on-site employees, students and patients. At sports, entertainment and recreational facilities, our clients attract patrons to their site, usually for specific events such as sporting events and conventions.
We manage our Food and Support Services business in two geographic reportable segments split between our North American and International operations. In fiscal 2013, our FSS North America segment generated $9.6 billion in sales, or 69% of our total sales, and our FSS International segment generated $2.9 billion in sales, or 21% of our total sales. No individual client represents more than 2% of our 2013 total sales, other than, collectively, a number of U.S. government agencies. See note 14 to our consolidated financial statements for information on revenue, profit and total assets for the FSS North America segment and the FSS International segment.
78
Clients and Services
Our Food and Support Services segments serves a number of client sectors across 22 countries around the world. Our Food and Support Services operations focus on serving clients in four principal sectors:
Sector | Types of Clients | Food Services | Facilities Services | |||
Education |
Colleges and universities Public school districts and systems Private schools |
Dining services Catering Food service management Retail operations |
Facilities management Custodial services Grounds Energy management Construction management Capital project management | |||
Healthcare |
Hospitals Nursing homes |
Food and nutrition services Retail operations |
Clinical equipment maintenance Environmental services Laundry and linen distribution Plant operations Energy management Strategic and technical services Supply chain management Purchasing Central transportation | |||
Business & Industry |
Manufacturing plants Corporate cafeterias Mining operations Oil & Gas drilling operations |
Dining services On-site restaurants Catering Convenience stores Executive dining rooms Coffee and vending Drinking water filtration |
Housekeeping management Plant operations/maintenance Energy management Groundskeeping Landscaping Transportation Capital program management Commissioning services Building operations consulting | |||
Sports, Leisure and Corrections |
Professional and collegiate stadiums and arenas Concert venues National and state parks Convention and civic centers Correctional facilities |
Concessions Banquet and catering Retail and merchandise sales Food and nutrition services |
Recreational and lodging services Commissary services Laundry and linen management Property room management |
Education. Within the Education sector we serve Higher Education and K-12 clients. We deliver a wide range of food and facility services at more than 1,400 colleges, universities, school systems and districts and private schools. We offer our education clients a single source provider for managed service solutions, including dining, catering, food service management, convenience-oriented retail operations, grounds and facilities maintenance, custodial, energy management, construction management, and capital project management.
Healthcare. We provide a wide range of non-clinical support services to approximately 1,100 healthcare clients and more than 2,000 facilities across our global footprint. We offer healthcare organizations a single source provider for managed service solutions, which include food services such as patient food and nutrition services and retail food services, and facilities services such as clinical equipment maintenance, environmental services, laundry and linen distribution, plant operations, energy management, strategic/technical services, supply chain management, purchasing and central transportation.
Business & Industry. We provide a comprehensive range of business dining services, including on-site restaurants, catering, convenience stores and executive dining.
We also provide coffee and vending services to business and industry clients at thousands of locations. Our service and product offerings include a full range of coffee and beverage offerings, grab and go food operations, convenience stores and a proprietary drinking water filtration system.
79
We also offer a variety of facility management services to business and industry clients. These services include the management of housekeeping, plant operations and maintenance, energy management, laundry and linen, groundskeeping, landscaping, transportation, capital program management and commissioning services and other facility consulting services relating to building operations.
We also offer remote services which include facility and business support services primarily for mining and oil operations.
Sports, Leisure and Corrections. We administer concessions, banquet and catering services, retail services and merchandise sales, recreational and lodging services and facility management services at sports, entertainment and recreational facilities. We serve 156 professional (including minor league affiliates) and college sports teams, including 40 teams in Major League Baseball, the National Basketball Association, the National Football League and the National Hockey League. We also serve 25 convention and civic centers, 16 national and state parks and other resort operations, plus numerous concert venues, entertainment complexes and other popular tourist attractions in the United States and Canada. Additionally, we provide correctional food services, operate commissaries, laundry facilities and property rooms and provide food and facilities management services for parks.
Our FSS International segment provides a similar range of services as those provided to our FSS North America segment clients and operates in all of our sectors. We have operations in 19 countries outside North America. Our largest international operations are in the United Kingdom, Germany, Chile and Ireland, and in each of these countries we are one of the leading food service providers. We also have operations in emerging market countries, such as China, and a strong presence in Japan through our 50% ownership of AIM Services Co., Ltd., a leader in providing outsourced food services in Japan. In addition to the core Business & Industry sector, our FSS International segment serves many soccer stadiums across Europe, and numerous educational institutions, correctional institutions and convention centers globally. There are particular risks attendant with our international operations. Please see Risk Factors.
Purchasing
We negotiate the pricing and other terms for the majority of our purchases of food and related products in the United States and Canada directly with national manufacturers. We purchase these products and other items through SYSCO Corporation and other distributors. We have a master distribution agreement with SYSCO that covers a significant amount of our purchases of these products and items in the United States and another distribution agreement with SYSCO that covers our purchases of these products in Canada. Our distributors are responsible for tracking our orders and delivering products to our specific locations. Due to our ability to negotiate favorable terms with our suppliers, we receive vendor consideration, including rebates, allowances and volume discounts. See Types of Contracts below. Our location managers also purchase a number of items, including bread, dairy products and alcoholic beverages from local suppliers, and we purchase certain items directly from manufacturers.
Our relationship with SYSCO is important to our operationswe have had distribution agreements in place for more than 20 years. In fiscal 2013, SYSCO distributed approximately 60% of our food and non-food products in the United States and Canada, and we believe that we are one of their largest clients. However, we believe that the products acquired through SYSCO can, in significant cases, be purchased through other sources and that termination of our relationship with them or any disruption of their business would cause only short-term disruptions to our operations.
Our agreements with our distributors are generally for an indefinite term, subject to termination by either party after a notice period, which is generally 60 to 120 days. The pricing and other financial terms of these agreements are renegotiated periodically. Our current agreement with SYSCO is terminable by either party with 180 days notice.
80
In our international segment, our approach to purchasing is substantially similar. On a country-by-country basis, we negotiate pricing and other terms for a majority of our purchases of food and related products with manufacturers operating in the applicable country, and we purchase these products and other items through distributors in that country. Due to our ability to negotiate favorable terms with our suppliers, we receive vendor consideration, including rebates, allowances and volume discounts. See Types of Contracts below. As in North America, our location managers also purchase a number of items, including bread, dairy products and alcoholic beverages from local suppliers, and we purchase certain items directly from manufacturers. Our agreements with our distributors are subject to termination by either party after a notice period, which is generally 60 days. The pricing and other financial terms of these agreements are renegotiated periodically.
Our relationship with distributors in the countries outside the United States and Canada is important to our operations, but from an overall volume standpoint, no distributor outside the United States and Canada distributes a significant volume of products. We believe that products we acquire from our distributors in countries outside the United States and Canada can, in significant cases, be purchased from other sources, and that the termination of our relationships with our distributors outside the United States and Canada, or the disruption of their business operations, would cause only short-term disruption to our operations.
Sales and Marketing
We maintain selling and marketing excellence by focusing on the execution of a common selling process as well as optimal resource allocation and deployment. Our common selling process ensures that we sell our services to our clients in the same way, regardless of the sector in which such client is located. We have developed consistent tools and training that are used across all of our businesses to train our employees on this selling process. Our business development functions are aligned directly with the sectors and services in which we have leadership positions, and we combine our targeted business development strategies with our strong client relationships to deliver differentiated and innovative solutions. We target our business development by aligning our sales efforts directly with the sectors and services in which we operate. We identify individuals at various levels in our organization to match up with individuals in a variety of roles at both existing and potential clients. We believe that these connections throughout various levels within the client organization allow us to develop strong relationships with the client and gain a better understanding of the clients requirements. Based on the knowledge of the clients requirements and the sector, our goal is to develop solutions for the client that are unique and that help to differentiate us from our competitors. We believe that, through our years of operational experience as well as periodic surveys, we have significant insight into the factors that influence client and consumer choice and tailor our interactions to maximize impact and create a demonstrable growth trajectory. We believe that our sales and marketing platform has created a common toolkit and a repeatable process to deliver both improved retention as well as cross-selling opportunities.
The effectiveness of our approach has been demonstrated through our improved growth trajectory. Our estimated net new business (the estimated annualized sales of new clients less the annualized sales of lost clients as if they were acquired or lost on the first day of the fiscal year) during fiscal year 2013 was approximately 208% of the previous three year average and our performance in fiscal 2013 was approximately 32% greater than in fiscal 2012. Our estimated net new business was approximately $525 million in fiscal 2013. Because our calculation of estimated net new business is made on an annualized basis, the full amount of estimated net new business for any given fiscal year will not be fully recognized in our sales until the following fiscal year.
Types of Contracts
We use contracts that allow us to manage our potential upside and downside risk in connection with our various business interactions with clients. Our contracts may require that the clients consent be obtained in order to raise prices on the food, beverages and merchandise we sell within a particular facility. The length of contracts that we enter into with clients varies. Contracts generally are for fixed terms, many of which are in excess of one year. Client contracts for sports, entertainment and recreational services typically require larger capital investments, but have correspondingly longer and fixed terms, usually from five to fifteen years.
81
When we enter into new contracts, or extend or renew existing contracts, particularly those for stadiums, arenas, convention centers, colleges and universities, we are sometimes contractually required to make some form of up-front or future capital investment to help finance improvement or renovation, typically to the food and beverage facilities of the venue from which we operate. Contractually required capital expenditures typically take the form of investment in leasehold improvements, food service equipment and/or grants to clients. At the end of the contract term or upon its earlier termination, assets such as equipment and leasehold improvements typically become the property of the client, but generally the client must reimburse us for any undepreciated or unamortized capital investments.
Food and Support Services contracts are generally obtained and renewed either through a competitive process or on a negotiated basis, although contracts in the public sector are frequently awarded on a competitive bid basis, as required by applicable law. Contracts for Food and Support Services with school districts and correctional clients are typically awarded through a formal bid process. Contracts in the private sector may be entered into on a less formal basis, but we and other companies will often compete in the process leading up to the award or the completion of contract negotiations. Typically, after the award, final contract terms are negotiated and agreed upon.
We use two general contract types in our Food and Support Services segments: profit and loss contracts and client interest contracts. These contracts differ in their provision for the amount of financial risk that we bear and, accordingly, the potential compensation, profits or fees we may receive. Commission rates and management fees, if any, may vary significantly among contracts based upon various factors, including the type of facility involved, the term of the contract, the services we provide and the amount of capital we invest.
Profit and Loss Contracts. Under profit and loss contracts, we receive all of the revenue from, and bear all of the expenses of, the provision of our services at a client location. Expenses under profit and loss contracts sometimes include commissions paid to the client, typically calculated as a fixed or variable percentage of various categories of sales, and, in some cases, require minimum guaranteed commissions. We benefit from greater upside potential with a profit and loss contract, although we do consequently bear greater downside risk than with a client interest contract. For fiscal 2013, approximately 73% of our Food and Support Services sales were derived from profit and loss contracts.
Client Interest Contracts. Client interest contracts include management fee contracts, under which our clients reimburse our operating costs and pay us a management fee, which may be calculated as a fixed dollar amount or a percentage of sales or operating costs. Some management fee contracts entitle us to receive incentive fees based upon our performance under the contract, as measured by factors such as sales, operating costs and client satisfaction surveys. Client interest contracts also include limited profit and loss contracts, under which we receive a percentage of any profits earned from the provision of our services at the facility and we generally receive no payments if there are losses. As discussed above under Purchasing, we receive vendor consideration, including rebates, allowances and volume discounts that we retain except in those cases and to the extent that, under certain arrangements, they are passed through to our clients. For our client interest contracts, both our upside potential and downside risk are reduced compared to our profit and loss contracts. For fiscal 2013, approximately 27% of our Food and Support Services sales were derived from client interest contracts.
Competition
There is significant competition in the Food and Support Services business from local, regional, national and international companies, as well as from the businesses, healthcare institutions, colleges and universities, correctional facilities, school districts and public assembly facilities that decide to provide these services themselves. Institutions may decide to operate their own services or outsource to one of our competitors following the expiration or termination of contracts with us. Clients do not necessarily choose the lowest cost provider, and tend to place a premium on the total value proposition offered. In our FSS North America segment, our external competitors include other multi-regional food and support service providers, such as Centerplate, Inc., Compass Group plc, Delaware North Companies Inc. and Sodexo SA. Internationally, our external food service and support service competitors include Compass Group plc, Elior SA, International Service System A/S and Sodexo SA. We also face competition from many regional and local service providers.
82
We believe that the following competitive factors are the principal drivers of our success:
| quality and breadth of services and management talent; |
| service innovation; |
| reputation within the industry; |
| pricing; and |
| financial strength and stability. |
Seasonality
Our sales and operating results have varied, and we expect them to continue to vary, from quarter to quarter as a result of different factors. Within our FSS North America segment, historically there has been a lower level of activity during our first and second fiscal quarters in the sports, entertainment and recreational services. This lower level of activity historically has been partially offset during our first and second fiscal quarters by the increased activity in our educational operations. Conversely, historically there has been a significant increase in the provision of sports, entertainment and recreational services during our third and fourth fiscal quarters, which is partially offset by the effect of summer recess at colleges, universities and schools.
Uniform
Our Uniform segment provides uniforms and other garments and work clothes and ancillary items such as mats and shop towels in the United States, Puerto Rico, Canada and through a joint venture in Japan. We hold the #2 position in the North American uniform services market. We operate approximately 2,600 routes nationally, giving us a broad reach to service our clients needs.
Clients use our uniforms to meet a variety of needs, including:
| establishing corporate identity and brand awareness; |
| projecting a professional image; |
| protecting workerswork clothes can help protect workers from difficult environments such as heavy soils, heat, flame or chemicals; and |
| protecting productsuniforms can help protect products against contamination in the food, pharmaceutical, electronics, health care and automotive industries. |
We provide a full service employee uniform solution, including design, sourcing and manufacturing, delivery, cleaning and maintenance. We rent uniforms, work clothing, outerwear, particulate-free garments and non-garment items and related services, including industrial towels, floor mats, mops, linen products, and paper products to businesses in a wide range of industries, including manufacturing, food services, automotive, healthcare, construction, utilities, repair and maintenance services, restaurant and hospitality. In fiscal 2013, our Uniform segment generated $1.4 billion in sales, or 10% of our total sales. See note 14 to the Companys consolidated financial statements for information on revenue, profit and total assets for the Uniform segment.
Clients and Services
We serve businesses of all sizes in many different industries. We have a diverse client base, serving clients in all 50 states, Puerto Rico and one Canadian province, from over 200 service location and distribution centers across the United States and one service center in Ontario, Canada. None of our clients individually represents a material portion of our sales. We typically visit our clients sites weekly, delivering clean, finished uniforms and, at the same time, removing the soiled uniforms or other items for cleaning, repair or replacement. We also offer products for direct sale.
83
Our cleanroom service offers advanced static dissipative garments, barrier apparel, sterile garments and cleanroom application accessories for clients with contamination-free operations in the technology, food, healthcare and pharmaceutical industries.
We conduct our direct marketing business through three primary brandsWearGuard, Crest and ARAMARK. We design, source or manufacture and distribute distinctive image apparel to workers in a wide variety of industries through the Internet at www.shoparamark.com, dedicated sales representatives and telemarketing sales channels. We customize and embroider personalized uniforms and logos for clients through an extensive computer assisted design center and distribute work clothing, outerwear, business casual apparel and footwear throughout the United States, Puerto Rico and Canada.
Operations
We operate our uniform rental business as a network of 78 laundry plants and 148 satellite plants and depots supporting over 2,600 pick-up and delivery routes. We operate a fleet of service vehicles that pick up and deliver uniforms for cleaning and maintenance. We conduct our direct marketing activities principally from our facilities in Salem, Virginia; Norwell, Massachusetts; and Reno, Nevada. We market our own brands of apparel and offer a variety of customized personalization options such as embroidery and logos. We also source uniforms and other products to our specifications from a number of domestic and international suppliers and also manufacture a significant portion of our uniform requirements. We purchase uniform and textile products as well as equipment and supplies from domestic and international suppliers. The loss of any one supplier would not have a significant impact on us. We also operate a cutting and sewing plant in Mexico, which satisfies a substantial amount of our standard uniform inventory needs.
Sales and Marketing
Our sales representatives and route sales drivers are responsible for selling our services to current and potential clients and developing new accounts through the use of an extensive, proprietary database of pre-screened and qualified business prospects. We build our brand identity through local advertising, promotional initiatives and through our distinctive service vehicles. Our clients frequently come to us through client referrals, either from our uniform rental business or from our other service sectors. Our customer service representatives generally interact on a weekly basis with their clients, while our support personnel are charged with expeditiously handling client requirements regarding the outfitting of new client employees and other customer service needs.
Types of Contracts
We typically serve our rental clients under written service contracts for an initial term of three to five years. While clients are not required to make an up-front investment for their uniforms, in the case of nonstandard uniforms and certain specialty programs, clients typically agree to reimburse us for our costs if they terminate their agreement early. With the exception of certain governmental bid business, most of our direct marketing business is conducted under invoice arrangement with repeat clients.
Competition
Although the United States rental industry has experienced some consolidation, there is significant competition in all the areas that we serve, and such competition varies across geographies. Although many competitors are smaller local and regional firms, we also face competition from other large national firms such as Cintas Corporation, G&K Services, Inc. and UniFirst Corporation. We believe that the primary competitive factors that affect our operations are quality, service, design, consistency of product, and distribution capability, particularly for large multi-location clients, and price. We believe that our ability to compete effectively is enhanced by the quality and breadth of our product line as well as our nationwide reach.
84
Employees
As of September 27, 2013, we had a total of approximately 272,000 employees, including seasonal workers, consisting of approximately 162,000 full-time and approximately 110,000 part-time employees in our three business segments. The number of part-time employees varies significantly from time to time during the year due to seasonal and other operating requirements. We generally experience our highest level of employment during the fourth fiscal quarter. The approximate number of employees by segment is as follows: FSS North America: 170,000; FSS International: 88,000; Uniform: 14,000. In addition, the ARAMARK corporate staff is approximately 200 employees. Approximately 40,000 employees in our North American operations are covered by collective bargaining agreements. We have not experienced any material interruptions of operations due to disputes with our employees and consider our relations with our employees to be satisfactory.
Properties
Our principal executive offices are located at ARAMARK Tower, 1101 Market Street, Philadelphia, Pennsylvania 19107. Our principal real estate is primarily comprised of Uniform facilities. As of September 27, 2013, we operated 248 service facilities in our Uniform segment, consisting of industrial laundries, cleanroom laundries, warehouses, distribution centers, satellites, depots, and stand-alone garages that are located in 40 states, Mexico, Canada and Puerto Rico. Of these, approximately 50% are leased and approximately 50% are owned. In addition, we operate one cutting and sewing plant in Mexico. We own 11 buildings that we use in our FSS North America segment, including two office buildings, three hotels and several office/warehouse spaces, and we lease 148 premises, consisting of offices, office/warehouses and distribution centers. In addition, we own a distribution center and four other properties and lease 109 facilities throughout the world that we use in our FSS International segment. We also maintain other real estate and leasehold improvements, which we use in the Uniform and FSS segments. No individual parcel of real estate owned or leased is of material significance to our total assets.
Legal Proceedings
Our business is subject to various federal, state and local laws and regulations governing, among other things, the generation, handling, storage, transportation, treatment and disposal of water wastes and other substances. We engage in informal settlement discussions with federal, state, local and foreign authorities regarding allegations of violations of environmental laws in connection with our operations or businesses conducted by our predecessors or companies that we have acquired, the aggregate amount of which and related remediation costs we do not believe should have a material adverse effect on our financial condition or results of operations.
From time to time, the Company and its subsidiaries are party to various legal actions, proceedings and investigations involving claims incidental to the conduct of their business, including those brought by clients, consumers, employees, government entities and third parties under, among others, federal, state, international, national, provincial and local employment laws, wage and hour laws, discrimination laws, immigration laws, human health and safety laws, import and export controls and customs laws, environmental laws, false claims or whistleblower statutes, minority, women and disadvantaged business enterprise statutes, tax codes, antitrust and competition laws, consumer protection statutes, procurement regulations, intellectual property laws, food safety and sanitation laws, cost and accounting principles, the Foreign Corrupt Practices Act, the U.K. Bribery Act, other anti-corruption laws, lobbying laws, motor carrier safety laws, data privacy laws and alcohol licensing and service laws, or alleging negligence and/or breaches of contractual and other obligations. Based on information currently available, advice of counsel, available insurance coverage, established reserves and other resources, the Company does not believe that any such actions, proceedings or investigations are likely to be, individually or in the aggregate, material to its business, financial condition, results of operations or cash flows. However, in the event of unexpected further developments, it is possible that the ultimate resolution of these matters, or other similar matters, if unfavorable, may be materially adverse to the Companys business, financial condition, results of operations or cash flows.
85
Governmental Regulation
We are subject to various governmental regulations, such as environmental, labor, employment, immigration, health and safety laws and liquor licensing and dram shop laws. In addition, our facilities and products are subject to periodic inspection by federal, state and local authorities. We have established, and periodically update, various internal controls and procedures designed to maintain compliance with these regulations. Our compliance programs are subject to changes in federal or state legislation, or changes in regulatory interpretation, implementation or enforcement. From time to time both federal and state government agencies have conducted audits of certain of our practices as part of routine investigations of providers of services under government contracts, or otherwise. Like others in our business, we receive requests for information from governmental agencies in connection with these audits. If we fail to comply with applicable laws, we may be subject to investigations, criminal sanctions or civil remedies, including fines, penalties, damages, reimbursement, injunctions, seizures, debarments from government contracts or loss of liquor licenses.
Our operations are subject to various governmental regulations, including those governing:
| the service of food and alcoholic beverages; |
| collection of sales tax; |
| minimum wage, overtime, wage payment and employment discrimination; |
| immigration; |
| governmentally funded entitlement programs; |
| environmental protection; |
| human health and safety; |
| customs, import and export control laws; |
| the Foreign Corrupt Practices Act, the U.K. Bribery Act and other anti-bribery laws; |
| minority business enterprise and women owned business enterprise statutes; |
| federal motor carrier safety; and |
| privacy and client data security. |
There are a variety of regulations at various governmental levels relating to the handling, preparation and serving of food, including in some cases requirements relating to the temperature of food, the cleanliness of the kitchen, and the hygiene of personnel, which are enforced primarily at the local public health department level. While we attempt to comply with applicable laws and regulations, we cannot assure you that we are in full compliance at all times with all of the applicable laws and regulations referenced above. Furthermore, legislation and regulatory attention to food safety is very high. Additional or amended regulations in this area may significantly increase the cost of compliance.
In addition, various federal, state and provincial agencies impose nutritional guidelines and other requirements on us at certain of the healthcare, education and corrections facilities we serve. We may also be subject to regulations that limit or restrict the use of trans fats in the food we serve or other requirements relating to ingredient or nutrient labeling. There can be no assurance that federal or state legislation, or changes in regulatory implementation or interpretation of government regulations, would not limit our activities in the future or significantly increase the cost of regulatory compliance.
Because we serve alcoholic beverages at many sports, entertainment and recreational facilities, including convention centers and national and state parks, we also hold liquor licenses incidental to our contract food service business and are subject to the liquor license requirements of the jurisdictions in which we hold a liquor license. As of September 27, 2013, our subsidiaries held liquor licenses in 41 states and the District of Columbia,
86
three Canadian provinces and certain other countries. Typically, liquor licenses must be renewed annually and may be revoked or suspended for cause at any time. Alcoholic beverage control regulations relate to numerous aspects of our operations, including minimum age of patrons and employees, hours of operation, advertising, wholesale purchasing, inventory control and handling, and storage, dispensing and service of alcoholic beverages. We have not encountered any material problems relating to alcoholic beverage licenses to date. The failure to receive or retain a liquor license in a particular location could adversely affect our ability to obtain such a license elsewhere. Some of our contracts require us to pay liquidated damages during any period in which our liquor license for the facility is suspended, and most contracts are subject to termination if we lose our liquor license for the facility. Our service of alcoholic beverages is also subject to state, provincial and local service laws, commonly called dram shop statutes. Dram shop statutes generally prohibit serving alcoholic beverages to minors or visibly intoxicated persons. If we violate dram shop laws, we may be liable to the patron or to third parties for the acts of the patron. We sponsor regular training programs designed to minimize the likelihood of such a situation. However, we cannot guarantee that intoxicated or minor patrons will not be served or that liability for their acts will not be imposed on us.
Our uniform rental business and our food and support service business are subject to various environmental protection laws and regulations, including the U.S. federal Clean Water Act, Clean Air Act, Resource Conservation and Recovery Act, Comprehensive Environmental Response, Compensation, and Liability Act and similar state and local statutes and regulations governing the use, management, shipping and disposal of chemicals and hazardous materials. In particular, industrial laundries use certain detergents and cleaning chemicals to launder garments and other merchandise. The residues from such detergents and chemicals and residues from soiled garments and other merchandise laundered at our facilities may result in potential discharges to air and to water (through sanitary sewer systems and publicly owned treatment works) and may be contained in waste generated by our wastewater treatment systems. Our industrial laundries are subject to certain volume and chemical air and water pollution discharge limits, monitoring, permitting and recordkeeping requirements. We own or operate aboveground and underground storage tank systems at some locations to store petroleum products for use in our or our clients operations. Certain of these storage tank systems also are subject to performance standards, periodic monitoring and recordkeeping requirements. We also may use and manage chemicals and hazardous material in our operations from time to time. We are mindful of the environmental concerns surrounding the use, management, shipping and disposal of these chemicals and hazardous materials, and have taken and continue to take measures to maintain compliance with environmental protection laws and regulations. Given the regulated nature of our operations, we could face penalties and fines for non-compliance. In the past, we have settled, or contributed to the settlement of, actions or claims relating to the management of underground storage tanks and the handling and disposal of chemicals or hazardous materials, either on or off-site. We may, in the future, be required to expend material amounts to rectify the consequences of any such events. Under environmental laws, we may be liable for the costs of removal or remediation of certain hazardous materials located on or in or emanating from our owned or leased property or our clients properties, as well as related costs of investigation and property damage. Such laws may impose liability without regard to our fault, knowledge or responsibility for the presence of such hazardous substances. We may not know whether our clients properties or our acquired or leased properties have been operated in compliance with environmental laws and regulations or that our future uses or conditions will not result in the imposition of liability upon us under such laws or expose us to third-party actions such as tort suits.
We do not anticipate any capital expenditures for environmental remediation that would have a material effect on our financial condition.
Intellectual Property
We have the patents, trademarks, trade names and licenses that are necessary for the operation of our business. Other than the ARAMARK brand, we do not consider our patents, trademarks, trade names and licenses to be material to the operation of our business in any material respect.
87
Executive Officers and Directors
The following table sets forth certain information regarding our executive officers and directors as of November 15, 2013:
Name |
Age | Position |
With the company since |
|||||||
Joseph Neubauer |
72 | Chairman of the Board and Director | 1979 | |||||||
Eric J. Foss |
55 | Chief Executive Officer and President and Director | 2012 | |||||||
Lynn B. McKee |
58 | Executive Vice President, Human Resources | 1980 | |||||||
Christina Morrison |
46 | Senior Vice President, Finance | 2013 | |||||||
Joseph Munnelly |
49 | Senior Vice President, Controller and Chief Accounting Officer | 2007 | |||||||
Stephen Reynolds |
55 | Executive Vice President, General Counsel and Secretary | 2012 | |||||||
L. Frederick Sutherland |
61 | Executive Vice President and Chief Financial Officer | 1980 | |||||||
Karen A. Wallace |
47 | Vice President and Treasurer | 2004 | |||||||
Todd M. Abbrecht |
45 | Director | 2007 | |||||||
Lawrence T. Babbio, Jr. |
68 | Director | 1999 | |||||||
David A. Barr |
50 | Director | 2013 | |||||||
Leonard S. Coleman, Jr. |
64 | Director | 1999 | |||||||
Daniel J. Heinrich |
57 | Director | 2013 | |||||||
James E. Ksansnak |
73 | Director | 1986 | |||||||
Sanjeev Mehra |
54 | Director | 2007 | |||||||
Stephen P. Murray |
51 | Director | 2007 | |||||||
Stephen Sadove |
62 | Director | 2013 |
Joseph Neubauer has been our Chairman of the Board since April 1984. He served as our Chief Executive Officer from February 1983 to December 2003 and from September 2004 to May 2012. From January 2004 to September 2004, he served as our Executive Chairman. He was our President from April 1981 to May 1997. He currently is a director of Verizon Communications Inc. and Macys, Inc. and was a director of Wachovia Corporation from 1996 to 2008.
Eric J. Foss has been our Chief Executive Officer and President since May 2012. Before joining us, Mr. Foss served as Chief Executive Officer of Pepsi Beverages Company from 2010 until December 2011. Prior to that Mr. Foss served as Chairman and Chief Executive Officer of The Pepsi Bottling Group from 2008 until 2010; President and Chief Executive Officer from 2006 until 2007; and Chief Operating Officer from 2005 until 2006. Mr. Foss serves on the board of UDR, Inc. and CIGNA Corporation.
Lynn B. McKee has been our Executive Vice President, Human Resources since August 2013 and she previously served as our Executive Vice President, Human Resources from May 2004 to August 2012. From August 2012 to August 2013, Ms. McKee served as our Executive Vice President, Human Resources and Communications. From January 2004 to May 2004, she was our Senior Vice President of Human Resources and from September 2001 to December 2003, she served as Senior Vice President of Human Resources for our Food and Support Services Group. From August 1998 to August 2001, she served as our Staff Vice President, Executive Development and Compensation. Ms. McKee serves on the board of directors of Bryn Mawr Bank Co.
88
Christina Morrison joined us in June 2013 as our Senior Vice President, Finance. Before joining us, Ms. Morrison served as Senior Vice President, Business and Financial Planning of Merck & Co., Inc. from 2009 to 2013. Prior to that, Ms. Morrison served as Senior Vice President, Chief Financial Officer of Wyeth Pharmaceuticals from 2007 to 2009 and as Vice President, U.S. Chief Financial Officer from 2005 to 2007; she served as Wyeths Vice President, New Business, Womens Health Care from 2004 to 2005. From 2003 to 2004 Ms. Morrison was Executive Director, Strategic Planning of The Rouse Company. From 1989 to 2002 Ms. Morrison served in various capacities at Deutsche Banks Mergers and Acquisitions and Health Care Groups.
Joseph Munnelly joined us in September 2007 as Senior Vice President and Deputy Controller and was elected as our Senior Vice President and appointed Controller and Chief Accounting Officer effective March 2008. Prior to joining us, he served as Vice President and Corporate Controller at Unisys Corporation, a worldwide information technology services and solutions company, since 2005. Prior to that, he served as a partner at KPMG LLP in the Audit and Risk Advisory Services Practice. Prior to his tenure at KPMG, he spent 16 years with Arthur Andersen LLP, most recently as a partner in the Audit and Business Advisory practice.
Stephen R. Reynolds was appointed our Executive Vice President, General Counsel and Secretary, effective September 2012. Before joining us, Mr. Reynolds was an executive with Alcatel-Lucent for seven years, having most recently served as Senior Vice President and General Counsel from January 2006 to August 2012.
L. Frederick Sutherland became our Chief Financial Officer in May 1997. He has served as an Executive Vice President since May 1993. He served as Group Executive, ARAMARK Uniform and Career Apparel from June 2009 to August 2012. From May 1993 to May 1997, he also served as President of our Uniform Services division and from February 1991 to May 1993, he served as our Senior Vice President of Finance and Corporate Development. Mr. Sutherland served as our Treasurer from February 1984 to February 1991. Mr. Sutherland is a director of Consolidated Edison, Inc.
Karen A. Wallace became our Vice President and Treasurer in May 2012. From November 2010 to May 2012, she served as Staff Vice President and Assistant Treasurer. She joined us in December 2004 and was elected Assistant Treasurer in February 2005 and served in that role until November 2010. Before joining us, Ms. Wallace served as Assistant Treasurer of Armstrong World Industries.
Todd M. Abbrecht is a Managing Director of Thomas H. Lee Partners, L.P. Prior to joining Thomas H. Lee Partners in 1992, Mr. Abbrecht was in the Mergers and Acquisitions department of Credit Suisse First Boston. Mr. Abbrecht previously served on the board of directors of Warner Chilcott plc and Dunkin Brands Group, Inc. Mr. Abbrecht currently serves as a director of Fogo de Chão, Intermedix Corporation, InVentiv Health, Inc. and Party City.
Lawrence T. Babbio, Jr. is currently retired. He most recently served as a Senior Advisor to Warburg Pincus, a private equity firm, from June 2007 until March 2012. Previously, Mr. Babbio served as Vice Chairman and President of Verizon Communications, Inc., a telecommunications company, from 2000 until his retirement in April 2007. Mr. Babbio also served as Vice Chairman of Bell Atlantic Corporation, a telecommunications company, from 1995 until the formation of Verizon through the merger of Bell Atlantic and GTE Corporation, another telecommunications company, in 2000; as President and Chief Operating Officer of Bell Atlantic from 1994 to 1995; and Chairman, Chief Executive Officer and President of Bell Atlantic Enterprises International, Inc. from 1991 to 1994. Mr. Babbio previously served on the board of directors of Hewlett-Packard Company and Verizon Communications, Inc.
David A. Barr has been a Partner of Warburg Pincus & Co. and a Member and Managing Director of Warburg Pincus LLC since January 2001. Prior to joining Warburg Pincus, Mr. Barr was a managing director at Butler Capital for more than 10 years and worked at Goldman Sachs. He currently serves on the board of Builders FirstSource, Inc and several private companies. Previously, he served as a director of The Neiman Marcus Group, Inc., TransDigm Group Incorporated and Polypore International, Inc.
89
Leonard S. Coleman, Jr. is currently retired. Mr. Coleman most recently served as a Senior Advisor to Major League Baseball from 1999 to December 2005. Mr. Coleman served as President of The National League of Professional Baseball Clubs from 1994 to 1999, having served since 1992 as Executive Director, Market Development of Major League Baseball. Previously, Mr. Coleman was a municipal finance banker for Kidder, Peabody & Company. Mr. Coleman is a director of Avis Budget Group, Inc., Omnicom Group Inc., Churchill Downs Incorporated and Electronic Arts Inc. He previously served on the board of directors of H.J. Heinz Company.
Daniel J. Heinrich most recently served as Executive Vice President and Chief Financial Officer at The Clorox Company from 2009 to 2011. He started with Clorox in 2001 as Vice President and Controller and served in that role until 2003. In 2003 he became Chief Financial Officer and from 2004 until 2009, Senior Vice President and Chief Financial Officer. Prior to joining Clorox he was Senior Vice President and Treasurer of Transamerica Corporation from 1996 to 2001; Senior Vice President, Controller and Treasurer of Granite Management Company from 1994 to 1996; Senior Vice President, Controller and Chief Accounting Officer of First Nationwide Bank from 1986 to 1994 and at Ernst & Young LLP from 1978 to 1986 as an accountant and then Senior Audit Manager. Mr. Heinrich serves on the board of directors of Energizer Holdings, Inc. and E.&J. Gallo Winery. He previously served on the board of Advanced Medical Optics, Inc.
James E. Ksansnak is currently retired. Mr. Ksansnak served as Chairman of the board of directors of Tasty Baking Company from May 2003 until May 2011. He was our vice chairman from May 1997 until March 2000. From February 1991 to May 1997, he was our executive vice president; from May 1986 to February 1991, he was our senior vice president; and from May 1986 to May 1997, he was our chief financial officer. Previously, Mr. Ksansnak also served on the board of directors of CSS Industries, Inc.
Sanjeev Mehra has been a Managing Director of Goldman, Sachs & Co.s Principal Investment Area of its Merchant Banking Division since 1996 and is currently Co-Head of the U.S. private equity business. He serves on the board of directors of Sungard Data Systems, Inc., Interline Brands, Inc. and KAR Auction Services, Inc. Mr. Mehra previously served on the board of directors of Hawker Beechcraft, Inc. and Burger King Holdings, Inc.
Stephen P. Murray has been the President and Chief Executive Officer of CCMP Capital Advisors, LLC (CCMP) since March 2007. Currently, he serves on the board of directors of Generac Holdings, Inc. Previously, Mr. Murray also served on the board of directors of AMC Entertainment Inc., Warner Chilcott plc and Cabelas Incorporated.
Stephen Sadove has served as Chief Executive Officer of Saks Incorporated since 2006 and Chairman and CEO since 2007 until November 5, 2013. He was Chief Operating Officer of Saks from 2004 to 2006. He started with Saks in 2002, serving as Vice Chairman of the board of directors and has been Chairman of the board since 2007. Prior to joining Saks, Mr. Sadove was with Bristol-Meyers Squibb Company from 1991 until 2002, first as President, Clairol from 1991 to 1996, then President, Worldwide Beauty Care from 1996 to 1997, then President, Worldwide Beauty Care and Nutritionals from 1997 to 1998, and finally, Senior Vice President and President, Worldwide Beauty Care. He was employed by General Foods Corporation from 1975 until 1991 in various managerial roles, most recently as Executive Vice President and General Manager, Desserts Division from 1989 until 1991. Mr. Sadove currently serves on the board of directors of Colgate-Palmolive Company, Ruby Tuesday, Inc. and J.C. Penney Company, Inc. He was previously a director of Equity Office Properties Trust.
Our executive officers are elected annually by the board of directors and serve at its discretion or until their successors are duly elected and qualified.
Composition of the Board of Directors
Our business and affairs are managed under the direction of our board of directors. Following the completion of the initial public offering, we expect our board of directors to consist of 11 directors, at least 5 of whom (Messrs. Babbio, Coleman, Heinrich, Ksansnak and Sadove) will be considered independent under NYSE corporate governance standards.
90
Background and Experience of Directors
When considering whether directors and nominees have the experience, qualifications, attributes or skills, taken as a whole, to enable our board of directors to satisfy its oversight responsibilities effectively in light of our business and structure, the board of directors focused primarily on each persons background and experience as reflected in the information discussed in each of the directors individual biographies set forth above. We believe that our directors provide an appropriate mix of experience and skills relevant to the size and nature of our business. In particular, the members of our board of directors considered the following important characteristics, among others:
Mr. Neubauerour board considered his extensive history with and knowledge of the Company, his business experience both before and after he joined the Company and his experience serving on the boards of other public companies.
Mr. Fossour board considered his extensive knowledge of the Company through his service as CEO and President, his business experience and his experience serving on boards of other public companies.
Mr. Abbrechtour board considered his financial acumen and business leadership skills gained during his tenure at Thomas H. Lee Partners, L.P. and his experience serving on the boards of a number of other public companies, including his past performance as a board member of the Company.
Mr. Babbioour board considered his strong business skills and experience, extensive knowledge of financial and operational matters and his service on boards of other public companies, including his long history of service as a board member of the Company.
Mr. Barrour board considered his financial acumen and business leadership skills gained during his tenure at Warburg Pincus and his experience serving on the boards of a number of other public companies.
Mr. Colemanour board considered his leadership roles, his long history of board service to the Company, his extensive experience as a board member of other public companies and his sports industry background.
Mr. Heinrichour board considered his extensive financial and business background, including his tenure as chief financial officer of a public company.
Mr. Ksansnakour board considered his extensive financial and business background, his food industry background, his long history with the Company, and his experience serving on the board of a number of public companies, including his past performance as a board member of the Company.
Mr. Mehraour board considered his financial acumen and business leadership skills gained during his tenure at Goldman, Sachs & Co. and his experience serving on the boards of a number of other public companies, including his past performance as a board member of the Company.
Mr. Murrayour board considered his financial acumen and business leadership skills gained during his tenure at CCMP, and prior to that, at J.P. Morgan Partners, and his experience serving on the boards of a number of other public companies, including his past performance as a board member of the Company.
Mr. Sadoveour board considered his strong business skills and experience, his extensive knowledge of financial and operational matters in the retail industry and his service on boards of other public companies.
Role of Board in Risk Oversight
The board of directors has extensive involvement in the oversight of risk management related to us and our business and accomplishes this oversight through the regular reporting by the Audit Committee. The Audit Committee represents the board of directors by periodically reviewing our accounting, reporting and financial practices, including the integrity of our financial statements, the surveillance of administrative and financial controls and our compliance with legal and regulatory requirements. Through its regular meetings with management, including the accounting, finance, legal, and internal audit functions, the Audit Committee reviews and discusses all significant areas of our business and summarizes for the board of directors all areas of risk and the appropriate mitigating factors. In addition, our board of directors receives periodic detailed operating performance reviews from management.
91
Controlled Company Exception
After the completion of the initial public offering, certain stockholders will continue to beneficially own a majority of the voting power of all outstanding shares of our common stock. Under the NYSE corporate governance standards, a company of which more than 50% of the voting power is held by an individual, group or another company is a controlled company and may elect not to comply with certain corporate governance standards, including (1) the requirement that a majority of the board of directors consist of independent directors, (2) the requirement that we have a compensation committee that is composed entirely of independent directors with a written charter addressing the committees purpose and responsibilities, (3) the requirement that we have a nominating and corporate governance committee that is composed entirely of independent directors with a written charter addressing the committees purpose and responsibilities and (4) the requirement for an annual performance evaluation of the nominating and corporate governance and compensation committees. Following the initial public offering, we intend to utilize certain of these exemptions. As a result, following the initial public offering, we will not have a majority of independent directors on our board of directors; and we will not have a nominating and corporate governance committee or a compensation committee that is composed entirely of independent directors. Also, such committees will not be required to be subject to annual performance evaluations. In the event that we cease to be a controlled company, we will be required to comply with these provisions within the transition periods specified in the NYSE corporate governance rules.
Board Committees
After the completion of the initial public offering, our board of directors will have five standing committees: the Audit and Corporate Practices Committee (the Audit Committee), the Compensation and Human Resources Committee (the Compensation Committee), the Nominating and Corporate Governance Committee (the Nominating Committee), the Finance Committee and the Stock Committee.
Each of our standing committees operates under a written charter approved by our board of directors. The charters of each of our standing committees will be available on our website upon completion of the initial public offering. The board and each of our standing committees other than the Stock Committee, perform self-evaluations on an annual basis.
Our chief executive officer and president and other executive officers regularly report to the non-executive directors and the Audit, the Compensation, the Nominating and the Finance Committees to ensure effective and efficient oversight of our activities and to assist in proper risk management and the ongoing evaluation of management controls. The vice president of internal audit reports functionally and administratively to our chief financial officer and directly to the Audit Committee. We believe that the leadership structure of our board of directors provides appropriate risk oversight of our activities given the controlling interests held by certain of our stockholders.
Audit Committee
Upon the completion of the initial public offering, we expect to have an Audit Committee, consisting of Messrs. Ksansnak (Chairman), Neubauer, Abbrecht, Coleman, Heinrich and Murray. Messrs. Coleman, Ksansnak and Heinrich qualify as independent directors under the NYSE corporate governance standards and the independence requirements of Rule 10A-3 of the Securities Exchange Act of 1934, as amended (the Exchange Act) and each of Messrs. Ksansnak and Heinrich qualifies as an audit committee financial expert as such term is defined in Item 407(d)(5) of Regulation S-K.
The purpose of the Audit Committee is to prepare the audit committee report required by the SEC to be included in our proxy statement and to assist our board of directors in overseeing and monitoring (1) the quality and integrity of our financial statements, (2) our compliance with legal and regulatory requirements, (3) our independent registered public accounting firms qualifications and independence, (4) the performance of our internal audit function and (5) the performance of our independent registered public accounting firm.
92
Compensation and Human Resources Committee
Upon the completion of the initial public offering, we expect to have a Compensation and Human Resources Committee, consisting of Messrs. Murray (Chairman), Neubauer, Babbio, Coleman, Mehra and Sadove.
The purpose of the Compensation and Human Resources Committee is to assist our board of directors in discharging its responsibilities relating to (1) setting our compensation program and compensation of our executive officers and directors, (2) monitoring our incentive and equity-based compensation plans, (3) preparing the compensation committee report required to be included in our proxy statement under the rules and regulations of the SEC and (4) reviewing our contribution policy and practices for our retirement benefit plans.
Nominating and Corporate Governance Committee
Upon the completion of the initial public offering, we expect to have a Nominating and Corporate Governance Committee, consisting of Messrs. Mehra (Chairman), Neubauer, Barr, Coleman and Sadove.
The purpose of our Nominating and Corporate Governance Committee is to assist our board of directors in discharging its responsibilities relating to (1) identifying individuals qualified to become new members of the board of directors, consistent with criteria approved by the board of directors, subject to the Stockholders Agreement; (2) reviewing the qualifications of incumbent directors to determine whether to recommend them for reelection and selecting, or recommending that the board of directors select, the director nominees for the next annual meeting of stockholders; (3) identifying board of directors members qualified to fill vacancies on any board of directors committee and recommending that the board of directors appoint the identified member or members to the applicable committee, subject to the Stockholders Agreement; (4) reviewing and recommending to the board of directors corporate governance principles applicable to us; (5) overseeing the evaluation of the board of directors and management; and (6) handling such other matters that are specifically delegated to the committee by the board of directors from time to time.
Finance Committee
Upon the completion of the initial public offering, we expect to have a Finance Committee, consisting of Messrs. Abbrecht (Chairman), Neubauer, Babbio, Barr, Heinrich and Ksansnak.
The purpose of our Finance Committee is to assist our board of directors in discharging its responsibilities relating to the review of our long-term business direction and goals and the strategy for maintaining that direction and achieving those goals. In connection with its fulfillment of this responsibility, the Finance Committee reviews with management and recommends to the board of directors our overall financial plans, including capital expenditures, acquisitions and divestitures, securities issuances and incurrences of debt, and reviews the performance of our retirement benefit plans. It will also recommend to our board of directors specific transactions involving these matters, and it has been empowered by our board of directors to approve certain financial commitments and acquisitions and divestitures by us up to specified levels.
Stock Committee
Upon the completion of the initial public offering, we expect to have a Stock Committee, consisting of Messrs. Coleman and Sadove.
The Stock Committee has authority to administer or grant approvals under our equity and incentive compensation plans and to approve specific equity transactions or incentive awards involving our officers and directors and us. The Stock Committee also approves performance targets under our Senior Executive Annual Performance Bonus Plan and equity compensation plans.
93
Code of Ethics
We have adopted a Business Conduct Policy that applies to all of our directors, officers and employees, including our principal executive officer, principal financial officer and principal accounting officer, which is available on the Investor Relations section of our website at www.aramark.com. Our Business Conduct Policy contains a code of ethics, as defined in Item 406(b) of Regulation S-K. Please note that our Internet website address is provided as an inactive textual reference only. We will make any legally required disclosures regarding amendments to, or waivers of, provisions of our code of ethics on our Internet website.
Executive Compensation
Compensation Discussion and Analysis
Background
This compensation discussion and analysis provides information regarding our executive compensation programs for the following executive officers in fiscal 2013:
| Eric J. Foss, our Chief Executive Officer and President; |
| L. Frederick Sutherland, our Executive Vice President and Chief Financial Officer; |
| Lynn B. McKee, our Executive Vice President, Human Resources; |
| Stephen R. Reynolds, our Executive Vice President, General Counsel and Secretary; and |
| Christina T. Morrison, our Senior Vice President, Finance. |
Equity Compensation Background
Each of our named executive officers holds a substantial amount of equity in the Company that they were granted in connection with our 2007 Transaction or upon their commencement of employment with us, and through subsequent equity grants. This equity serves as a substantial component of our compensation program for our named executive officers and has provided significant motivation and retention value to us for two reasons:
| As a private company, the investment in our common stock generally has been illiquid while our named executive officers remain employed by us, subject only to the specified rights of the Company to repurchase stock following a termination of employment and the executives right to cause such repurchase under certain circumstances following termination of employment or in specified amounts at specified times with respect to shares originally bought in connection with the 2007 Transaction. When we become a public company, our named executive officers will be subject to restrictions on transfer for a period of up to 12 months following our initial public offering (subject to reduction to the extent the Sponsors reduce their ownership of the Company). In addition, Mr. Foss is currently subject to stock ownership guidelines equal to six times his base salary (taking into account owned stock) under his Employment Letter Agreement. The other named executive officers are also subject to stock ownership guidelines, and are required to retain either two or three times their base salaries depending upon their executive level. These restrictions will help to ensure that our named executive officers interests remained aligned with the interests of our stockholders and the long-term interests of the Company. |
| Prior to June 2013, one-half of all stock options granted have had a time-based vesting schedule and vest over a four-year period, provided that the employee continues to be employed by us. The other half of the stock options have been performance-based and require, in addition to the elapse of certain time periods, that we achieve specified financial targets before those stock options will vest. See Components of Executive CompensationEquity Incentives. |
94
New Equity Compensation Program
In fiscal 2013, the compensation committee reviewed our equity program and determined to align it more closely to that of large public companies, by utilizing restricted stock, time-based stock options and restricted stock units and discontinuing the grant of Installment Stock Purchase Opportunities, or ISPOs, which required upfront employee investment in accordance with the terms of the ISPO. Stock options and restricted stock units granted in fiscal 2013 are time-based and vest 25% per year over four years, provided that the named executive officer remains employed by us. This four-year pro rata vesting schedule supports our retention objective. We plan to institute performance-based equity as a component of our new equity program in fiscal 2014, which will continue our executives focus on long-term performance. ISPOs were a specialized form of stock option for new hires and promoted employees that were divided into five equal installments, with the first installment vesting immediately upon grant and remaining exercisable for one year. The holder was required to exercise at least 25% of the first installment or he or she would forfeit the entire remaining grant. The remaining installments vested in each subsequent year on the 15th of December, beginning in December following the grant date anniversary, and were exercisable only during the 31-day period from December 15th until the immediately following January 15th. Any subsequent vested installments that were not exercised during the relevant exercise period were canceled. In connection with the compensation committees determination to change our equity program, the Company completed an exchange offer in July 2013 whereby holders of outstanding ISPO awards had the ability to exchange such awards for new grants of restricted stock and non-qualified stock options, as further described below under Components of Executive CompensationEquity Incentives.
For fiscal 2013, Mr. Foss received an equity grant consisting of time-based stock options and restricted stock units in accordance with the terms of his Employment Letter Agreement. Messrs. Sutherland and Reynolds and Ms. McKee received equity grants consisting of time-based stock options and restricted stock units in July 2013 that were intended to make up for grants that they did not receive in 2012. The Company is currently contemplating making additional grants in early fiscal 2014 in respect of fiscal 2013 equity compensation. Regular annual grants are expected to begin in November 2014. In addition, in November 2013, the compensation committee approved grants of restricted stock units to each of the named executive officers, which will become effective at the time of this offering. See Components of Executive CompensationEquity IncentivesGrants in Connection with the Offering.
Our Executive Compensation Policy
Our compensation programs are designed to support our overall commitment to continued growth and the provision of quality services to our clients and customers. Our programs are focused on three important goals:
| Attraction and Retentionto enable us to recruit and retain the best performers; |
| Company and Individual Performanceto provide compensation levels consistent with the executives level of contribution and degree of accountability; and |
| Alignment and Stockholder Value Creationto use performance measures consistent with our goals and to include a significant portion of incentive compensation to motivate business results and strengthen the connection between the long-term interests of our executives and the interests of stockholders by encouraging each executive to maintain a significant ownership interest in us. |
Attraction and Retention
Our compensation programs are an integral part of attracting and retaining our named executive officers. When we are attracting new executives, we aim to be competitive with the overall market, while maintaining internal consistency in the compensation among executives at similar levels in the Company and building compensation packages that will motivate executives to leave their then current positions and join us. We primarily achieve retention through equity grants with multi-year vesting schedules. Our stock options (other than Replacement Stock Options (as defined below)) and restricted stock units generally vest over four years, which encourages executives who receive these grants to remain with us.
95
Company and Individual Performance
Our business requires us to deliver exceptional, value-driven experiences to our clients and customers. Our compensation programs, particularly our Senior Executive Annual Performance Bonus Plan (the Bonus Plan) and the Amended and Restated Management Incentive Bonus Plan (the MIB), are designed to reward all executives, including our named executive officers, who perform to or exceed our standards by recognizing each executives scope of responsibilities, and management capabilities, and providing incentives to him or her to optimize Company-wide financial results including, among other measures, earnings before interest and taxes, or EBIT.
Alignment and Stockholder Value Creation
We attempt to align our named executive officers and other executives goals with those of our clients, customers and stockholders. For our named executive officers who hold a significant amount of stock, either due to their initial purchases in connection with the 2007 Transaction or their commencement of employment, or who have been granted significant equity, our named executive officers interests are strongly aligned with those of our stockholders. In addition, because historically 50% of stock options granted were subject to performance-based vesting, if we perform well and satisfy the EBIT targets for performance vesting of stock options as described below in Components of Executive CompensationEquity Incentives, portions of the total number of stock options held by our named executive officers will vest. Therefore, if any executive helps us to achieve corporate EBIT growth, he or she can have a direct impact on the vesting of a portion of his or her equity. We also plan to institute performance-based equity as a component of our new equity program in fiscal 2014, which will continue our executives focus on long-term performance. This emphasis on long-term compensation underscores the importance of maintaining our executives focus on creating long-term success and sustained stockholder value.
Role of Compensation Consultants
The compensation committee originally engaged Frederic W. Cook & Co., Inc. as its compensation consultant in October 2007 and has reengaged Frederic W. Cook & Co., Inc. each fiscal year since that time. Ms. McKee, our Executive Vice President, Human Resources, participated in the selection of and discussions with representatives from Frederic W. Cook & Co., Inc. None of our other executive officers has participated in the selection of any particular compensation consultant. Frederic W. Cook & Co., Inc. has provided us with market intelligence and guidance on compensation trends, along with general views on specific compensation programs being designed by our Human Resources management. While only the compensation committee may formally engage compensation consultants with respect to the compensation of executive officers and directors, our management may seek the advice of these or other compensation consultants from time to time with the approval of our compensation committee chairman. In addition, only the compensation committee has the right to terminate Frederic W. Cook & Co., Inc., its compensation consultant.
The compensation committee re-engaged Frederic W. Cook & Co., Inc. in November 2012 to assist in the evaluation of compensation for our named executive officers (other than Ms. Morrison) and our board of directors, as well as other compensation-related matters for fiscal 2013. In fiscal 2013, Frederic W. Cook & Co., Inc. assisted the compensation committee with the redesign of the Companys equity compensation program and recommendations for equity awards to our named executive officers.
In the past, Frederic W. Cook & Co., Inc. assisted the compensation committee with the configuration of our peer group of companies, which the compensation committee uses to benchmark or market check compensation for certain of our named executive officers. Since 2008, our peer group has consisted of Cintas, Compass Group PLC, Darden Restaurants, FedEx, Hertz, Manpower, Marriott, McDonalds, RR Donnelley, Ryder System, Starbucks, SYSCO, Tyco International, UPS, Waste Management and Yum Brands. In terms of size, our revenues approximate the median of the peer companies, our enterprise value approximates the 25th percentile and the number of our employees is above the 75th percentile.
96
In November 2012, Frederic W. Cook & Co., Inc. performed a competitive review of 2012 compensation paid to Mr. Foss and the named executive officers who report directly to him to provide the compensation committee with information relating to the competitiveness of existing compensation and to assist the compensation committee with compensation decisions for fiscal 2013. In November 2012, for Mr. Foss, Frederic W. Cook & Co., Inc. benchmarked the individual components of his compensation and his total compensation against chief executive officers in our peer group as is required by his Employment Letter Agreement. For Mr. Sutherland, Frederic W. Cook & Co., Inc. performed a market check of individual components of his compensation, as well as his total compensation against other chief financial officers in our peer group. For Ms. McKee and Mr. Reynolds, Frederic W. Cook & Co., Inc. utilized a subset of the Towers Watson 2012 CDB General Industry Executive Compensation Survey - U.S. that relates to companies with over $10 billion in global corporate revenue (206 companies from the overall survey of 435 companies) (the Survey Data and together with our peer group data, Market Practice) to perform a market check of the individual components of their compensation, as well as their total compensation. We do not consider any specific company included in the survey data to be a material factor in the review of the compensation of our named executive officers. Total cash compensation paid to our named executive officers in fiscal 2013 was generally between the median and the 75th percentile of Market Practice, which is consistent with our targeted competitive positioning. Base salaries paid to our named executive officers in fiscal 2013 generally approximated between the median and the 75th percentile of Market Practice and target bonus as a percentage of base salary generally approximated the median. Frederic W. Cook & Co., Inc.s report, which was based upon 2012 compensation data for the abovementioned named executive officers, was utilized as one data point by the compensation committee to determine base salary and bonus targets for fiscal 2013.
In November 2013, Frederic W. Cook & Co., Inc. confirmed to the compensation committee that the Companys compensation programs are competitive with Market Practice and are well balanced to provide annual and longer-term capital accumulation opportunities by way of salary, annual incentives and equity interests. As described below, in fiscal 2013, after evaluating current named executive officer compensation levels and Market Practice, Frederic W. Cook & Co., Inc. indicated that no significant changes to base salary levels and/or target bonus opportunities were required in order to support the competitiveness of the Companys compensation programs, and proposed that the compensation committee adopt market competitive long-term equity incentive opportunities to bring total direct compensation opportunities in line with the Companys proposed compensation strategy.
Role of Compensation Committee and Executive Officers
The compensation committee is responsible for the oversight of our executive compensation program. The compensation committee or its subcommittee (in the case of equity grants and bonus plan payments to executive officers, subject to the approval of the stock committee) makes or approves all decisions concerning compensation awarded to our named executive officers.
Compensation decisions for Mr. Foss and the named executive officers who report directly to him (Messrs. Sutherland and Reynolds and Ms. McKee) are made differently than those for our other executive officers. Compensation recommendations for Ms. Morrison are made by Mr. Sutherland, who is her supervisor, with input from Ms. McKee.
Messrs. Foss, Sutherland and Reynolds and Ms. McKee
Mr. Foss joined us as our Chief Executive Officer and President in May 2012. Ms. McKee negotiated his compensation package on behalf of the Company, with input from the compensation committee and our board and assistance from Frederic W. Cook & Co., Inc. and outside legal counsel. Mr. Foss compensation package was based upon benchmarking data with regard to compensation paid to other chief executive officers in our peer group. Under Mr. Fosss Employment Letter Agreement, for fiscal 2012 and fiscal 2013, he was entitled to receive minimum equity grants such that his total annual compensation is consistent with the 75th percentile of
97
our market peer group. The agreement by Mr. Foss to retain shares of our common stock equal to six times his base salary also reflects the Companys emphasis on management stockholders maintaining a substantial investment in the Company. The compensation committee felt that Mr. Foss perquisites should be consistent with what other senior executives at the Company receive, also consistent with the goal of maintaining the Companys existing compensation structure.
Mr. Reynolds joined us in September 2012. In making Mr. Reynolds compensation recommendation, Ms. McKee and Mr. Foss considered the results of a market check of the Survey Data between the 50th and 75th percentile for similarly situated general counsels, the compensation level that was likely to be attractive to Mr. Reynolds considering his then-current compensation at his previous employer, the compensation paid to our former general counsel, Mr. Reynolds experience compared to the requirements of the position and internal consistency with respect to Mr. Reynolds compensation and the compensation of executives at similar levels in the Company. Mr. Foss and Ms. McKee recommended and the compensation committee approved with respect to Mr. Reynolds a starting base salary of $500,000 and a bonus target of $400,000, which is consistent with the targets of Company executives at his level (80% of base salary). His compensation was not increased for fiscal 2013, since he had only been at the Company for one month of fiscal 2012. In addition, Mr. Reynolds received a new hire grant of 60,000 ISPOs and 250,000 stock options that were one-half time-based and one-half performance-based. Mr. Reynolds grant recommendation was made by Mr. Foss and Ms. McKee to be consistent with a value range for Company executives at his level and was approved by the compensation committee in December 2012.
For fiscal 2013, our Human Resources department initially prepared a tally sheet for use by Frederic W. Cook & Co., Inc. in its analysis of the compensation of Mr. Foss and the named executive officers who are Mr. Foss direct reports (Messrs. Sutherland and Reynolds and Ms. McKee). The tally sheet contained the following information for Mr. Foss and each of our named executive officers who are direct reports of Mr. Foss: current base salary, bonus target and prior years bonus award, current year option grant, if any, and current equity holdings. Frederic W. Cook & Co., Inc. used the information contained in the tally sheet, along with market data (relating to our peer group for Messrs. Foss and Sutherland and Survey Data for Ms. McKee and Mr. Reynolds) to prepare a compensation competitive review report to the compensation committee, which it provided directly to the chairman of the compensation committee. Frederic W. Cook & Co., Inc. then provided the report to Ms. McKee and discussed the report with the chairman of the compensation committee and Ms. McKee. With regard to bonus awards, our Human Resources department also prepared a report containing hypothetical bonus amounts that Messrs. Sutherland and Reynolds and Ms. McKee could have received under the MIB, which is the bonus plan available to other executives at the Company, based on business results, including revenue, EBIT and a group metric, if they had been participants in the MIB.
For 2013 base salary recommendations, which were determined in November 2012, Ms. McKee engaged in discussions with Mr. Foss regarding Mr. Sutherlands proposed calendar 2013 base salary. Following this consultation, Mr. Foss presented a recommendation for Ms. McKees base salary and Ms. McKee presented the recommendations for Messrs. Foss and Sutherlands base salaries, to the compensation committee for its consideration. Mr. Reynolds joined the Company in September 2012 and did not receive a salary increase for calendar 2013.
For fiscal 2013 bonuses, Ms. McKee engaged in discussions with Mr. Foss regarding a bonus recommendation for Messrs. Sutherland and Reynolds, which she then presented to the compensation committee. Mr. Foss presented a bonus recommendation for Ms. McKee directly to the compensation committee. The compensation committee met in executive session to discuss Mr. Foss fiscal 2013 bonus.
Under his Employment Letter Agreement, Mr. Foss was entitled to receive an equity grant in 2013 such that his total compensation would be equal to the 75th percentile of our market peer group of companies. In June 2013, the compensation committee and the stock committee determined to give Mr. Foss an equity grant consisting of time-based stock options and restricted stock units with a value of $11,149,732, which exceeded the
98
75th percentile of our market peer group of companies. This grant was awarded to recognize Mr. Fosss contributions and to further encourage retention. In July 2013, Messrs. Sutherland and Reynolds and Ms. McKee received equity grants consisting of time-based stock options and restricted stock units. The equity grants were generally based upon the 50th percentile of Market Practice for equity grants made to similarly situated executives and were adjusted to maintain consistency among similarly situated executives. In making the July 2013 grants, after input from Frederic W. Cook & Co., Inc. and discussions between the chairman of the compensation committee, Frederick W. Cook & Co., Inc. and Ms. McKee, the compensation committee was presented with a recommended grant level and delegated to a subcommittee (in the case of executive officers, subject to the approval of the stock committee) the authority to make individual grants to employees, including the named executive officers. The final awards were determined by the compensation subcommittee after consultation with Mr. Foss and Ms. McKee regarding, among other things, individual grant amounts, aggregate amount of equity to be awarded to management, and the effects of stockholder dilution and accounting expense, balanced against reward and retention factors.
In addition, in November 2013, the compensation committee and the stock committee approved grants of restricted stock units to each of our named executive officers, which will become effective at the time of this offering. With respect to these grants, Mr. Foss and Ms. McKee met with members of the compensation committee, including the chairman of the compensation committee, over a period of weeks prior to the grants to discuss their recommendations for the dollar amount of the pool of equity to be distributed, the particular executives who would receive restricted stock unit grants and the amount of such individual awards, which were based upon a multiple of the average of base salary and bonus target for each particular executive level. Mr. Foss and Ms. McKee made recommendations regarding the restricted stock unit award amounts for each of the named executive officers other than Mr. Foss. Mr. Foss made the recommendation for Ms. McKee. Recommended amounts were consistent for executives at similar levels. The compensation committee approved the recommendations of management for the named executive officers other than Mr. Foss and determined a grant amount for Mr. Foss based upon earlier compensation committee discussions. These grants are more fully described below in Components of Executive Compensation Equity Incentives.
Ms. Morrison
Ms. Morrison joined us in June 2013. In making Ms. Morrisons cash compensation recommendation, Ms. McKee and Mr. Sutherland considered the level of cash compensation that was likely to be attractive to Ms. Morrison considering her then-current compensation at her previous employer, internal consistency with respect to the compensation of executives at similar levels in the Company, and the results of a market check against the Survey Data at the 50th and 75th percentile for similarly situated positions. Ms. Morrisons starting base salary is $500,000 and her bonus target is equal to $250,000, or 50% of her base salary, which is generally consistent with the bonus targets for Company executives at her level. Ms. Morrisons bonus for fiscal 2013 was prorated for her partial year of service, in addition to a guaranteed amount of $129,000 that was designed to compensate her for the bonus that she forfeited by leaving her previous employer. Ms. Morrison also received an equity grant of 186,000 time-based stock options and 38,000 restricted stock units. Of that total equity grant, 94,000 stock options and 8,000 restricted stock units were granted to her in the form of a typical new hire grant for an executive at her level. The remaining 92,000 stock options and 30,000 restricted stock units were designed to compensate Ms. Morrison for the unvested equity that she forfeited by leaving her prior employer. In November 2013, the compensation committee also approved a grant to Ms. Morrison of $500,000 worth of restricted stock units, which will become effective at the time of this offering. Her grant was recommended to the compensation committee by Mr. Foss and Ms. McKee and was consistent with grants made to other executives at her level.
The Compensation Committees Processes
The compensation committee generally makes its cash compensation decisions at its November meetings. New hires and promotions and other compensation adjustments are considered at its meetings throughout the year. Annual base salary decisions for the following calendar year and bonus decisions for the immediately preceding fiscal year are made in November. The bonus pool under the Bonus Plan for the current fiscal year is
99
set in November as well. The compensation committee makes its decisions after review and discussion of recommendations made by Ms. McKee, with input from Mr. Foss, and, with respect to Mr. Foss and the named executive officers who report directly to him, materials prepared by Frederic W. Cook & Co., Inc., and in the case of bonus recommendations, by our Human Resources department. In addition, with regard to participants in the Bonus Plan, Mr. Foss provides the compensation committee with qualitative assessments of the performance of the other named executive officers who are his direct reports and his review of their performance, before it makes its compensation decisions. The compensation committee also considers skill set and experience, data based upon Market Practice, incumbent responsibilities relative to the applicable position, and internal consistency with respect to compensation among similarly situated executives when making its compensation decisions. The compensation committee is entitled to exercise its discretion with regard to any element of compensation and exercised negative discretion with regard to bonuses under the Bonus Plan.
Historically, stock options were granted in 2007 to certain of our named executive officers who were employed at that time in connection with their individual investments in the Company. Since that time, stock options have generally been granted in connection with new employment, management realignments and changes in responsibility and from time to time at the discretion of the compensation committee. For fiscal 2013, Mr. Foss received an equity grant consisting of time-based stock options and restricted stock units in accordance with the terms of his Employment Letter Agreement. Messrs. Sutherland and Reynolds and Ms. McKee received equity grants consisting of time-based stock options and restricted stock units in July 2013 that were intended to make up for grants that they did not receive in 2012. The value of the July 2013 grant was generally based upon the 50th percentile of Market Practice, adjusted to maintain consistency among levels of executives. The Company is currently contemplating making additional grants in early fiscal 2014 in respect of fiscal 2013 equity compensation. Regular annual grants are expected to begin in November 2014. Ms. Morrison received an equity grant consisting of time based stock options and restricted stock units in July 2013 in connection with the commencement of her employment. In November 2013, the compensation committee and the stock committee approved an additional grant of restricted stock units to each of the named executive officers that becomes effective at the time of the offering. These grants are more fully described below in Components of Executive CompensationEquity Incentives.
Components of Executive Compensation
The principal components of our executive compensation program are base salary, bonus and equity incentives. We also provide employee and post-employment benefits and perquisites.
Base Salary
We use base salary to reflect the value of a particular positionto us and the marketplaceand the value the individual contributes to us. Salary levels for our executives are reviewed at least annually.
Messrs. Foss, Sutherland, Reynolds and Ms. McKee
Mr. Foss initial annual base salary of $1,350,000 was negotiated in connection with his total compensation package in 2012. The Company agreed that Mr. Foss total compensation for fiscal 2013 would be at the 75th percentile of chief executive officers in the Companys peer group. Mr. Foss base salary increased by 3% to $1,390,500 for calendar 2013, after consultation with Frederic W. Cook & Co., Inc. and consistent generally with salary increases for senior management, followed by a review of market data. Mr. Foss calendar 2014 base salary of $1,390,500 was set by the compensation committee at its November 2013 meeting and represents no increase from his 2013 base salary.
For 2013, the specific salary recommendations for each of our named executive officers who are Mr. Foss direct reports were based upon a review of Market Practice between the median and 75th percentile, their previous salary increases, internal consistency with respect to the compensation of Company executives at similar levels, budgetary considerations and consideration of the percentage increases for other members of
100
management. The salary recommendations were then made to the compensation committee for its review and approval. Salaries for Mr. Sutherland and Ms. McKee were reviewed by Mr. Foss. Ms. McKee participated in reviews for Mr. Sutherland. Ms. McKee reviewed Mr. Foss base salary with the compensation committee and the compensation committee then met in executive session to make its determination with regard to Mr. Foss calendar 2013 base salary. Salary adjustments generally are effective at the beginning of the following calendar year. Salary increases or decreases also can be recommended and approved in connection with a promotion or a significant change in responsibilities. For calendar 2012, Mr. Sutherlands base salary was $800,000 and Ms. McKees base salary was $625,000. Mr. Sutherland and Ms. McKee each received a salary increase for calendar 2013 of 3%, which was generally consistent with the overall salary increase budget for the Company. The compensation committee believes that the 2013 salaries are consistent with Market Practice for similarly situated executives. Mr. Reynolds joined us in September 2012 at a base salary of $500,000 and his base salary remained the same for 2013. For calendar 2013, base salaries are as follows: for Mr. Sutherland, $824,000, for Mr. Reynolds $500,000, and for Ms. McKee, $643,750. Base salaries for calendar 2014 will be as follows: for Mr. Sutherland, $840,480, for Mr. Reynolds, $510,000, and for Ms. McKee, $656,625. These base salaries represent a 2% increase over their 2013 base salaries, which is consistent with overall increases for all salaried employees in the Company.
Ms. Morrison
Ms. Morrison joined us in June 2013. Ms. McKee and Mr. Sutherland considered the level of cash compensation that was likely to be attractive to Ms. Morrison considering her then-current compensation at her previous employer, internal consistency with respect to the compensation of executives at similar levels in the Company and the results of a market check against the Survey Data at the 50th and 75th percentile for similarly situated positions to determine the recommended base salary for Ms. Morrison of $500,000. Ms. Morrisons base salary was then approved by the compensation committee at its June 2013 meeting. For calendar 2014, Ms. Morrisons base salary will be $507,500, which represents a 1.5% increase over her 2013 base salary. This increase is consistent with those of other salaried employees at the Company, prorated due to Ms. Morrisons brief tenure at the Company.
Bonus
Messrs. Foss, Sutherland and Reynolds and Ms. McKee
In fiscal 2013, Messrs. Foss, Sutherland and Reynolds and Ms. McKee participated in the Bonus Plan. Under the Bonus Plan, the compensation committee approved in November 2012 the establishment of a bonus pool that was funded based on 1.44% of adjusted EBIT. This pool method was chosen to satisfy the requirements of the performance-based pay exception to Section 162(m) of the Internal Revenue Code (when we had historically been subject to Section 162(m) as a public company prior to 2007), which limits tax deductions for compensation paid to a public companys named executive officers (other than the chief financial officer) to $1,000,000. Although we are not currently subject to the Section 162(m) compensation deduction limit, following our initial public offering and any applicable phase-in period, we will become subject to the Section 162(m) compensation deduction limit. Therefore, we intend to operate our Bonus Plan to comply with Section 162(m). For purposes of the Bonus Plan and the formula used to determine the bonus pool approved by the compensation committee, adjusted EBIT is income from both continuing and discontinued operations before income taxes, if any, and before interest expense and other financing costs, in each case as shown on our consolidated financial statements and notes thereto. In addition, adjusted EBIT for purposes of the pool excluded incremental customer relationship amortization and incremental depreciation that resulted from the 2007 Transaction and share-based compensation expense. For fiscal 2013 bonuses, the compensation committee adjusted the calculation of actual adjusted EBIT for purposes of the Bonus Plan to exclude share-based compensation expense and incremental customer relationship amortization and incremental depreciation that resulted from the 2007 Transaction. These adjustments were made to normalize the adjusted EBIT number so that it does not reflect certain non-operational items. For fiscal 2013, our adjusted EBIT under the Bonus Plan
101
was $689,334,000. The following percentages of adjusted EBIT for Mr. Foss and the named executive officers who are his direct reports represent the maximum amount that could have been awarded to him or her for fiscal 2013: for Mr. Foss, 0.5904% (up to the plan maximum of $4,500,000), for Mr. Sutherland, 0.3280%, and for Mr. Reynolds and Ms. McKee, 0.2624%. The potential bonus amounts under the Bonus Plan for fiscal 2013 based upon the percentages of adjusted EBIT were as follows: For Mr. Foss, $4,070,000, for Mr. Sutherland, $2,261,000, and for Ms. McKee and Mr. Reynolds, $1,809,000. For fiscal 2013, the compensation committee exercised negative discretion under the Bonus Plan with regard to the actual bonus amounts awarded to Mr. Foss and the other named executive officers who report directly to him and those actual bonus amounts are as follows: for Mr. Foss, $2,632,200, for Mr. Sutherland, $783,000, for Ms. McKee, $620,000 and for Mr. Reynolds, $481,000. For fiscal 2014, the compensation committee approved the following percentages of adjusted EBIT for each of the participants in the Bonus Plan, which represent the maximum amount that can be awarded to him or her in respect of his or her fiscal 2014 bonus under the Bonus Plan: for Mr. Foss, 0.76% (up to a plan maximum of $6,000,000), for Mr. Sutherland, 0.32%, and for Ms. McKee and Mr. Reynolds, 0.25%.
Bonuses are designed to encourage and reward performance that is consistent with our financial objectives and individual performance goals and targets. In determining the actual bonuses paid to our named executive officers who are Mr. Foss direct reports for fiscal 2013, the compensation committee considered the maximum bonus amount based on the above adjusted EBIT formula and then considered reference points, including amounts that the named executive officers would have received under the MIB had they participated in the MIB and the named executive officers historical bonus awards. As described in more detail below, bonus calculations under the MIB are based on achievement against an adjusted EBIT target, a sales target, and additional functional objectives depending on the participants responsibilities. Had Messrs. Foss, Sutherland and Reynolds and Ms. McKee participated in the MIB, the functional objectives would have consisted of leadership in driving new business growth for Mr. Foss, company-wide managed cash flow for Mr. Sutherland, evaluation, planning and implementation of contract life cycle management for Mr. Reynolds, and leadership of the human resources departments initiative to embed the Companys new mission, value and focus into the organization for Ms. McKee. Based upon fiscal 2013 performance, Mr. Foss would have been deemed to have achieved a 150% payout on the functional objective metric (resulting from achievement of net new business of approximately $525 million in fiscal 2013), Mr. Sutherland would have been deemed to have achieved a payout against the managed cash flow of 112.6% as described in more detail below, and Mr. Reynolds and Ms. McKee would have been deemed to have achieved a 120% payout on their respective functional objectives, based on a qualitative assessment of the performance of each of their respective departments against the stated objective, in each case, had the executive been a participant in the MIB in fiscal 2013. Ms. McKee presented the reference points for the named executive officers who report to Mr. Foss (other than herself) to Mr. Foss for his review. After consultation with Mr. Foss, who considered the individual contributions of the named executive officers who report to him, final bonus recommendations for those executives were made to the compensation committee in November 2013. The compensation committee considered the reference points and recommendations and exercised negative discretion to determine the bonus amounts under the Bonus Plan for our named executive officers who are Mr. Foss direct reports. The compensation committee also considered a target amount which represents the compensation committees view of a market competitive award based upon a competitive review by Frederic W. Cook and Co., Inc. at approximately the 75th percentile of Market Practice. For fiscal 2013, as determined in November 2012, bonus targets were equal to approximately 80% of salary or $659,200 for Mr. Sutherland, $400,000 for Mr. Reynolds and $515,000 for Ms. McKee. Messrs. Sutherlands and Reynolds and Ms. McKees bonus awards for fiscal 2013 that were determined by the compensation committee in November 2013 were equal to the amounts each would have received if he or she were a participant in the MIB. For fiscal 2014, bonus targets are as follows: for Mr. Sutherland, $672,384, for Mr. Reynolds, $408,000, and Ms. McKee, $525,300.
In determining the actual bonus paid to Mr. Foss, the compensation committee considered the maximum bonus amount based on the above Bonus Plan formula and considered as reference points Mr. Foss historical bonus awards, and the amount Mr. Foss would have received had he participated in the MIB, keeping in mind the provision in Mr. Foss agreement that his total annual compensation will be targeted to the 75th percentile of the Companys market peer group for fiscal 2012 and fiscal 2013. The compensation committee also considered a
102
target amount as a percentage of base salary, which represented the compensation committees view of a market competitive award (for fiscal 2013, Mr. Foss target bonus was $2,085,750, which is equal to 150% of his base salary for 2013). The chairman of the compensation committee then presented his bonus recommendation for Mr. Foss to the compensation committee. The compensation committee then considered the reference points and recommendation, which was based upon the award Mr. Foss would have received had he participated in the MIB, and exercised negative discretion to determine Mr. Foss bonus amount of $2,632,200 under the Bonus Plan. The compensation committee determined not to increase Mr. Foss bonus target for fiscal 2014.
IPO Bonuses
In addition to their annual bonuses under the Bonus Plan, the compensation committee determined to award Mr. Foss and the other named executive officers who report directly to him special bonuses designed to recognize the critical role Messrs. Foss, Sutherland and Reynolds and Ms. McKee played and will continue to play in positioning the Company for and executing a successful initial public offering as follows: for Mr. Foss, $2,367,800, for Mr. Sutherland, $704,700, for Ms. McKee, $558,000, and for Mr. Reynolds, $432,900. These bonus amounts, which were based upon approximately 90% of the bonuses awarded under the Bonus Plan, were determined by the compensation committee in executive session based upon a recommendation by the chairman of the compensation committee. Prior to the meeting at which the bonuses were awarded, the chairman of the compensation committee had discussed with Ms. McKee the IPO bonus that he had been planning to recommend for Mr. Foss, which equated to approximately 90% of Mr. Fosss annual bonus, and based upon that amount, determined an IPO bonus recommendation for the other named executive officers at the same percentage level. The IPO bonus amounts are contingent on and payable following the closing of the initial public offering.
Ms. Morrison
Ms. Morrison participates in the MIB, which provides annual cash bonuses to eligible executives for the achievement of explicit performance objectives established for each fiscal year. Each November (or at another time during the year in the case of a promotion), the compensation committee sets a bonus target in dollars for each executive who participates in the MIB which was amended and restated in November 2012. For fiscal 2013, the MIB was composed of two parts: a financial portion representing 80% of the overall potential MIB award, with functional or business group objectives representing the remaining 20%. In the MIB, the financial portion now focuses on top and bottom line performance, with a sales target ($13.785 billion) representing 39% of the total target and an adjusted EBIT target ($784,700,000) representing 41% of the total target. The sales target for purposes of the MIB is adjusted for the impact of currency translation and acquisitions and divestitures. The adjusted EBIT target for purposes of the MIB excludes the impact of currency translation, acquisitions and divestitures, the incremental customer relationship amortization and incremental depreciation from the 2007 Transaction and share-based compensation expense and includes an amount intended to normalize the plan targets for corporate functional participants. The functional objective that comprised 20% of the overall MIB award for Ms. Morrison in fiscal 2013 is company-wide managed cash flow ($686,409,000), which consists of EBITDA excluding share-based compensation expense, less capital expenditures, minus the change in accounts receivable, minus the change in inventories, plus the change in deferred income. Ms. Morrison joined the Company in June 2013 and as a result, her MIB award was prorated to reflect the portion of fiscal 2013 that she was employed by the Company. She was also guaranteed an additional bonus amount of $129,000, which was designed to compensate her for the bonus amount that she forfeited by leaving her prior employer. For fiscal 2013, actual sales for purposes of the MIB equaled $13.978 billion, actual adjusted EBIT for purposes of the MIB was $805,200,000 and actual managed cash flow for purposes of the MIB equaled $703,727,000. Actual adjusted sales for purposes of the MIB excludes the estimated impact of the NHL lockout and Hurricane Sandy and the impact of acquisitions and divestitures. Actual adjusted EBIT for purposes of the MIB excludes share-based compensation expense, incremental customer relationship amortization and incremental depreciation that resulted from the 2007 Transaction, the estimated impact of the NHL lockout and Hurricane Sandy, the impact of acquisitions and divestitures, severance and related costs as a result of a series of actions the Company initiated
103
to drive efficiency through a consolidation and centralization of its operations, goodwill impairment charges, other asset write-offs primarily related to certain client contractual investments, costs related to transformation initiatives and certain other gains and losses recorded by the Company. Actual adjusted managed cash flow excludes the estimated impact of the NHL lockout and Hurricane Sandy, severance and related costs as a result of a series of actions the Company initiated to drive efficiency through a consolidation and centralization of its operations, goodwill impairment charges, costs related to transformation initiatives and certain other gains and losses recorded by the Company and includes an adjustment for capital expenditures related to new business.
The following table describes the threshold, targets and maximum for each of the components of the MIB award to Ms. Morrison for fiscal 2013:
Business Performance | Payout | |||||||||||||||||||||||
(Percentage of Target Performance) | (Percentage of Target Payout) | |||||||||||||||||||||||
Measure |
Threshold | Target | Maximum | Threshold | Target | Maximum | ||||||||||||||||||
EBIT (41%) |
87.5 | 100 | 110 | 25 | 100 | 200 | ||||||||||||||||||
Sales (39%) |
90 | 100 | 110 | 25 | 100 | 200 | ||||||||||||||||||
Managed Cash Flow (20%) |
87.5 | 100 | 110 | 25 | 100 | 150 |
As the table illustrates, the Company must attain a threshold, or minimum, performance on each financial measure for the participant to receive any payout for the measure. If the threshold performance is achieved, the participant will receive 25% of the payout for that measure, which increases to 100% when 100% of the measure is attained. If greater than 100% of the target for a particular measure is achieved, the participant will receive more than 100% payout on that measure up to the maximum amount set forth in the table. Therefore, if the maximum performance of all measures was achieved, Ms. Morrison could receive up to 190% of her target bonus amount, prorated for the portion of the fiscal year that she was employed by the Company.
Ms. Morrisons target bonus amount of 50% of her base salary, or $250,000, was based upon bonus targets for similarly situated executives at the Company, market checked against the Survey Data and approved by the compensation committee.
The actual award of bonuses under the MIB was based on the mechanical calculation of the financial target (for the 80% financial portion) and the achievement of a certain functional group objective (for Ms. Morrison, company-wide managed cash flow). Ms. Morrisons fiscal 2013 bonus was $99,000, as prorated for the portion of the year that she was employed by us, and was approved by the compensation committee in November 2013. Her fiscal 2014 bonus target as determined by the compensation committee is $253,750.
Equity Incentives
Historical Grants
Historically, stock options were granted in 2007 to certain of our named executive officers who were employed at that time in connection with their individual investments in the Company. Since that time, stock options have generally been granted in connection with new employment, management realignments and changes in responsibility and from time to time at the discretion of the compensation committee. For fiscal 2013, after consultation with Frederic W. Cook & Co., Inc. and management, each of the named executive officers received a grant of time-based stock options and restricted stock units.
As was negotiated with the sponsors in connection with the 2007 Transaction, half of all of the stock options granted through March 2013 had a time-based vesting schedule and vest over a four-year period, while half of all stock options granted through March 2013 were intended to have a performance-based vesting schedule and require that we achieve specified financial targets in addition to the four-year vesting period before those options will vest, subject to the compensation committees discretion to accelerate vesting.
104
The Company completed a spinoff of Seamless Holdings Corporation on October 26, 2012. The exercise price of all stock options granted prior to that spinoff was adjusted to reflect the reduction of $1.06 per share, which was the portion of the appraisal price of a share of Company common stock allocated to each share of Seamless Holdings Corporation common stock at the time of the spinoff.
New Equity Program
After review of our equity compensation program, which consisted of ISPOs as a vehicle for investment in the Company and stock options, 50% of which were subject to time-based vesting and 50% of which vested based upon the Companys achievement of annual or cumulative EBIT targets, the compensation committee determined to change our equity program to make it more like the equity programs of large public companies. The new equity program generally consists of time-based stock options and restricted stock units and may in the future include additional stock-based awards, including performance-based restricted stock units and stock options.
On June 20, 2013, the compensation committee approved new forms of award agreements for stock options and restricted stock units, which provide for 100% time-based vesting, with 25% of the award vesting on each of the first four anniversaries of the date of grant, subject to the participants continued employment with the Company or one of its subsidiaries through each such anniversary. Upon termination of employment, unvested stock options, restricted stock or restricted stock units are immediately forfeited (other than in the case of death, disability or retirement) and vested stock options are forfeited immediately, in the case of termination for cause or 90 days after termination, in the case of any other termination of employment other than death, disability or retirement, when vested stock options are forfeited one year after termination of employment. If the participants service with the Company or any of its subsidiaries terminates due to death, disability or retirement (as disability and retirement are defined in the 2007 Stock Plan, as defined below), the installment of stock options, restricted stock or restricted stock units that is scheduled to vest on the next vesting date following such termination will immediately vest, and all remaining unvested stock options, restricted stock and restricted stock units will be forfeited. Mr. Sutherland is the only named executive officer who has attained the retirement age under the Fourth Amended and Restated ARAMARK Holdings Corporation 2007 Management Stock Incentive Plan (the 2007 Stock Plan). In the event of a change of control (as defined in the 2007 Stock Plan) prior to a termination of the participants service, any remaining unvested stock options, restricted stock and restricted stock units granted under the new equity compensation program will vest. Participants holding restricted stock units will receive the benefit of any dividends paid on shares in the form of additional restricted stock units.
Amendment to CEOs Employment Letter Agreement and Equity Grant to CEO
Mr. Foss entered into an amendment to his Employment Letter Agreement on June 25, 2013 providing that any equity compensation awards granted as part of his compensation package for any fiscal year after 2012 will be in a form and have terms (including vesting conditions) that are the same as those granted to senior management of the Company as determined by the compensation committee from time to time.
Mr. Fosss June 2013 equity grant, which consisted of 1,247,638 stock options and 271,438 restricted stock units, was made on June 20, 2013, subject to the approval of the stock committee of the board, which approval was received on the same date. The stock options have an exercise price equal to the fair market value of a share of the Company common stock on June 20, 2013, which was the most recent appraisal price of our common stock on that date, have a ten-year term, vest 25% on each of the first four anniversaries of the date of grant, subject to Mr. Foss continued employment with the Company, and contain such other terms as are set forth in the award agreement. The restricted stock units vest 25% on each of the first four anniversaries of the date of grant, subject to Mr. Foss continued employment with the Company, and contain such other terms as are set forth in the award agreement.
105
Fiscal 2013 Equity Grants to Messrs. Sutherland and Reynolds and Mses. McKee and Morrison
On July 9, 2013 Messrs. Sutherland and Reynolds and Ms. McKee received equity grants consisting of stock options and restricted stock units, each with time-based vesting schedules. While there was no formal grant program in place for fiscal 2012, the July grants were intended to represent equity compensation for fiscal 2012, as Mr. Sutherland and Ms. McKee had not received an equity grant since June 2011. It is expected that these executive officers will receive additional awards in early fiscal 2014 in respect of equity compensation for fiscal 2013. Regular annual grants are expected to begin in November 2014. The value of the aggregate annual equity grants to Messrs. Sutherland and Reynolds and Ms. McKee for fiscal 2013 was at approximately the 50th percentile of Market Practice, adjusted to maintain consistency among the levels of executives. Mr. Sutherland received 94,518 stock options and 30,846 restricted stock units; Mr. Reynolds received 75,615 stock options and 24,677 restricted stock units; and Ms. McKee received 94,518 stock options and 30,846 restricted stock units. Ms. Morrison received a grant of 186,000 time-based stock options and 38,000 restricted stock units in connection with the commencement of her employment with us in June 2013. Of her total equity grant, 94,000 stock options and 8,000 restricted stock units were granted to her in the form of a typical new hire grant for a Company executive at her level. The remaining 92,000 stock options and 30,000 restricted stock units were designed to compensate Ms. Morrison for the unvested equity that she forfeited by leaving her prior employer.
The stock options granted have an exercise price equal to the fair market value of a share of the Company common stock on the date of grant, which was the most recent appraisal price of our common stock on that date, have a ten-year term, vest 25% on each of the first four anniversaries of the date of grant, subject to the holders continued employment with the Company, and contain such other terms as are set forth in the award agreement. The restricted stock units vest 25% on each of the first four anniversaries of the date of grant, subject to the holders continued employment with the Company, and contain such other terms as are set forth in the award agreement.
ISPO Exchange Offer
On July 29, 2013, the Company closed an exchange offer for all outstanding ISPOs (the ISPO Exchange Offer) held by certain employees, including certain named executive officers. Under the ISPO Exchange Offer, the Company offered to holders of outstanding ISPO awards the ability to exchange such awards for new grants of restricted stock (Restricted Stock) and non-qualified time-based stock options with an exercise price of $16.21, which was equal to the fair market value of the Companys common stock on the date of grant based upon the most recent appraisal price of our common stock on the date of grant (Replacement Stock Options), in each case, granted under the 2007 Stock Plan and forms of a Restricted Stock Award Agreement and a non-qualified Replacement Stock Option Award Agreement approved by the compensation committee on June 20, 2013. The named executive officers who participated in the ISPO Exchange Offer received a number of shares of Restricted Stock with a grant date fair value equal to the aggregate in-the-money spread value of their ISPOs plus a number of Replacement Stock Options, calculated in a manner such that the total number of shares of Restricted Stock received in the ISPO Exchange Offer plus the number of Replacement Stock Options equaled the aggregate number of shares subject to the ISPOs. The grants of Restricted Stock and Replacement Stock Options were made to certain of our named executive officers by the stock committee on July 31, 2013.
The vesting schedule of the Restricted Stock and Replacement Stock Options is based upon the vesting schedule of the ISPO award that was exchanged. If the participants service with the Company or any of its subsidiaries terminates due to death, disability or retirement (as disability and retirement are defined in the 2007 Stock Plan), the installments of Restricted Stock and Replacement Stock Options that are scheduled to vest during the twelve months following such termination will immediately vest and any remaining shares of Restricted Stock and any unvested Replacement Stock Options will be forfeited. In the event of a change of control (as defined in the 2007 Stock Plan) prior to a termination of the participants service, any remaining shares of Restricted Stock and any unvested Replacement Stock Options will vest and become nonforfeitable. Replacement Stock Options expire on the date that falls at the end of a number of years that equals (x) 10 minus
106
(y) the number of years (rounded down to the nearest whole year) that have elapsed from the date of grant of the ISPOs being exchanged through the exchange date. Upon termination of employment, unvested Replacement Stock Options are immediately forfeited (other than in the case of death, disability or retirement) and vested Replacement Stock Options expire immediately, in the case of termination for cause, and 90 days after termination, in the case of any other termination of employment. The Restricted Stock Award Agreement also provides that a participant may make an election under Section 83(b) of the Internal Revenue Code with regard to his or her restricted stock.
Messrs. Foss, Sutherland and Reynolds and Ms. McKee elected to participate in the ISPO Exchange Offer. The following table shows the number of ISPOs each named executive officer exchanged and the number of shares of Restricted Stock and Replacement Stock Options that each of them received in the ISPO Exchange Offer:
Name |
ISPOs Exchanged | Restricted Stock Granted | Replacement
Options Granted1 |
|||||||||
Eric J. Foss |
400,000 | 57,002 | 342,998 | |||||||||
L. Frederick Sutherland |
36,000 | 10,172 | 25,828 | |||||||||
Lynn B. McKee |
36,000 | 10,172 | 25,828 | |||||||||
Stephen R. Reynolds |
60,000 | 4,516 | 55,484 |
(1) | The exercise price of the Replacement Stock Options granted is $16.21, which equals the fair market value of a share of our common stock on the date of grant based upon the most recent appraisal price of our common stock on the date of grant. |
Grants in Connection with the Initial Public Offering
In November 2013, the compensation committee and stock committee approved grants of restricted stock units to each of the named executive officers, which will become effective at the time of the initial public offering. The restricted stock units will vest in one third increments on the first three anniversaries of the grant date, subject to the named executive officers continued employment with the Company and its subsidiaries. The number of restricted stock units received will be based on the following dollar values divided by the price per share in the initial public offering:
Eric Foss |
$ | 10,000,000 | ||
L. Frederick Sutherland |
$ | 1,875,000 | ||
Lynn B. McKee |
$ | 1,875,000 | ||
Stephen R. Reynolds |
$ | 1,150,000 | ||
Christina T. Morrison |
$ | 500,000 |
Mr. Foss and Ms. McKee met with members of the compensation committee, including the chairman of the compensation committee, over a period of time prior to the grants to discuss the dollar amount of the pool of equity to be distributed, the particular executives who would receive restricted stock unit grants and the amount of such individual awards, which were based upon a multiple of the average of base salary and bonus target for a particular executive level. Mr. Foss and Ms. McKee made recommendations regarding the restricted stock unit award amounts for each of the named executive officers other than Mr. Foss. Recommended amounts were consistent for executives at similar levels. The compensation committee approved the recommendations of management for the named executive officers other than Mr. Foss and determined a grant amount for Mr. Foss based upon earlier compensation committee discussions.
Equity Grant Policy
On May 8, 2007, our board of directors adopted a policy on granting equity awards. The board modified the policy in December 2009, March 2010 and June 2011 and the compensation committee modified the policy in
107
June 2013. Under this policy, stock option grants were permitted to be approved by the compensation committee (or a subcommittee thereof or another committee) for a reasonable period following each new appraisal of our common stock. In addition, the compensation committee was permitted to grant newly hired or promoted executives the right to purchase shares of our common stock. The grant date for equity grants is the date the compensation committee or subcommittee (or the stock committee, in the case of executive officers) approves the grants and the exercise price is the most recent appraisal price in effect on the date of such grant.
Following our initial public offering, the compensation committee intends to make annual awards of equity at its meeting held early in each fiscal year. The compensation committee has in the past, and may in the future, make limited grants of equity on other dates to retain key employees, to compensate an employee in connection with a promotion or to compensate newly hired executives for equity or other benefits lost upon termination of their previous employment or to otherwise induce them to join our Company or otherwise at the discretion of the compensation committee. The grant date of equity awards to executives is the date of compensation committee approval or a later date of subcommittee or stock committee approval if designated by the compensation committee. The exercise price of option grants will be the closing market price of our common stock on the date of grant. We plan to monitor and periodically review our equity grant policy to ensure compliance with plan rules and applicable law.
Stock Ownership Guidelines
Our compensation committee has adopted stock ownership guidelines that apply to our named executive officers. Mr. Foss must retain stock with a value equal to six times his base salary, Messrs. Sutherland and Reynolds and Ms. McKee must retain stock with a value equal to three times his or her base salary and Ms. Morrison must retain stock with a value equal to two times her base salary. Directly owned shares, beneficially owned shares held indirectly (including by family members or family trusts) and vested share units in a non-qualified deferral arrangement count toward the guidelines for Messrs. Sutherland and Reynolds and Ms. McKee and Ms. Morrison. There is no required time period for attaining the minimum stock ownership level for these executives.
Other Components of Compensation
Employee and Post-Employment Benefits. We offer basic employee benefits to provide our workforce with a reasonable level of coverage in the event of illness or injury. The cost of certain employee benefits is partially or fully borne by the employee, including each named executive officer. We offer comparable benefits to our eligible U.S. employees, which include medical, dental and vision coverage, disability insurance and optional life insurance. In addition, our named executive officers receive excess medical coverage that provides reimbursement for medical, dental and vision expenses in excess of $1,500 per covered individual per year. Our named executive officers also participate in a Survivor Income Protection Plan, which entitles a surviving spouse or domestic partner and dependent children to receive the executives full base salary for one year after the executives death and one-half of the executives base salary for the subsequent nine years or, alternatively, may receive excess term life insurance. A participant in the Survivor Income Protection Plan who is 65 and has attained 5 years of employment with us is entitled to a benefit equal to one times his or her base salary upon his or her retirement or death instead of the benefit described above.
Generally, our highly compensated employees (for 2013, those earning more than $110,000), including our named executive officers, are not eligible to participate in our 401(k) plans because of certain legal requirements. Instead, those employees are eligible to participate in a non-qualified savings plan that we call our Savings Incentive Retirement Plan, the successor plan to our Stock Unit Retirement Plan. This plan is intended to be a substitute for those employees participation in our 401(k) plans. See Non-Qualified Deferred Compensation for Fiscal Year 2013 below for further information.
108
Messrs. Foss, Reynolds and Sutherland and Ms. McKee
Messrs. Foss, Reynolds and Sutherland and Ms. McKee are also parties to employment agreements that entitle them to lump sum payments and severance payments in installments if there is a change of control of us or ARAMARK Corporation as described in those agreements and their employment is terminated under specified circumstances. These provisions are intended to align executive and stockholder interests by enabling executives to consider corporate transactions that are in the best interests of the stockholders and our other constituents without concern over whether the transactions may jeopardize the executives own employment.
Mr. Foss employment agreement contains a double triggerfor payments to be made, there must be a change of control followed by an involuntary loss of employment (or resignation by Mr. Foss for good reason) within three years or his employment must be terminated in anticipation of a change of control. See Potential Post-Employment Benefits below for the applicable definition of good reason. The agreements with Messrs. Sutherland and Reynolds and Ms. McKee were entered into following the 2007 Transaction and also contain a double trigger. We chose to implement a double trigger for Mr. Foss and the other named executive officers who report directly to him after receiving advice from Frederic W. Cook & Co., Inc. that a double trigger is a more common practice in the market than a single trigger.
Ms. Morrison
Ms. Morrison is a party to an Agreement Relating to Employment and Post Employment Competition that provides for certain benefits if she should be terminated by us without cause. Those benefits include between 26 and 52 weeks of severance pay, depending on her length of service with the Company, as well as the continuation of an auto allowance and the continuation of basic health care coverage through the end of the severance pay period. Pursuant to the agreement, Ms. Morrison must adhere to certain non-disclosure, non-disparagement, non-competition and non-solicitation requirements for various periods of time after a termination of employment. Ms. Morrison is currently entitled to 26 weeks of severance pay if she is terminated by us without cause.
For more information on change of control and severance payments for our named executive officers, see the disclosure under Employment Agreements and Change of Control Arrangements and under Potential Post-Employment Benefits.
Perquisites. We provide our named executive officers with other benefits, reflected in the All Other Compensation column in the Summary Compensation Table, that we believe are reasonable and encourage retention. We believe that these benefits enable our executives to focus on our business and enhance their commitment to us. These benefits include premiums paid on life insurance or the Survivor Income Protection Plan, disability insurance (in Mr. Sutherlands case, a legacy policy the premiums for which are paid 100% by the Company), excess health insurance, receipt of a car allowance, no cost parking at a garage near Company offices, an executive physical, financial planning services and personal use of Company tickets or the Company box and related items at sporting or other events and the costs of these benefits constitute a small percentage of each named executive officers total compensation. The availability of financial planning services assists those who receive them to optimize the value received from all of the compensation and benefit programs offered. Generally, Company-provided perquisites are reviewed by the compensation committee in consultation with Frederic W. Cook & Co., Inc. on an annual basis. Based upon the usefulness of such perquisites for retention, the compensation committee determines whether or not to continue them.
Messrs. Foss and Reynolds and Ms. Morrison received benefits under our relocation program in fiscal 2012 and/or 2013 that provided them with temporary housing and reimbursement for meals and other incidental expenses. Although the relocation program provides for benefits for a 90-day period to enable new employees to search for and purchase a permanent residence, we may extend the temporary housing benefit due to the tight housing market, work demands and/or family-related issues. In Mr. Foss case, we extended his relocation benefits because his work demands delayed him in his search for his permanent residence in the Philadelphia area. We also extended relocation benefits for Mr. Reynolds and Ms. Morrison due to delays in procuring new permanent residences.
109
Our compensation committee established a policy, which it has determined to be in our business interest, directing the Chief Executive Officer to use Company aircraft, whenever possible, for all air travel, whether personal or business. Under the policy, the Chief Executive Officer may also designate other members of senior management to use the Company aircraft for air travel. Some of Mr. Foss business use of the corporate aircraft in fiscal 2013 included flights to attend outside board meetings at the companies or organizations for which he serves as a director. We believe that Mr. Foss service on these boards, and his ability to conduct Company business while traveling to these board meetings, provides benefits to us and therefore deem it to be business use. In addition, depending on seat availability, Mr. Foss family members may accompany him on the Company aircraft. Although there is little or no incremental cost to us for these trips, we reflect a $500 per seat charge in the All Other Compensation amounts in the Summary Compensation Table for flights in which those additional passengers travel is not business-related. Mr. Foss has a car and driver that we provide to him. Much of his use of the Company-provided car and driver, which generally enables him to make efficient use of travel time, is business use, although Mr. Foss utilizes the car and driver for commuting to and from the office, which is considered personal use, and for other limited personal use.
Impact of Regulatory Requirements on our Executive Compensation
Sections 280G and 4999. Sections 280G and 4999 of the Internal Revenue Code, respectively, limit our ability to take a tax deduction for certain excess parachute payments (as defined in Sections 280G and 4999) and impose excise taxes on each executive that receives excess parachute payments in connection with his or her severance from us in connection with a change of control. The compensation committee considered the adverse tax liabilities imposed by Sections 280G and 4999, as well as other competitive factors, when it structured certain post-termination compensation payable to our named executive officers. The potential adverse tax consequences to us and/or the executive, however, are not necessarily determinative factors in such decisions. Our agreements with Mr. Sutherland and Ms. McKee relating to employment require us to make a gross-up payment to compensate them for any excise taxes (and income taxes on such gross-up payment) that they incur under Section 4999. Messrs. Foss and Reynolds agreements do not provide for such gross-up payments, as the compensation committee was advised that it is no longer a common practice in the marketplace. Similarly, Ms. Morrisons agreement does not provide for a gross-up.
Section 162(m). Section 162(m) of the Internal Revenue Code limits tax deductions for compensation paid to a public companys named executive officers (other than the chief financial officer) to $1,000,000. Although we are not currently subject to the Section 162(m) compensation deduction limit, following our initial public offering and any applicable phase-in period, we will become subject to the Section 162(m) compensation deduction limit. The compensation committee considers the loss of deductibility, as well as other factors, when it structures compensation arrangements for our named executive officers (such as the Bonus Plan, which we intend to operate in compliance with Section 162(m)). However, the potential tax consequences to us are not necessarily determinative in such decisions and the compensation committee believes it should have flexibility in awarding compensation to accomplish business objectives and to attract and retain our named executive officers, even though some compensation awards may result in non-deductible compensation expenses.
Compensation Committee Interlocks and Insider Participation
Joseph Neubauer, who is our Chairman and former Chief Executive Officer (and remains an employee of the Company), serves on our compensation committee.
Please see Certain Relationships and Related Party Transactions for information on transactions with JPMorgan and Goldman Sachs & Co. Stephen P. Murray, Chairman of our Compensation and Human Resources Committee, is the President and Chief Executive Officer of CCMP Capital Advisors, LLC (CCMP), a private equity firm specializing in buyout and growth equity investments. Pursuant to an agreement with JPMorgan and J.P. Morgan Partners, LLC, CCMP advises J.P. Morgan Partners with respect to certain of its private equity
110
investments, including its investment in us. Sanjeev Mehra, a member of our Compensation and Human Resources Committee, is Managing Director of Goldman, Sachs & Co.s Principal Investment Area of its Merchant Banking Division.
Compensation Risk Disclosure
As part of its oversight responsibilities, the compensation committee considered the impact of our compensation programs on our risk profile and whether these programs promote excessive risk taking. Based on its review and the recommendation of its compensation consultant, the compensation committee determined that our compensation programs are appropriately structured and that risks arising from our compensation programs are not reasonably likely to have a material adverse effect on us for the following reasons, among others:
| our compensation programs are well aligned with sound compensation design principles; |
| our Bonus Plan and the MIB utilize financial performance measures at the corporate level, which cannot be easily manipulated by any one individual; |
| none of our individual business areas pose a significant business risk to the overall enterprise; |
| post-initial public offering transfer restrictions and our stock ownership guidelines will ensure a long-term focus by our executives on our growth and long-term viability; and |
| equity compensation constitutes a meaningful portion of pay for most senior executives and focuses them on enhancing long-term stockholder value over a multi-year period. |
111
Summary Compensation Table
The following table provides summary information concerning the compensation we paid to our named executive officers.
Name and Principal Position |
Year | Salary (1)($) |
Bonus (2)($) |
Stock Awards (3)($) |
Option Awards (4)($) |
Non- Equity Incentive Plan Compen- sation (2)($) |
Change in Pension Value and Non- Qualified Deferred Compen- sation Earnings (5)($) |
All Other Compensation (6)($) |
Total ($) |
|||||||||||||||||||||||||||
Eric J. Foss |
2013 | 1,380,375 | 2,632,200 | 5,160,987 | 8,161,031 | | 155 | 742,452 | 18,077,200 | |||||||||||||||||||||||||||
Chief Executive Officer and President |
2012 | 545,192 | 1,512,500 | | 5,658,563 | | | 339,240 | 8,055,495 | |||||||||||||||||||||||||||
L. Frederick Sutherland |
2013 | 818,000 | 783,000 | 639,676 | 723,363 | | 17,915 | 58,408 | 3,040,362 | |||||||||||||||||||||||||||
EVP and Chief Financial Officer |
2012 | 787,500 | 625,000 | 111,875 | | 16,655 | 57,661 | 1,598,691 | ||||||||||||||||||||||||||||
2011 | 750,000 | 650,000 | 816,925 | | 15,385 | 51,273 | 2,283,583 | |||||||||||||||||||||||||||||
Lynn B. McKee |
2013 | 639,063 | 620,000 | 639,676 | 723,363 | | 9,990 | 41,163 | 2,673,255 | |||||||||||||||||||||||||||
EVP, Human Resources and Communications |
2012 | 616,250 | 460,000 | | 111,875 | | 9,189 | 36,436 | 1,233,750 | |||||||||||||||||||||||||||
2011 | 590,000 | 500,000 | | 816,925 | | 8,389 | 40,392 | 1,955,706 | ||||||||||||||||||||||||||||
Stephen R. Reynolds |
2013 | 500,000 | 481,000 | 460,303 | 1,428,714 | | 89 | 290,152 | 3,160,258 | |||||||||||||||||||||||||||
EVP, General Counsel and Secretary |
||||||||||||||||||||||||||||||||||||
Christina T. Morrison |
2013 | 140,385 | 129,000 | 615,980 | 1,023,000 | 99,000 | | 96,279 | 2,103,644 | |||||||||||||||||||||||||||
SVP, Finance |
(1) | Messrs. Foss, Sutherland and Reynolds and Ms. McKee each deferred a portion of their salaries for 2013 under the 2007 Savings Incentive Retirement Plan and Mr. Sutherland and Ms. McKee each deferred a portion of their salaries for prior fiscal years. These amounts for fiscal 2013 are reflected in the Non-Qualified Deferred Compensation Table for Fiscal Year 2013 and in this column. |
(2) | For fiscal 2012, Mr. Foss bonus amount includes a signing bonus of $500,000, which was intended to cover relocation and commuting expenses, as well as $1,012,500, which was his target bonus, prorated for six months. Ms. Morrison was guaranteed a bonus amount of $129,000, which was intended to compensate her for her forgone bonus at her previous employer and her fiscal 2013 bonus under the MIB was prorated to reflect the portion of the year that she was employed by us. |
(3) | Includes the aggregate grant date fair value of restricted stock units granted with respect to the 2013 fiscal year computed in accordance with FASB ASC Topic 718. The grant date fair value per share for restricted stock and restricted stock units is equal to the appraisal price of a share of Company common stock on the date of grant. Also includes the incremental grant date fair value of restricted stock issued in the ISPO Exchange Offer to Messrs. Foss, Sutherland and Reynolds and Ms. McKee. For additional information on the valuation assumptions and more discussion with respect to the restricted stock and restricted stock units, refer to Note 11 to the consolidated financial statements appearing elsewhere in this prospectus. |
(4) | This column represents the aggregate grant date fair value computed in accordance with FASB ASC Topic 718 with respect to the 2013, 2012 and 2011 fiscal years for the stock options granted to each of the named executive officers in 2013, 2012 and 2011, respectively. Fiscal 2013 includes the grant date fair value for performance-based stock options granted prior to fiscal 2013 whose vesting was subject to the 2013 EBIT target and such target was not established at the time the option was granted, as targets for later years had not been determined. Fiscal 2012 includes the grant date fair value for performance-based stock options granted prior to fiscal 2012 whose vesting was subject to the 2012 EBIT target and such target was not |
112
established at the time the option was granted, as targets for later years had not been determined. Fiscal 2011 includes the grant date fair value for performance-based stock options granted in fiscal 2011 whose vesting was subject to the 2011 EBIT target, as targets for later years had not been determined. As future targets are determined in future years, additional grant date fair value will be reflected in the years in which such targets are set. Also includes the incremental fair value of Replacement Stock Options granted in the ISPO Exchange Offer, computed as of the modification date in accordance with FASB ASC Topic 718, with respect to the modified award. See Grants of Plan Based Awards for Fiscal Year 2013 for additional information on stock options granted or deemed granted in 2013. For additional information on the valuation assumptions and more discussion with respect to the stock options, refer to Note 11 to the consolidated financial statements appearing elsewhere in this prospectus. For Mr. Reynolds, the amount included in this column reflects the incremental grant date fair value of the Replacement Stock Options he received and the grant date fair value of the ISPO that he was granted in fiscal 2013, but later exchanged in fiscal 2013 for restricted stock and Replacement Stock Options. |
(5) | Includes amounts earned on deferred compensation in excess of 120% of the applicable federal rate, based upon the above-market return at the time the rate basis was set. |
(6) | The following are included in this column for 2013: |
a. | The aggregate incremental cost to us of the following perquisites: car allowance, premium payments for disability insurance, premium payments for an excess health insurance plan, payments for an executive physical, parking fees paid by the Company, costs associated with personal use of Company-owned tickets or the Company-owned suite at sports stadiums with respect to Messrs. Foss and Reynolds and Ms. McKee, relocation expenses with respect to Messrs. Foss and Reynolds and Ms. Morrison, and, for Mr. Foss, personal use of the Company aircraft and personal use of a Company-provided car and driver. |
b. | With regard to Mr. Foss, $385,234 for Mr. Foss personal use of the Company aircraft and $270,813 for relocation expenses incurred by Mr. Foss and paid under our relocation program or reimbursed to Mr. Foss (including a tax gross up of $111,726 and $20,000 in attorney fees for assistance with the purchase of his new residence, each as provided for in the program). The calculation of incremental cost for personal use of Company aircraft includes the variable costs incurred as a result of personal flight activity: a portion of ongoing maintenance and repairs, landing fees, aircraft fuel, telephone communications and any travel expenses for the flight crew. With regard to Mr. Reynolds, $265,069 for relocation expenses incurred by Mr. Reynolds and paid under our relocation program (including a tax gross up of $55,406 as provided for in the program). With regard to Ms. Morrison, $86,324 for relocation expenses incurred by Ms. Morrison and paid under our relocation program (including a tax gross up of $14,484 as provided for in the program). |
c. | Premium payments for term life insurance or the Survivor Income Protection Plan as follows: for Mr. Foss, $1,608, for Mr. Sutherland, $24,587, for Ms. McKee, $4,958, for Mr. Reynolds, $1,608 and for Ms. Morrison, $357. |
d. | Includes amounts that constitute the Company match to the Savings Incentive Retirement Plan for fiscal 2013 as follows: for Messrs. Foss and Sutherland and Ms. McKee, $11,375, and for Mr. Reynolds, $1,500. |
113
Grants of Plan-Based Awards for Fiscal Year 2013
The following table provides information about equity awards granted or deemed granted to our named executive officers in fiscal 2013: (1) the grant date, (2) estimated future payouts under non-equity incentive plan awards, which consist of potential awards under the MIB, (3) estimated future payouts under equity incentive plan awards, which consist of the stock options with performance-based vesting schedules, (4) all other stock awards, which consist of the number of shares of restricted stock or the number of shares underlying restricted stock units, (5) all other option awards, which consist of the number of shares underlying stock options with time-based vesting schedules, (6) the exercise price of the stock option awards, which reflects the most recent appraisal price of our common stock on the date of grant and (7) the grant date fair value of each equity award computed under FASB ASC Topic 718.
Name |
Grant Date |
Estimated Future Payouts under Non-Equity Incentive Plan Awards(1) |
Estimated Future Payouts under Equity Incentive Plan Awards |
All Other Stock Awards: Number of Shares of Stock or Units |
All Other Option Awards: Number of Securities Underlying Options |
Exercise or Base Price of Option Awards(3) ($/sh) |
Grant Date Fair Value of Stock and Option Awards(4) |
|||||||||||||||||||||||||||||||||||||
Threshold ($) |
Target ($) |
Max ($) |
Threshold (#) |
Target (2)(#) |
Max (#) |
|||||||||||||||||||||||||||||||||||||||
Foss |
11/13/2012 | | | | | 181,250 | 181,250 | (5) | | | $ | 13.90 | (10) | $ | 730,438 | |||||||||||||||||||||||||||||
6/20/2013 | | | | | | | | 1,247,638 | (6) | $ | 16.21 | $ | 6,749,722 | |||||||||||||||||||||||||||||||
6/20/2013 | | | | | | | 271,438 | (7) | | | $ | 4,400,010 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | 57,002 | (8) | | | $ | 760,977 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | | 342,998 | (9) | $ | 16.21 | $ | 680,872 | |||||||||||||||||||||||||||||||
Sutherland |
11/13/2012 | | | | | 31,250 | 31,250 | (5) | | | $ | 11.63 | (10) | $ | 151,563 | |||||||||||||||||||||||||||||
7/9/2013 | | | | | | | | 94,518 | (6) | $ | 16.21 | $ | 519,849 | |||||||||||||||||||||||||||||||
7/9/2013 | | | | | | | 30,846 | (7) | | | $ | 500,014 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | 10,172 | (8) | | | $ | 139,662 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | | 25,828 | (9) | $ | 16.21 | $ | 51,951 | |||||||||||||||||||||||||||||||
McKee |
11/13/2012 | | | | | 31,250 | 31,250 | (5) | | | $ | 11.63 | (10) | $ | 151,563 | |||||||||||||||||||||||||||||
7/9/2013 | | | | | | | | 94,518 | (6) | $ | 16.21 | $ | 519,849 | |||||||||||||||||||||||||||||||
7/9/2013 | | | | | | | 30,846 | (7) | | | $ | 500,014 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | 10,172 | (8) | | | $ | 139,662 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | | 25,828 | (9) | $ | 16.21 | $ | 51,951 | |||||||||||||||||||||||||||||||
Reynolds |
12/5/2012 | | | | | | | | 60,000 | (11) | $ | 14.99 | $ | 171,600 | ||||||||||||||||||||||||||||||
12/5/2012 | | | | | | | | 125,000 | (6) | $ | 14.99 | $ | 590,000 | |||||||||||||||||||||||||||||||
12/5/2012 | | | | | 31,250 | 31,250 | (5) | | | $ | 14.99 | $ | 134,687 | |||||||||||||||||||||||||||||||
7/9/2013 | | | | | | | | 75,615 | (6) | $ | 16.21 | $ | 415,883 | |||||||||||||||||||||||||||||||
7/9/2013 | | | | | | | 24,677 | (7) | | | $ | 400,014 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | 4,516 | (8) | | | $ | 60,289 | ||||||||||||||||||||||||||||||||
7/31/2013 | | | | | | | | 55,484 | (9) | $ | 16.21 | $ | 116,544 | |||||||||||||||||||||||||||||||
Morrison |
6/20/2013 | $ | 20,833 | $ | 83,333 | $ | 158,333 | | | | | | | | ||||||||||||||||||||||||||||||
7/9/2013 | | | | | | | | 186,000 | (6) | $ | 16.21 | $ | 1,023,000 | |||||||||||||||||||||||||||||||
7/9/2013 | | | | | | | 38,000 | (7) | | | $ | 615,980 |
(1) | The amounts represent the threshold, target, and maximum payouts under our MIB for the fiscal 2013 performance period. The payment for threshold performance is 25% of target on all measures. Ms. Morrisons threshold, target and maximum amounts have been prorated to reflect the portion of the fiscal year that she was employed by the Company. |
(2) | Named executive officers may receive all, or less than all, of the target amount of performance-based options when certain events occur, including the achievement of certain percentage returns by our Sponsors. See the discussion under Performance-Based Stock Options below. Consists of shares underlying options granted that vest in 25% increments on each of the first four anniversaries of the date of grant and upon the attainment of certain EBIT targets that are established by the compensation committee within the first ninety days of each fiscal year and described in the Compensation Discussion and Analysis and the narrative following this table. These stock options will expire ten years from the date of grant. The EBIT targets associated with the grants of performance-based options are listed below under Performance-Based Stock Options. |
114
(3) | The exercise price of the options reported in the table is the most recent appraisal price of a share of our common stock on the original date of grant, as adjusted as described in footnote 10 below, if applicable. |
(4) | This column shows the full grant date fair value of stock options granted or deemed granted to our named executive officers in fiscal 2013 under FASB ASC Topic 718 and the incremental fair value, computed as of the modification date in accordance with FASB ASC Topic 718, with respect to Restricted Stock and Replacement Stock Options granted in the ISPO Exchange Offer. Performance-based options granted on December 5, 2012 include only those performance-based options granted on that date whose vesting is subject to the achievement of the 2013 EBIT target, which was the only EBIT target for that grant that had been set. For additional information on the valuation assumptions, refer to Note 10 to our consolidated financial statements appearing elsewhere in the prospectus. These amounts do not correspond to the actual value that will be received by the named executive officers. |
(5) | The grant date fair value for these previously granted performance-based stock options reflects the value attributable only to those options whose vesting is based on 2013 targets, which were set on November 13, 2012, as that is the only target that had been determined during fiscal 2013. As future targets are determined in future years, additional grant date fair value will be reflected in the years in which such targets are set. |
(6) | These stock options vest 25% per year over four years and have a ten-year term, subject to the grantees continued employment with the Company. |
(7) | These restricted stock units vest 25% per year over four years, subject to the grantees continued employment with the Company. |
(8) | These are shares of Restricted Stock that were granted in the ISPO Exchange Offer described above under Compensation Discussion and AnalysisComponents of Executive CompensationEquity IncentivesNew Equity ProgramISPO Exchange Offer. The vesting schedule of the restricted stock is based upon the vesting schedule of the ISPO award that was exchanged. For Mr. Sutherland and Ms. McKee, one-third of the restricted stock vests on each of December 15, 2013, December 15, 2014 and December 15, 2015. For Mr. Foss, 25% of the restricted stock vests on each of December 15, 2013, December 15, 2014, December 15, 2015 and December 15, 2016. For Mr. Reynolds, 20% of the restricted stock vested immediately and 20% will vest on each of December 15, 2013, December 15, 2014, December 15, 2015 and December 15, 2016. |
(9) | These Replacement Stock Options have a vesting schedule based upon the vesting schedule of the ISPO award that was exchanged. For Mr. Sutherland and Ms. McKee, one-third of the Replacement Stock Option vests on each of December 15, 2013, December 15, 2014 and December 15, 2015. For Mr. Foss, 25% of the Replacement Stock Option vests on each of December 15, 2013, December 15, 2014, December 15, 2015 and December 15, 2016. For Mr. Reynolds, 20% of the Replacement Stock Option vested immediately and 20% will vest on each of December 15, 2013, December 15, 2014, December 15, 2015 and December 15, 2016. |
(10) | Exercise price reflects the reduction of $1.06 per share, which was the portion of the appraisal price of a share of Company common stock allocated to each share of Seamless Holdings Corporation common stock. Seamless Holdings Corporation was spun off by the Company on October 26, 2012 and the exercise prices of all stock options issued prior to that time were adjusted to reflect the spinoff. |
(11) | These stock options are installment stock purchase opportunities that are divided into 5 installments. The first installment vests immediately upon grant and is exercisable for one year. The remaining installments vest on the first four anniversaries of the December 15th following the grant date and are exercisable for a period of 31 days. At least 25% of the first installment must be exercised or the remaining installments are canceled. As described above under Compensation Discussion and AnalysisComponents of Executive CompensationEquity IncentivesNew Equity ProgramISPO Exchange Offer, in July 2013, Mr. Reynolds exchanged his outstanding ISPOs granted in December 2012 for shares of restricted stock and stock options, which are also reflected in the table. |
Narrative Disclosure to Summary Compensation Table and Grants of Plan Based Awards Table
Performance-Based Stock Options
The performance targets for 50% of the stock options granted to our named executive officers through June 2013, when the compensation committee changed the equity program to eliminate performance-based stock options, are based upon our annual EBIT. If we do not achieve the performance target for any particular fiscal year (other
115
than that of the Final Fiscal Year for each grant, as defined below), but we do achieve a cumulative performance target at the end of a later fiscal year, then all installments of performance-based options that did not become vested because of a missed performance target or targets in a prior year will vest. Our EBIT targets over the four-year vesting schedule of options granted to our named executive officers in fiscal 2009 and fiscal 2010 are as follows:
Year |
Annual EBIT Target (in millions) |
Cumulative EBIT Target (in millions) |
||||||
2010 |
$ | 718.1 | N/A | |||||
2011 |
$ | 748.5 | $ | 1,507.5 | ||||
2012 |
$ | 834.8 | $ | 2,366.0 | ||||
2013 (the Final Fiscal Year) |
$ | 804.2 | $ | 3,299.3 |
In June 2011, our board approved a new form of Non-Qualified Stock Option Agreement that provides that annual and cumulative EBIT targets for performance-based stock options will be established by the compensation committee within the first ninety days of each fiscal year. For example, performance-based options granted to certain of our named executive officers in fiscal 2011 had only an EBIT target for fiscal 2011 and those granted in fiscal 2012 had only an EBIT target for fiscal 2012 at the time of grant. The compensation committee established EBIT targets for each fiscal year in November of that fiscal year. EBIT targets for 2015 and later fiscal years will be established within the first ninety days of the respective fiscal year. The EBIT targets for options granted in fiscal 2011 are as follows:
Year |
Annual EBIT Target (in millions) |
Cumulative EBIT Target (in millions) |
||||||
2011 |
$ | 748.5 | N/A | |||||
2012 |
$ | 834.8 | $ | 1,583.3 | ||||
2013 |
$ | 804.2 | $ | 2,387.5 | ||||
2014 (the Final Fiscal Year) |
$ | 823.2 | $ | 3,594.6 |
The EBIT targets for options granted in fiscal 2012 are as follows:
Year |
Annual EBIT Target (in millions) |
Cumulative EBIT Target (in millions) |
||||||
2012 |
$ | 834.8 | N/A | |||||
2013 |
$ | 804.2 | $ | 1,639.0 | ||||
2014 |
$ | 823.2 | $ | 2,462.2 | ||||
2015 (the Final Fiscal Year) |
* | * |
* | EBIT Target not yet established |
Mr. Reynolds was the only named executive officer who received a grant of performance-based options in fiscal 2013. The EBIT targets for options granted in fiscal 2013 are as follows:
Year |
Annual EBIT Target (in millions) |
Cumulative EBIT Target (in millions) |
||||||
2013 |
$ | 804.2 | N/A | |||||
2014 |
$ | 823.2 | $ | 1,627.4 | ||||
2015 |
* | * | ||||||
2016 (the Final Fiscal Year) |
* | * |
* | EBIT Target not yet established |
116
When we calculate our EBIT (which calculation is subject to review and approval by the compensation committee) for purposes of determining whether we have achieved our annual EBIT target, we take our net income and increase it by: (1) net interest expense and (2) the provision for income taxes. We are then required to exclude a number of categorical amounts as follows:
| any extraordinary gains or losses, cumulative effect of a change in accounting principle, income or loss from disposed or discontinued operations and any gains or losses on disposed or discontinued operations, all as determined in accordance with generally accepted accounting principles; |
| any gain or loss greater than $2 million attributable to asset dispositions, contract terminations and similar items, provided that losses on contract terminations and asset dispositions in connection with client contract terminations are limited in any given fiscal year to $5 million; |
| any increase in amortization or depreciation resulting from the application of purchase accounting to the 2007 Transaction, including the current amortization of existing acquired intangibles; |
| any gain or loss from the early extinguishment of indebtedness, including any hedging obligation or other derivative instrument; |
| any impairment charge or similar asset write-off required by generally accepted accounting principles; |
| any non-cash compensation expense resulting from the application of the authoritative accounting pronouncement for share-based compensation expense or similar accounting requirements; |
| any expenses or charges related to any equity offering, acquisition, disposition, recapitalization, refinancing or similar transaction, including the 2007 Transaction; |
| any transaction, management, monitoring, consulting, advisory and related fees and expenses paid or payable to the Sponsors; |
| the effects of changes in foreign currency translation rates from the rates used in the calculation of the EBIT targets. The 2011 and later EBIT targets are based on the foreign currency translation rates used in the Business Plan approved by our board for the applicable year; and |
| the impact of the 53rd week of operations on our financial results during any 53-week fiscal year referenced in the relevant Schedule 1 to the Non-Qualified Stock Option Agreement. |
Our calculation of EBIT is adjusted for acquisitions as follows:
| for small acquisitions, which have purchase prices of less than $20 million each, there is no adjustment until the total consideration for all small acquisitions exceeds $20 million in any fiscal year, and then the EBIT targets will be adjusted for the percentage of EBIT that results from the cumulative amounts of such acquisitions over $20 million; and |
| for larger acquisitions, which have purchase prices of more than $20 million, our EBIT targets are adjusted based on the amount of EBIT that we project for that acquisition when it is approved by our board. |
Our calculation of EBIT also is adjusted when we sell a business by an amount equal to the last twelve months of earnings of the divested business.
The terms of the performance targets and calculation of EBIT, including the adjustments described above, were initially negotiated with the Sponsors in connection with the 2007 Transaction and were approved by our board in connection with the closing of the 2007 Transaction and subsequently modified. The EBIT targets were also modified in November 2008 and in December 2009 to reflect acquisitions and divestitures, pursuant to the terms of the Non-Qualified Stock Option Agreements. The EBIT targets were intended to measure achievement of the plan presented by us to the Sponsors at the time of the negotiation of the 2007 Transaction, as modified in response to changed circumstances, and the adjustments to EBIT described above primarily represent elements of our performance that are either beyond the control of management or were not predictable at the time the targets
117
were set. On June 21, 2011, our board approved a revised EBIT target for fiscal year 2011 and adopted a new form of Non-Qualified Stock Option Agreement that provides that the compensation committee will, on an annual basis, set both annual and cumulative EBIT targets for future fiscal years within 90 days of the beginning of each fiscal year based upon the Companys business plan as approved by our board. Our board also approved an amendment to outstanding Stock Option Agreements, which provides that if an annual EBIT target is established for fiscal 2012 or later years for options granted after June 21, 2011 that is less than the annual EBIT target for such fiscal year for the outstanding stock options, the EBIT target for such outstanding options will be reduced to such lower EBIT target. In addition, if a cumulative EBIT target as established for options granted after June 21, 2011 is achieved in a fiscal year ending after fiscal 2011, then for any years (beginning with fiscal 2011) that an annual EBIT target as established under the outstanding Stock Option Agreement was not achieved and which was not the final performance year of such option (a missed year), then the portion of the performance option under the outstanding Stock Option Agreement that did not vest in respect of such missed year will nevertheless become vested or will vest.
We did not achieve our EBIT target for 2012; therefore, performance-based stock options whose vesting is based upon the attainment of the 2012 EBIT target did not or will not vest unless an alternate vesting condition for those options is later satisfied. Mr. Foss employment agreement contains a provision that provides that his performance-based tranche that would vest based on our performance for fiscal year 2012 was to become fully vested so long as Mr. Foss remained employed with us through the applicable vesting date (regardless of whether the 2012 EBIT target was achieved). Accordingly, even though we did not achieve our 2012 EBIT target, in May 2013, the compensation committee vested the tranche of Mr. Fosss performance options whose vesting was subject to the 2012 EBIT target. The compensation committee determined that we achieved our EBIT target for fiscal 2013 therefore, performance-based stock options whose vesting was subject to the 2013 EBIT target vested or will vest.
Amendment to Vesting of Outstanding Performance-Based Options
On November 11, 2013, the compensation committee approved a form of amendment to all outstanding Non-Qualified Option Agreements under the 2007 Stock Plan modifying the vesting provisions relating to outstanding stock options subject to performance-based vesting conditions granted under the 2007 Stock Plan. This amendment provides that in the event of an initial public offering of our common stock, subject to continued employment on such date, 50% of any then-unvested performance-based options that did not meet applicable performance thresholds in prior years (the Missed Year Options) will become vested if the price of our common stock in this offering equals or exceeds $20.00 per share. In addition, during the 18 month period following our initial public offering, if the closing trading price for our common stock equals or exceeds $25.00 per share over any twenty consecutive trading-day period, 100% of the Missed Year Options will become vested. To the extent either or both of the above targets are achieved (x) prior to June 30, 2014, in the event of a termination of employment of an optionholder by us without cause, or (y) within twelve months following an optionholders termination of employment due to death, disability or retirement, in each case prior to the date(s) such conditions are satisfied, then in any such case the relevant portion of Missed Year Options, to the extent not then vested, will become vested upon such achievement.
Some or all of the performance-based options also will vest if certain other events occur, including the achievement of a return or internal rate of return by our Sponsors. For example, if our Sponsors were to sell a portion of their investment in us and, in connection with that sale, achieve an internal rate of return (i) on or after the third anniversary of the grant date of the options for options granted prior to June 2012 and (ii) at any time for options granted in June 2012 or later equal to 15%, or, for options granted prior to June 2012, prior to the third anniversary of the grant date, that equals or exceeds 200% of that Sponsors investment, the sale would be a qualified partial liquidity event and a percentage of the unvested performance-based options would vest. The percentage will be based upon the percentage of our Sponsors interest in us that was sold in the qualified partial liquidity event. In addition, if there is a change of control of us in which our sponsors do not achieve the return or internal rate of return described above, a portion of the unvested performance-based options will vest, with the
118
percentage vesting based upon the percentage of eligible performance-based options that had previously vested (all unvested time-based options will vest on a change of control). Upon death, disability or retirement (attaining at least age 60 with five years of service), unvested performance-based options that would have vested during the twelve-month period immediately following termination had the termination not occurred during that period will vest if the performance targets for that period are satisfied. Time-based options that would have vested in the year following retirement, death or disability would also vest according to the vesting schedule. In addition, if employment terminates due to death, disability or retirement, the exercise period for vested options is one year, rather than the 90-day period that is otherwise available for terminations other than for cause. All performance-based options terminate on the date of termination of employment in the case of termination for cause.
The above performance targets do not represent a prediction of how we did or will perform during the fiscal years 2013 through 2016. We are not providing any guidance, nor updating any prior guidance, of our future performance with the disclosure of these performance targets, and you are cautioned not to rely on these performance targets as a prediction of ARAMARKs future performance.
ISPO Exchange Offer
On July 29, 2013, we closed the ISPO Exchange Offer whereby we offered to holders of outstanding ISPO awards (including certain named executive officers) the ability to exchange such awards for new grants of Restricted Stock equal to the spread value of the ISPO and a number of Replacement Stock Options equal to the number of ISPOs exchanged minus the number of shares of Restricted Stock granted. The exercise price of the Replacement Stock Options ($16.21) was equal to the fair market value of the Companys common stock on the date of grant based upon the most recent appraisal price of our common stock on the date of grant. The grants of Restricted Stock and Replacement Stock Options were made to certain of our named executive officers by the stock committee on July 31, 2013. The incremental fair value attributable to the Restricted Stock and Replacement Stock Options is reflected in the Summary Compensation Table and the Grants of Plan Based Awards table with respect to Messrs. Foss, Sutherland and Reynolds and Ms. McKee.
Employment Agreements and Change of Control Arrangements
We have employment agreements with all of the named executive officers for indeterminate periods terminable by either party, in most cases subject to post-employment severance and benefit obligations. While we do have these agreements in place, from time to time, it has been necessary to renegotiate some terms upon actual termination.
For more information regarding change of control and severance payments for our named executive officers, see the disclosure under Potential Post-Employment Benefits.
Mr. Foss
In connection with his employment with us, we entered into an employment letter agreement and an agreement relating to employment and post-employment competition, dated May 7, 2012, with Mr. Foss, which was later amended in June 2013. Mr. Foss letter agreement provides that Mr. Foss will serve as Chief Executive Officer and President of the Company and will be elected to our board so long as we are controlled by investment funds associated with or designated by our Sponsors. Thereafter, Mr. Foss, while he remains the Chief Executive Officer and President, will be included as a nominee for election to our board at each annual stockholders meeting.
Mr. Foss is employed with us at-will and may be terminated at any time, subject to the severance provisions contained in his employment letter agreement. Mr. Foss initial annual base salary was $1,350,000, and is subject to periodic review by the compensation committee. The compensation committee may, in its discretion, increase Mr. Foss annual base salary. Mr. Foss annual cash bonus will be determined by the
119
compensation committee under our Bonus Plan. For fiscal 2012, however, Mr. Foss received a guaranteed bonus of $1,012,500 (his 2012 target bonus prorated for six months). His target bonus for fiscal 2013 is equal to 150% of his annual base salary. When we hired Mr. Foss, we committed to providing a total annual compensation package to Mr. Foss for fiscal 2013 based on total annual compensation values at the 75th percentile of the Companys market peer group of companies. In addition, Mr. Foss received a one-time signing bonus of $500,000 intended to cover commuting and relocation expenses and is eligible to participate in all retirement, welfare and perquisite programs applicable to senior executives of the Company at benefit levels applicable to senior executives. Mr. Foss also receives a $2,000 monthly car allowance. Under our agreement with Mr. Foss, he is entitled to serve on two for-profit boards, subject to the prior approval of the board. His current service on the boards of CIGNA Corporation and UDR, Inc. was approved by our board in connection with the approval of his employment arrangements.
Mr. Foss invested $3,750,000 through the purchase of our common stock at a per share purchase price equal to $14.96, which was equal to the fair market value (the appraisal price on the date of purchase) per share of our common stock. In addition, Mr. Foss received an ISPO to purchase 500,000 shares of our common stock, of which Mr. Foss exercised the first installment for 100,000 shares of our common stock, which he had committed to do under the terms of his employment letter agreement. The remaining portion of Mr. Fosss ISPO grant was exchanged in connection with the ISPO Exchange Offer described above. Mr. Foss was also granted a nonqualified stock option to purchase 1,450,000 shares of our common stock, one-half of which has time-based vesting conditions and the other half of which has service and performance-based vesting conditions, except that the performance-based tranche that would vest based on our performance for fiscal year 2012 was to become fully vested so long as Mr. Foss remained employed with us through the applicable vesting date (regardless of whether the 2012 EBIT target was achieved). Accordingly, even though we did not achieve our 2012 EBIT target, in May 2013, the compensation committee vested the tranche of Mr. Fosss performance options whose vesting was subject to the 2012 EBIT target. In addition, under his Employment Letter Agreement, Mr. Foss is required to hold shares of our common stock having a fair market value equal to six times his base salary.
If we terminate Mr. Foss employment without cause or Mr. Foss resigns for good reason prior to a change of control (as defined in his agreement relating to employment and post-employment competition), Mr. Foss will receive severance payments equal to two times his base salary plus two times his most recent annual bonus, paid over a twenty-four month period. In addition, he would receive a pro rata portion of his bonus for the year of his termination, based upon our actual performance (his 2012 bonus was deemed to be his full target bonus of $2,025,000 for this purpose). Mr. Foss would also continue to receive his car allowance and to participate in our medical and life insurance programs for the same period. Finally, Mr. Foss time-based stock options that would have vested in the 24-month period following his termination date, but for his termination of employment, would vest immediately.
Mr. Foss agreement relating to employment and post-employment competition contains a double trigger in the event of a change of control. If we experience a change of control (as defined in Mr. Foss agreement), and in anticipation of or within three years after that change of control Mr. Foss is terminated without cause or resigns for good reason, he would be entitled to similar payments as if he were terminated without cause or resigned for good reason prior to a change of control. Mr. Foss would receive severance payments equal to two times his base salary plus two times his most recent annual bonus or his target bonus, whichever is higher, paid over a twenty-four month period. In addition, he would receive a pro rata portion of his bonus for the year of his termination payable in a lump sum within 60 days of the date of termination (his 2012 bonus was deemed to be his full target bonus of $2,025,000 for this purpose). Mr. Foss would also continue to receive his car allowance and to participate in our medical and life insurance programs for the severance period. Finally, Mr. Foss stock options would vest in accordance with the applicable plan document or award agreement.
Upon any termination of employment, Mr. Foss would also receive any accrued amounts (earned but unpaid salary and benefits) owed to him by us. During his employment term and for a period of two years thereafter, Mr. Foss would be subject to a non-competition restriction that would restrict him from associating with or acquiring or maintaining an ownership interest in a competing business and non-solicitation restrictions.
120
Messrs. Sutherland and Reynolds and Ms. McKee
In connection with the 2007 Transaction, we entered into employment agreements relating to employment and post-employment competition with Mr. Sutherland and Ms. McKee in July 2007. We entered into an employment agreement relating to employment and post-employment competition with Mr. Reynolds in connection with his commencement of employment with us.
If Messrs. Sutherland or Reynolds or Ms. McKee is terminated for any reason other than cause, the agreements generally provide, subject to execution of a general release, for severance payments equal to 6 to 18 months of pay based on years of service, plus the continuation of certain other benefits, including basic group medical and life insurance coverage and continuation of a car allowance, during the period of such payment. The agreements contain non-competition provisions pursuant to which the executive would be restricted from associating with or acquiring or maintaining an ownership interest in a competing business for a period of two years (or one year if employment is terminated by us other than for cause or is terminated by the employee for good reason after a change of control).
Upon a change of control of us as described in the agreements, in addition to the severance payments discussed in the preceding paragraph, each executive also would be entitled to a lump sum payment if their employment is terminated within the three years following such change of control or in anticipation of such change of control. The agreements provide a payout in the event of a change of control based on a double trigger (more fully described under Potential Post-Employment Benefits). The agreements, including the double trigger provision, were negotiated with the Sponsors in connection with the 2007 Transaction. These provisions are intended to align executive and stockholder interests by enabling executives to consider corporate transactions that are in the best interests of the stockholders and our other constituents without undue concern over whether the transactions may jeopardize the executives own employment.
Ms. Morrison
We entered into an agreement relating to employment and post-employment competition with Ms. Morrison in connection with her commencement of employment with us. The agreement provides for post-employment benefits should Ms. Morrison be terminated by us without cause. Those benefits include between 26 and 52 weeks of severance pay (Ms. Morrison is currently entitled to 26 weeks of severance pay), depending on the length of time Ms. Morrison has been employed by the Company, and basic group medical coverage and continuation of the Company-paid auto allowance during the severance pay period. The agreements contain non-disclosure and non-disparagement provisions to which Ms. Morrison must adhere for certain periods of time after termination of employment, as well as a two-year non-competition provision and a two-year non-solicitation provision.
Indemnification Agreements
We have entered into Indemnification Agreements with our named executive officers (other than Ms. Morrison), among others, that provide rights that are substantially similar to those to which they are currently entitled pursuant to our certificate of incorporation and by-laws and that spell out further the procedures to be followed in connection with indemnification.
121
Outstanding Equity Awards at 2013 Fiscal Year-End
The following table provides information with respect to holdings of stock options, restricted stock and restricted stock units by our named executive officers at 2013 fiscal year-end.
Option Awards | Stock Awards | |||||||||||||||||||||||||||
Name |
Number
of Securities Underlying Unexercised Options(#) Exercisable(1) |
Number
of Securities Underlying Unexercised Options(#) Unexercisable(2) |
Equity Incentive Plan Awards: Number of Securities Underlying Unexercised Unearned Options(#)(3) |
Option Exercise Price |
Option Expiration Date |
Number of Shares or Units of Stock That Have Not Vested (#) |
Market Value of Shares or Units of Stock That Have Not Vested |
|||||||||||||||||||||
Foss |
362,500 | 725,000 | 362,500 | $ | 13.90 | (4) | 6/6/2022 | | | |||||||||||||||||||
| 1,247,638 | | $ | 16.21 | 6/20/2023 | | | |||||||||||||||||||||
| | | | | 271,438 | (5) | $ | 4,581,873 | ||||||||||||||||||||
| 342,998 | | $ | 16.21 | 7/31/2022 | | | |||||||||||||||||||||
| | | | | 57,002 | (6) | $ | 962,194 | ||||||||||||||||||||
Sutherland |
756,591 | | 235,659 | $ | 5.44 | (4) | 1/26/2017 | | | |||||||||||||||||||
274,500 | | 85,500 | $ | 5.44 | (4) | 2/27/2017 | | | ||||||||||||||||||||
57,189 | | 17,811 | $ | 9.74 | (4) | 3/5/2018 | | | ||||||||||||||||||||
150,000 | | 50,000 | $ | 8.59 | (4) | 9/2/2019 | | | ||||||||||||||||||||
100,000 | 50,000 | 50,000 | $ | 9.48 | (4) | 3/2/2020 | | | ||||||||||||||||||||
93,750 | 93,750 | 62,500 | $ | 11.63 | (4) | 6/22/2021 | | | ||||||||||||||||||||
| 94,518 | | $ | 16.21 | 7/9/2023 | | | |||||||||||||||||||||
| | | | | 30,846 | (7) | $ | 520,680 | ||||||||||||||||||||
| 25,828 | | $ | 16.21 | 7/31/2021 | | | |||||||||||||||||||||
| | | | | 10,172 | (6) | $ | 171,703 | ||||||||||||||||||||
McKee |
466,555 | | 145,321 | $ | 5.44 | (4) | 1/26/2017 | | | |||||||||||||||||||
228,750 | | 71,250 | $ | 5.44 | (4) | 2/27/2017 | | | ||||||||||||||||||||
38,126 | | 11,874 | $ | 9.74 | (4) | 3/5/2018 | | | ||||||||||||||||||||
75,000 | 37,500 | 37,500 | $ | 9.48 | (4) | 3/2/2020 | | | ||||||||||||||||||||
93,750 | 93,750 | 62,500 | $ | 11.63 | (4) | 6/22/2021 | | | ||||||||||||||||||||
| 94,518 | | $ | 16.21 | 7/9/2023 | | | |||||||||||||||||||||
| | | | | 30,846 | (7) | $ | 520,680 | ||||||||||||||||||||
| 25,828 | | $ | 16.21 | 7/31/2021 | | | |||||||||||||||||||||
| | | | | 10,172 | (6) | $ | 171,703 | ||||||||||||||||||||
Reynolds |
| 156,250 | 93,750 | $ | 14.99 | 12/5/2022 | | | ||||||||||||||||||||
| 75,615 | | $ | 16.21 | 7/9/2023 | | | |||||||||||||||||||||
| | | | | 24,677 | (7) | $ | 416,547 | ||||||||||||||||||||
11,097 | 44,387 | | $ | 16.21 | 7/31/2023 | | | |||||||||||||||||||||
| | | | | 3,613 | (6) | $ | 60,987 | ||||||||||||||||||||
Morrison |
| 186,000 | | $ | 16.21 | 7/9/2023 | | | ||||||||||||||||||||
| | | | | 38,000 | (7) | $ | 641,440 |
(1) | The amounts in this column are time-based and performance-based options that have vested. |
(2) | These are options subject to time-based vesting (including options previously also subject to performance-based conditions which have been satisfied) and generally vest 25% per year over four years from the date of grant, provided that the named executive officer is still employed by us. Certain options included in this column were granted in connection with our ISPO Exchange Offer and have vesting schedules based upon the original vesting schedule of the ISPO that was exchanged. |
122
Expiration Date | Grant Date |
Vesting Schedule |
Equity Instrument | |||
January 26, 2017 | January 26, 2007 | 25% on each of the first four anniversaries of the grant date. |
Option | |||
February 27, 2017 | February 27, 2007 | 25% on each of the first four anniversaries of January 26, 2007. |
Option | |||
March 5, 2018 | March 5, 2008 | 25% on each of the first four anniversaries of the grant date. |
Option | |||
September 2, 2019 | September 2, 2009 | 25% on each of the first four anniversaries of the grant date. |
Option | |||
March 2, 2020 | March 2, 2010 | 25% on each of the first four anniversaries of the grant date. |
Option | |||
June 22, 2021 | June 22, 2011 | 25% on each of the first four anniversaries of the grant date. |
Option | |||
July 31, 2021 | July 31, 2013 | One-third on each of December 15, 2013, 2014 and 2015. | Replacement Option (ISPO Exchange) | |||
June 6, 2022 | June 6, 2012 | 25% on each of the first four anniversaries of the grant date. |
Option | |||
July 31, 2022 | July 31, 2013 | 25% on each of December 15, 2013, 2014, 2015 and 2016. | Replacement Option (ISPO Exchange) | |||
December 5, 2022 | December 5, 2012 | 25% on each of the first four anniversaries of the grant date |
Option | |||
June 20, 2023 | June 20, 2013 | 25% on each of the first four anniversaries of the grant date |
Option | |||
July 9, 2023 | July 9, 2013 | 25% on each of the first four anniversaries of the grant date |
Option | |||
July 31, 2023 | July 31, 2013 | 20% vested and 20% to vest on each of December 15, 2013, 2014, 2015 and 2016. | Replacement Option (ISPO Exchange) |
(3) | These are the total number of options that are still subject to performance-based vesting. 25% of the original award is eligible to vest each year over four years from the grant date, which in each case was 10 years prior to the listed expiration date, provided that certain performance targets are satisfied and the named executive officer is still employed by us, with certain exceptions (disability, retirement or death). See Narrative Disclosure to Summary Compensation Table and Grants of Plan Based Awards Table. |
(4) | Exercise price reflects the reduction of $1.06 per share, which was the portion of the appraisal price of a share of Company common stock allocated to each share of Seamless Holdings Corporation common stock. Seamless Holdings Corporation was spun off by the Company on October 26, 2012 and the exercise prices of all stock options issued prior to that time were adjusted to reflect the spinoff. |
(5) | These are restricted stock units granted to Mr. Foss on June 20, 2013 that are subject to time-based vesting and vest 25% per year over four years from the date of grant, provided Mr. Foss is still employed by us on such dates. |
(6) | These are shares of restricted stock that were granted as part of the ISPO Exchange on July 31, 2013 and vest as follows: |
Name |
Vesting Schedule | |
Foss |
25% on each of December 15, 2013, 2014, 2015 and 2016. | |
Sutherland |
One-third on each of December 15, 2013, 2014 and 2015. | |
McKee |
One-third on each of December 15, 2013, 2014 and 2015. | |
Reynolds |
20% vested immediately upon grant and 20% will vest on each of December 15, 2013, 2014, 2015 and 2016. |
123
(7) | These are restricted stock units granted on July 9, 2013 that are subject to time-based vesting and vest 25% per year over four years from the date of grant, provided that the named executive officer is still employed by us on such dates. |
Options Exercises and Stock Vested Table for Fiscal Year 2013
The following table sets forth information with respect to the named executive officers concerning the exercise of options and the vesting of restricted stock in fiscal 2013.
Name |
Option Awards | Stock awards | ||||||||||||||
Number of
Shares Acquired on Exercise (#) |
Value Realized on Exercise ($)(2) |
Number of
Shares Acquired on Vesting (#) |
Value Realized on Vesting ($)(2) |
|||||||||||||
Foss |
| | | | ||||||||||||
Sutherland |
12,000 | 40,320 | | | ||||||||||||
McKee |
7,000 | 23,520 | | | ||||||||||||
Reynolds |
| | 903 | (1) | 14,638 | |||||||||||
Morrison |
| | | |
(1) | For Mr. Reynolds, 306 shares were withheld to cover tax liability at the time the restricted stock vested. He received 597 shares after the 306 shares were withheld. |
(2) | Value realized on exercise and vesting is calculated based upon the most recent appraisal price of our common stock at the date of exercise or vesting, as applicable. |
Pension Benefits for Fiscal 2013
No named executive officer participated in a pension benefit plan during fiscal 2013.
124
Non-Qualified Deferred Compensation for Fiscal Year 2013
Our named executive officers are eligible to participate in two deferred compensation plans: the 2007 Savings Incentive Retirement Plan and the 2005 Deferred Compensation Plan, each of which is discussed in Other Components of Compensation in the Compensation Discussion and Analysis above. Mr. Sutherland and Ms. McKee participated in predecessor plans to the 2007 Savings Incentive Retirement Plan and retain balances in these older plans, all of which are reflected in the table.
Name |
Executive Contributions in Last FY ($)(1) |
Registrant Contributions in Last FY ($)(2) |
Aggregate Earnings in Last FY ($)(3) |
Aggregate Withdrawals/ Distributions ($) |
Aggregate Balance at Last FYE ($)(3)(4) |
|||||||||||||||
Foss |
||||||||||||||||||||
2007 SIRP |
64,084 | 11,375 | 1,104 | | 76,563 | |||||||||||||||
2005 Deferred Comp Plan |
| | | | | |||||||||||||||
Sutherland |
||||||||||||||||||||
2007 SIRP |
49,052 | 11,375 | 127,746 | | 2,795,056 | |||||||||||||||
2005 Deferred Comp Plan |
| | | | | |||||||||||||||
McKee |
||||||||||||||||||||
2007 SIRP |
38,322 | 11,375 | 71,237 | | 1,570,182 | |||||||||||||||
2005 Deferred Comp Plan |
| | | | | |||||||||||||||
Reynolds |
||||||||||||||||||||
2007 SIRP |
28,846 | 1,500 | 632 | | 30,978 | |||||||||||||||
2005 Deferred Comp Plan |
| | | | | |||||||||||||||
Morrison |
||||||||||||||||||||
2007 SIRP |
| | | | | |||||||||||||||
2005 Deferred Comp Plan |
| | | | |
(1) | All amounts in this column were deferred under the 2007 Savings Incentive Retirement Plan during fiscal 2013. All amounts deferred are included in the named executive officers salary amount in the Summary Compensation Table. |
(2) | With respect to our named executive officers, these amounts constitute the Company match to the Savings Incentive Retirement Plan for fiscal 2013, which were made in November 2013. These amounts are reported in the Summary Compensation Table. |
(3) | Our Summary Compensation Table for previous years included the amount of salary deferred and Company match for those years. The amounts in the Executive Contributions column are included in the Salary column in the Summary Compensation Table for fiscal 2013 and amounts in the Registrant Contributions column are reflected in the All Other Compensation column and separately footnoted. To the extent that earnings for the 2007 Savings Incentive Retirement Plan and the 2005 Deferred Compensation Plan exceeded 120% of the applicable federal rate, those excess earnings were reported in the Change in Pension Value and Non-Qualified Deferred Compensation Earnings column of the Summary Compensation Table as follows: for Mr. Foss, $155, for Mr. Sutherland, $17,915, for Ms. McKee, $9,990, and for Mr. Reynolds, $89. |
(4) | The Aggregate Balance at Fiscal Year End includes amounts that were reported in the Summary Compensation Table for the last three fiscal years as follows: for Mr. Foss, $75,614 (for 2013 only), for Mr. Sutherland, $223,260, for Ms. McKee, $170,112, and for Mr. Reynolds, $30,435 (for 2013 only). |
The 2007 Savings Incentive Retirement Plan enables our named executive officers to defer up to 25% of their base salaries, which become our unfunded deferral obligations. We credit amounts deferred with interest at the Moodys Long Term Corporate Baa Bond Index rate for October of the previous year; which was 4.58%
125
beginning January 1, 2013. From September 29, 2012 until December 31, 2012, we credited amounts deferred with an interest rate equal to 5.37%. Employees who participate in the 2007 Savings Incentive Retirement Plan are eligible to receive a Company matching contribution equal to 25-75% of the first 6% of their salary deferred up to the Internal Revenue Code maximum deferral limit ($17,500 for fiscal 2013). This match is intended to replicate what the employee would have received if he or she had been able to participate in our 401(k) plans. For fiscal 2013, the Company matching contribution was 65%. Participants in the Savings Incentive Retirement Plan may only make account withdrawals if there occurs an unforeseeable emergency as defined in the plan and the withdrawal is approved by the plan administrative committee. Company match amounts are not available for a hardship withdrawal. The 2007 Savings Incentive Retirement Plan is settled in cash following termination of employment and in compliance with certain requirements of Section 409A of the Internal Revenue Code.
Named executive officers may defer receipt of part or all of their cash compensation under our 2005 Deferred Compensation Plan. The 2005 Deferred Compensation Plan allows executives to save for retirement in a tax-deferred way at minimal cost to us. Under this unfunded Plan, amounts deferred by the executive are credited at an interest rate based on Moodys Long Term Corporate Baa Bond Index rate for October of the previous year, which was 4.58% beginning January 1, 2013. From September 29, 2012 until December 31, 2012, we credited amounts deferred with an interest rate equal to 5.37%. The 2005 Deferred Compensation Plan permits participants to select a payment schedule at the time they make their deferral election, subject to a three-year minimum deferral period as long as the participant remains employed by us. All or a portion of the amount then credited to a deferral account may be withdrawn, if the withdrawal is necessary in light of a severe financial hardship.
The interest rate for both the 2007 Savings Incentive Retirement Plan and the 2005 Deferred Compensation Plan will be adjusted on January 1, 2014 based on the Moodys Long Term Corporate Baa Bond Index rate for October 2013 which is 5.31%.
In connection with, and effective upon, our initial public offering, our board of directors approved the assumption by us of the obligations of ARAMARK Corporation under the 2007 Savings Incentive Retirement Plan and the 2005 Deferred Compensation Plan, each as amended from time to time.
Potential Post-Employment Benefits
Our named executive officers may be eligible to receive benefits in the event their employment is terminated (1) upon their retirement, disability or death, (2) by ARAMARK without cause, or (3) in certain circumstances following a change of control. The amount of benefits will vary based on the reason for the termination.
The following sections present a discussion and calculations, as of September 27, 2013, of the estimated benefits the named executive officers would receive in these situations. Although the calculations are intended to provide reasonable estimates of the potential benefits, they are based on numerous assumptions discussed in the footnotes to the table and may not represent the actual amount an executive would receive if an eligible termination event were to occur.
In addition to the amounts disclosed in the following sections, each of our named executive officers would retain the amounts which he or she has earned or accrued over the course of his or her employment prior to the termination event, such as the executives balances under our deferred compensation plans and, in certain circumstances as described below, the vesting one additional tranche of unvested time-based equity and the proceeds of any unvested performance-based options that would have otherwise vested in the year following termination. For further information about previously earned and accrued amounts, see Summary Compensation Table, Outstanding Equity Awards at Fiscal 2013 Year-End and Nonqualified Deferred Compensation for Fiscal Year 2013.
126
Treatment of Equity Grants
Retirement, Death, Disability
Upon retirement, death or disability, our named executive officers are eligible to vest one additional tranche of time based equity awards and performance-based stock options (subject to the achievement of the applicable EBIT target(s)) that are scheduled to vest in the year following retirement, death or disability. In addition, vested stock options remain exercisable for one year following termination of employment due to death, disability or retirement.
Termination for Cause
Upon termination for cause, all vested stock options and unvested equity is immediately cancelled.
Termination without Cause or Resignation for Good Reason Prior to a Change of Control
Upon termination without cause prior to a change of control, all of our named executive officers unvested equity (other than Mr. Foss stock options) is cancelled and the named executive officers have 90 days to exercise vested stock options. Upon a termination of Mr. Foss employment without cause or Mr. Foss resignation for good reason, in each case, prior to a change of control, all time-based stock options that would have vested during the 24-month period following his termination would vest immediately.
Change of Control
Upon a change of control, all time-based equity awards become immediately vested. If the change of control occurs prior to the final fiscal year of the performance-based vesting schedule for a performance-based option, a percentage of the then-unvested performance-based options which would have been eligible for vesting based on EBIT performance for the fiscal year during which the change of control occurs and those eligible for any subsequent fiscal years, equal to (x) 100% multiplied by (y) a quotient, the numerator of which is the aggregate number of performance-based options that previously became vested options prior to the fiscal year in which the change of control occurs, and the denominator of which is the aggregate number of performance-based options that were eligible to become vested options if all EBIT Targets were achieved prior to the fiscal year during with the change of control occurs, will vest. Some or all of the performance-based options also will vest if certain other events occur, including the achievement of a return or internal rate of return by our Sponsors. See Narrative Disclosure to Summary Compensation Table and Grants of Plan Based Awards Table.
Retirement, Death and Disability
The named executive officers do not receive any special benefits upon retirement, disability or death, other than those under the Survivor Income Protection Plan and/or life insurance, as applicable, in the case of death as more fully described in the Other Components of Compensation section of the Compensation Discussion and Analysis, or with regard to their equity awards that are more fully described above. Mr. Sutherland has attained the retirement age under the 2007 Stock Plan. Therefore, upon retirement, he would be eligible to vest one additional tranche of time-based equity awards, as well as his performance-based stock options (subject to the achievement of the applicable EBIT target(s)) that are scheduled to vest in the year following his retirement.
Termination for Cause or Resignation without Good Reason
Mr. Foss
Mr. Foss is not entitled to any benefits under his employment agreement upon termination for cause or resignation without good reason. Termination for cause as defined in his employment agreement means termination of employment due to conviction or plea of guilty or nolo contendere to a felony or a misdemeanor involving moral turpitude that has a substantial adverse effect on Mr. Foss ability to perform his duties, willful
127
and continuous failure to perform his or her duties after written notice, willful and continuous failure to perform lawfully assigned duties that are consistent with his position with the Company, willful violation of our Business Conduct Policy that causes us material harm or intentionally working against our best interests, in each case after notice and failure to cure the conduct within 15 business days. Mr. Foss is subject to a two-year non-competition covenant if his employment is terminated for cause or if he resigns without good reason.
Messrs. Sutherland and Reynolds and Ms. McKee
Messrs. Sutherland and Reynolds and Ms. McKee are not entitled to any benefits under their employment agreements upon termination for cause or resignation without good reason. With respect to Messrs. Sutherland and Reynolds and Ms. McKee, termination for cause means termination of employment due to conviction or plea of nolo contendere to a felony, intentional fraud or dishonesty with regard to us that causes us demonstrable harm, willful and continuous failure to perform his or her lawfully assigned duties that are consistent with his or her position, willful violation of our Business Conduct Policy that causes material harm to us or our business reputation or intentionally working against our best interests, in each case after notice and failure to cure the conduct within 10 business days. Messrs. Sutherland and Reynolds and Ms. McKee are subject to a two-year non-competition covenant if their employment is terminated for cause or if they resign without good reason.
Ms. Morrison
Ms. Morrison is not entitled to any benefits under her employment agreements upon termination for cause or resignation without good reason. With respect to Ms. Morrison, termination for cause means termination of employment due to conviction or plea of nolo contendere to a felony, fraud or dishonesty, willful failure to perform her assigned duties, willful violation of our Business Conduct Policy or intentionally working against our best interests. Ms. Morrison is subject to a one-year non-competition and a two-year non-solicitation covenant if her employment is terminated for cause or she resigns without good reason.
Termination without Cause / Resignation for Good Reason in the Absence of a Change of Control
Mr. Foss
If Mr. Foss is terminated without cause or resigns for good reason in the absence of a change of control (as defined in his agreement and described below), he will be entitled to the following payments and benefits:
| a pro rata bonus for the year of termination based upon actual performance; |
| continued payment of his base salary for 24 months; |
| two times the prior years bonus (if any) paid over 24 months (for 2012, this is deemed to be his full target bonus); |
| continued participation in the Companys basic medical and life insurance programs on the same terms as prior to termination for a period of 24 months, both for Mr. Foss and for his dependents; |
| continued payment of his car allowance for 24 months; |
| immediate vesting of time-based stock options that would have vested during the 24 month period following his termination; and |
| all of his vested stock options, with 90 days following termination of employment to exercise. |
Mr. Foss is subject to non-competition and non-solicitation provisions for the two year period following his termination of employment.
128
Messrs. Sutherland and Reynolds and Ms. McKee
If we terminate Messrs. Sutherland or Reynolds or Ms. McKee without cause, he or she will receive:
| severance payments equal to his or her monthly base salary for 12 to 18 months, depending on length of service (Mr. Sutherland and Ms. McKee would receive severance for 18 months, while Mr. Reynolds would receive severance for 12 months, based on their respective length of service), made in the course of our normal payroll cycle; |
| participation in our basic medical and life insurance programs during the period over which he or she receives severance payments, with the employees share of premiums deducted from the severance payments; |
| continuation of his or her car allowance payments during the severance period; and |
| all of his or her vested stock options, with 90 days following termination of employment to exercise. |
Messrs. Sutherland and Reynolds and Ms. McKee are subject to a two-year non-competition covenant if their employment is terminated in the absence of a change of control and it is reduced to one year if, following a change of control, they are terminated without cause or they resign for good reason.
Ms. Morrison
If we terminate Ms. Morrison without cause, she will receive:
| severance payments equal to her monthly base salary for 26 weeks made in the course of our normal payroll cycle; |
| participation in our basic medical and life insurance programs during the period over which she receives severance payments, with her share of premiums deducted from the severance payments; |
| continuation of her car allowance payments, as applicable, during the severance period; and |
| all of her vested stock options, with 90 days following termination of employment to exercise. |
Ms. Morrison is subject to non-disclosure and non-disparagement obligations, a one-year non-competition covenant and a two-year non-solicitation covenant after termination of employment under her agreement.
Termination without Cause or Resignation for Good Reason in Relation to a Change of Control
Mr. Foss
Our employment agreement with Mr. Foss contains a double triggerto be initiated, there must be a change of control followed by an involuntary loss of employment or decrease in responsibilities within three years thereafter, or employment must be terminated in anticipation of a change of control. If we terminate Mr. Foss employment without cause during the three-year period following a change of control or he resigns for good reason following a change of control, Mr. Foss would receive:
| a pro-rata portion of his annual target bonus in effect on the date of the change of control or on the date of termination, whichever is higher, in a lump sum; |
| two times his base salary in effect on the date of the change of control or on the date of termination, whichever is higher, payable over 24 months; |
| two times the higher of his annual target bonus in effect on the date of the change of control or his most recent annual bonus, whichever is higher, payable over 24 months; |
| outplacement counseling in an amount not to exceed 20% of his base salary, for a period of 24 months; |
| continued participation in our medical (for Mr. Foss and his dependents), life and disability insurance programs on the same terms as in effect immediately prior to his termination, for a period of 24 months; |
129
| continued payment of his car allowance, if provided at the time of termination, for a period of 24 months; and |
| accelerated vesting of outstanding equity-based awards or retirement plan benefits (this would not be applicable to Mr. Foss for 2013 as he does not have any unvested retirement plan benefits) as is specified under the terms of the applicable plans. See Narrative Disclosure to Summary Compensation Table and Grants of Plan Based Awards Table. |
Change of control is defined in Mr. Foss agreement relating to employment and post-employment competition to include the following:
| an entity or group other than us, our Sponsors or one of our employee benefit plans acquires more than 50% of our voting stock; |
| the Company experiences a reorganization, merger or sale or disposition of substantially all of our assets or we purchase the assets or stock of another entity unless the stockholders prior to the transaction own at least 50% of the voting stock after the transaction and no person owns a majority of the voting stock (unless that ownership existed before the transaction); or |
| a majority of the members of our board are replaced during any 12-month period and the new directors are not endorsed by a majority of the Companys board before the replacement or the replacement is not contemplated by our stockholders agreement. |
In addition to termination by us following a change of control, Mr. Foss employment agreement provides the same benefits to him if he resigns for good reason following a change of control. Good reason is defined in Mr. Foss agreement relating to employment and post-employment competition as:
| any diminution in title or reporting relationships, or substantial diminution in duties or responsibilities (other than a change of control after which we are no longer publicly held or independent) including the requirement that he report to any person or entity other than our board; |
| reduction in base salary or target annual bonus opportunity, other than, prior to a change of control, an across-the-board reduction applicable to all senior executives; |
| the relocation of his principal place of employment by more than 35 miles in a direction further away from his current residence; |
| a material decrease in his employee benefits in the aggregate; and |
| failure to pay or provide (in any material respect) the compensation and benefits under his employment letter agreement or his agreement relating to employment and post-employment competition. |
Mr. Foss must provide 90 days written notice that he is resigning for good reason and the Company then has 30 days to cure. If the condition is not cured, Mr. Foss has 30 days from the end of the cure period to resign for good reason.
Mr. Foss employment agreement also provides that if any payments to Mr. Foss in connection with a change of control of the Company would constitute excess parachute payments that are subject to excise taxes under Section 4999 of the Internal Revenue Code, such payments will be subject to a reduction to avoid any such excise taxes that may be due, if such reduction results in Mr. Foss retaining a greater after-tax amount than if Mr. Foss paid the excise taxes otherwise due. Mr. Foss is not eligible to receive a gross-up payment in respect of any such excise taxes he may pay. During his employment term and for a period of two years thereafter, Mr. Foss would be subject to non-competition and non-solicitation restrictions with the Company.
Messrs. Sutherland and Reynolds and Ms. McKee
Our employment agreements with Messrs. Sutherland and Reynolds and Ms. McKee contain a double triggerto be initiated, there must be a change of control followed by a termination of employment by us without cause or by them for good reason within three years thereafter, or in anticipation of a change of control.
130
We chose to implement a double trigger because we were advised by Frederic W. Cook & Co., Inc. that a double trigger is more common in the market than a single trigger. In addition, in connection with the 2007 Transaction, change of control amounts were paid to Mr. Sutherland and Ms. McKee under their previous employment agreements. With respect to Messrs. Sutherland and Reynolds and Ms. McKee, a change of control is deemed to occur if:
| an entity or group other than our Sponsors acquires more than 50% of our voting stock; |
| the Company experiences a reorganization, merger or sale or disposition of substantially all of our assets or we purchase the assets or stock of another entity unless the stockholders prior to the transaction own at least 50% of the voting stock after the transaction and no person owns a majority of the voting stock (unless that ownership existed before the transaction); or |
| a majority of the members of our board are replaced during any 12-month period and the new directors are not endorsed by a majority of the Companys board before the replacement or the replacement is not contemplated by our stockholders agreement. |
In addition to termination by us following a change of control, the employment agreements with Messrs. Sutherland and Reynolds and Ms. McKee provide the same benefits to them if they resign for good reason following a change of control. Good reason is defined in their employment agreements as any of the following actions occurring after a change of control:
| a decrease in base salary or target bonus; |
| a material decrease in aggregate employee benefits; |
| diminution in title or substantial diminution in reporting relationship or responsibilities; or |
| relocation of his or her principal place of business by 35 miles or more. |
If Messrs. Sutherlands or Reynolds or Ms. McKees employment is terminated by us without cause or if he or she resigns with good reason (as defined in his or her employment agreement), following a Change of Control, he or she is entitled to the following in addition to severance payments and benefits, which are also included in the change of control amounts in the table (see Employment Agreements and Change of Control Arrangements):
| cash severance benefits based on a multiple of two times his or her base salary and target bonus (or the prior years actual bonus, if higher) over a two-year period according to our payroll cycle; |
| a lump sum payment, within 40 days after his or her termination date, equal to the portion of his or her target bonus attributable to the portion of the fiscal year served prior to termination, plus any earned but unpaid amounts; |
| continued medical, life and disability insurance at our expense for a two-year period following termination; |
| outplacement counseling in an amount not to exceed 20% of base salary; and |
| accelerated vesting of outstanding equity-based awards or retirement plan benefits (this would not be applicable to Messrs. Sutherland or Reynolds or Ms. McKee for 2013 as they do not have any unvested retirement plan benefits) as is specified under the terms of the applicable plans. See Narrative Disclosure to Summary Compensation Table and Grants of Plan Based Awards Table. |
Messrs. Sutherland and Reynolds and Ms. McKee are subject to a one-year non-competition covenant if their employment is terminated without cause or they terminate for good reason, each after a change of control.
If the payments made to Mr. Sutherland or Ms. McKee were to result in excise taxes or interest and penalties, the Company is required to gross up the payments to Mr. Sutherland or Ms. McKee for the income or excise tax imposed. This gross-up provision ensures that Mr. Sutherland or Ms. McKee receives the full benefit
131
of payments related to a change of control to which they are entitled. If a change of control were to have occurred at the end of fiscal 2013, excise tax would have been imposed on Messrs. Foss, Sutherland and Reynolds and Ms. McKee and, therefore, the table below includes any gross-up for excise taxes for Mr. Sutherland or Ms. McKee.
Mr. Reynolds employment agreement also provides that if any payments to Mr. Reynolds in connection with a change of control of the Company would constitute excess parachute payments that are subject to excise taxes under Section 4999 of the Internal Revenue Code, such payments will be subject to a reduction to avoid any such excise taxes that may be due, if such reduction results in Mr. Reynolds retaining a greater after-tax amount than if Mr. Reynolds paid the excise taxes otherwise due. Mr. Reynolds is not eligible to receive a gross-up payment in respect of any such excise taxes he may pay.
Ms. Morrison
Ms. Morrison is not entitled to any additional benefits under her employment agreement upon termination without cause after a change of control, other than severance benefits as follows:
| severance payments equal to her monthly base salary for 26 weeks made in the course of our normal payroll cycle; |
| participation in our basic medical and life insurance programs during the period over which she receives severance payments, with her share of premiums deducted from the severance payments; |
| continuation of her car allowance payments during the severance period; |
| all of her vested stock options; and |
| accelerated vesting of unvested time-based options and restricted stock units in accordance with our 2007 Stock Plan. |
There is no concept of good reason in her employment agreement.
Estimated Benefits Upon Termination
The following table shows potential payments to our named executive officers under existing contracts, agreements, plans or arrangements, whether written or unwritten, for various scenarios involving a termination of employment, assuming a September 27, 2013 termination date and using the appraisal price of our common stock ($16.88) as of September 27, 2013. The named executive officers would also be eligible to receive their accrued deferred compensation (see Nonqualified Deferred Compensation for Fiscal Year 2013), which does not automatically accelerate upon a change of control. Certain of the named executive officers have optional life insurance for which they pay 100% of the premium.
132
This table shows amounts that would be payable under existing employment and post-employment competition and other agreements.
Name |
Retirement $ | Death(4) $ | Disability $ | Termination w/out cause (5) $ |
Change of Control (6) $ |
|||||||||||||||
Foss(7) |
||||||||||||||||||||
Cash Payment (Lump Sum) |
| 2,000,000 | | 2,085,750 | 2,085,750 | |||||||||||||||
Cash Payment (Over Time) |
| | | 6,831,000 | 6,952,500 | |||||||||||||||
Vested Stock Options(1) |
| 1,080,250 | 1,080,250 | 1,080,250 | 1,080,250 | |||||||||||||||
Unvested Stock Options, Restricted Stock and RSUs(2) |
| 2,732,698 | 2,732,698 | 1,613,113 | 9,850,543 | |||||||||||||||
Perquisites(3) |
| | | 76,602 | 367,722 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
| 5,812,948 | 3,812,948 | 11,686,715 | 20,336,765 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Sutherland(8) |
||||||||||||||||||||
Cash Payment (Lump Sum) |
| 1,000,000 | | | 659,200 | |||||||||||||||
Cash Payment (Over Time) |
| 4,032,000 | | 1,236,000 | 7,038,374 | |||||||||||||||
Vested Stock Options(1) |
14,472,448 | 14,472,448 | 14,472,448 | 14,472,448 | 14,472,448 | |||||||||||||||
Unvested Stock Options, Restricted Stock and RSUs(2) |
1,114,380 | 1,114,380 | 1,114,380 | | 1,701,016 | |||||||||||||||
Perquisites(3) |
| | | 43,377 | 277,555 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
15,586,828 | 20,618,828 | 15,586,828 | 15,751,825 | 24,148,593 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
McKee(9) |
||||||||||||||||||||
Cash Payment (Lump Sum) |
| 1,500,000 | | | 515,000 | |||||||||||||||
Cash Payment (Over Time) |
| 3,040,625 | | 965,625 | 5,473,471 | |||||||||||||||
Vested Stock Options(1) |
| 9,273,696 | 9,273,696 | 9,273,696 | 9,273,696 | |||||||||||||||
Unvested Stock Options, Restricted Stock and RSUs(2) |
| 814,630 | 814,630 | | 1,528,016 | |||||||||||||||
Perquisites(3) |
| | | 20,872 | 159,970 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
| 14,628,951 | 10,088,326 | 10,260,193 | 16,950,153 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Reynolds(10) |
||||||||||||||||||||
Cash Payment (Lump Sum) |
| 2,000,000 | | | 400,000 | |||||||||||||||
Cash Payment (Over Time) |
| | | 500,000 | 2,300,000 | |||||||||||||||
Vested Stock Options(1) |
| 7,435 | 7,435 | 7,435 | 7,435 | |||||||||||||||
Unvested Stock Options, Restricted Stock and RSUs(2) |
| 259,468 | 259,468 | | 1,030,437 | |||||||||||||||
Perquisites(3) |
| | | 34,988 | 161,243 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
| 2,266,903 | 266,903 | 542,423 | 3,899,115 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Morrison(11) |
||||||||||||||||||||
Cash Payment (Lump Sum) |
| 2,000,000 | | | | |||||||||||||||
Cash Payment (Over Time) |
| | | 250,000 | 250,000 | |||||||||||||||
Vested Stock Options(1) |
| | | | | |||||||||||||||
Unvested Stock Options, Restricted Stock and RSUs(2) |
| 191,515 | 191,515 | | 766,060 | |||||||||||||||
Perquisites(3) |
| | | 17,760 | 17,760 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
| 2,191,515 | 191,515 | 267,760 | 1,033,820 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Represents vested stock options as of the end of the fiscal year. Calculations with regard to stock options are based upon the most recent appraisal price of our common stock ($16.88) as of September 27, 2013. Vested stock options are included in the table due to the fact that absent the events set forth in the table, the named |
133
executive officers would not have been able to gain any liquidity as of September 27, 2013 from any of the stock they would receive upon exercising vested options. |
(2) | Represents unvested stock options, restricted stock and restricted stock units that would vest upon the occurrence of the specified event. Calculations with regard to stock options, restricted stock and restricted stock units are based upon the most recent appraisal price of our common stock ($16.88) as of September 27, 2013. |
(a) Only Mr. Sutherland has attained the eligible retirement age of 60 under the 2007 Stock Plan. Therefore, the accelerated vesting for equity awards on retirement would apply only to Mr. Sutherland.
(b) In the case of death or disability of any named executive officer, amounts were calculated assuming that all time-based options, restricted stock and restricted stock units scheduled to vest in fiscal 2014 vest and the performance-based options granted in 2009, 2010, 2011 and 2012 that were scheduled to vest based upon the achievement of the 2013 EBIT target would vest.
(c) Unvested stock option amounts (which apply to options not yet vested) on a change of control for named executive officers assume that unvested performance-based options scheduled to vest based upon the achievement on the 2013 EBIT target that were granted in 2009 and 2010 vest at a rate of 50%, which is the blended achieved rate for the vesting of performance-based stock options based on the 2010, 2011, 2012 and 2013 EBIT targets. Stock option amounts on a change of control for named executive officers assume that unvested performance-based options scheduled to vest based upon the achievement on the 2013 EBIT target that were granted in 2011 vest at a rate of 67%, which is the achieved rate for the vesting of performance-based stock options based on the 2011, 2012 and 2013 EBIT targets. Stock option amounts on a change of control for named executive officers assume that unvested performance-based options scheduled to vest based upon the achievement on the 2013 EBIT target that were granted in 2012 vest at a rate of 100% which is the achieved rate for the vesting of performance-based stock options based on the 2013 EBIT target. Assumes that other events that would trigger vesting of performance-based options do not occur, including the achievement of a return or internal rate of return by our Sponsors. See Grants of Plan Based Awards for Fiscal Year 2013 and Narrative Disclosure to Summary Compensation Table and Grants of Plan Based Awards Table. Unvested time based stock options, restricted stock and restricted stock units would become fully vested upon a change of control and such full vesting is reflected in the table.
(3) | The following assumptions were used in our calculation of the cost of perquisites in connection with termination of employment: a 5% increase annually for health insurance premiums, dental insurance premiums, vision insurance premiums and excess health, with 2013 used as the base year, and no increase annually for life and accident insurance premiums. |
(4) | Includes amounts payable under the Survivor Income Protection Plan (for Mr. Sutherland and Ms. McKee), various term life insurance policies and accidental death and dismemberment policies for which we pay all or part of the premium, which amounts are reflected in the Summary Compensation Table. |
(5) | For Mr. Foss, the Termination Without Cause column means termination without cause or resignation for Good Reason (as defined in his employment arrangements) prior to a change of control. |
(6) | Cash payments and perquisites included in this column will only be paid to or received by the named executive officers if they are terminated following the change of control. |
(7) | Included in Mr. Foss perquisites: (a) in the case of termination without cause, are basic medical and life insurance coverage and a car allowance over a 24-month severance period; and (b) in the case of a change of control, are health care, accident, disability and survivor insurance premiums for two years and a car allowance for 24-months, as well as outplacement benefits of 20% of his base salary for 24 months. Mr. Foss would incur excise tax if a change of control of the Company had occurred on September 27, 2013, as his payout would be considered a parachute payment. He is not entitled to a 280G gross up, but under the terms of his employment agreement, if his payout on a change of control would be considered a parachute payment, we would reduce his payments if that reduction (to avoid the excise tax) would result in him receiving a greater after tax amount than he would have received had he been paid the full amount and then paid the excise tax. If Mr. Foss would receive a greater after tax amount if his payout were cut back to avoid the excise tax, his payments on change of control would be reduced. In the event that Mr. Foss payments were considered parachute payments, the Company would lose the tax deduction for all amounts it paid to Mr. Foss above the base amount as defined in the Internal Revenue Code. |
134
(8) | (a) Only Mr. Sutherland has attained the eligible retirement age of 60 under the 2007 Stock Plan. Therefore, the accelerated vesting for equity awards on retirement would apply only to Mr. Sutherland. |
(b) Included in the amount paid to Mr. Sutherland over time upon a change of control is $2,835,974 which is the gross up amount to compensate him for excise tax imposed.
(c) Included in Mr. Sutherlands perquisites: (i) in the case of termination without cause, are basic medical and life insurance coverage and a car allowance over an 18-month severance period; and (ii) in the case of a change of control, are health care, accident, disability and survivor insurance premiums for two years, a car allowance for eighteen months and outplacement benefits of 20% of his base salary.
(9) | (a) Included in the amount paid to Ms. McKee over time upon a change of control is $2,190,346 which is the gross up amount to compensate her for excise tax imposed. |
(b) Included in Ms. McKees perquisites: (i) in the case of termination without cause, are basic life insurance coverage and a car allowance over an 18-month severance period; and (ii) in the case of a change of control, are health care, accident, disability and survivor insurance premiums for two years, a car allowance for 18 months, as well as outplacement benefits of 20% of her base salary.
(10) | (a) Mr. Reynolds would incur excise tax if a change of control of the Company had occurred on September 27, 2013, as his payout would be considered a parachute payment. He is not entitled to a 280G gross up, but under the terms of his employment agreement, if his payout on a change of control would be considered a parachute payment, we would reduce his payments if that reduction (to avoid the excise tax) would result in him receiving a greater after tax amount than he would have received had he been paid the full amount and then paid the excise tax. If Mr. Reynolds would receive a greater after tax amount if his payout were cut back to avoid the excise tax, his payments on change of control would be reduced. In the event that Mr. Reynolds payments were considered parachute payments, the Company would lose the deduction for all amounts it paid to Mr. Reynolds above the base amount as defined in the Internal Revenue Code. |
(b) Included in Mr. Reynolds perquisites: (i) in the case of termination without cause, are basic medical and life insurance coverage and a car allowance over a 12-month severance period; and (ii) in the case of a change of control, are health care, accident, disability and survivor insurance premiums for two years, a car allowance for 12 months, and outplacement benefits of 20% of his base salary.
(11) | Included in Ms. Morrisons perquisites, in the case of termination without cause, are basic medical and life insurance coverage and receipt of a car allowance over a 26-week severance period. |
Amended and Restated Senior Executive Performance Bonus Plan
In connection with the initial public offering, on November 12, 2013, the Board of Directors adopted, and the stockholders approved, the Amended and Restated ARAMARK Holdings Corporation Senior Executive Performance Bonus Plan (the Amended Performance Bonus Plan). The Amended Performance Bonus Plan is intended to provide for annual bonus awards for the Chief Executive Officer and other senior executives designated by the compensation committee administering the plan. The compensation committee will administer the plan and establish in writing the amount of the bonus award and the performance measure or measures for each participant not later than 90 days after the beginning of any performance period (or prior to the expiration of 25% of the performance period, if the performance period is less than 12 months). The Amended Performance Bonus Plan will be effective through the first meeting of the stockholders of the Company occurring in 2017. The compensation committee may amend the Amended Performance Bonus Plan from time to time as it deems desirable; provided, that no such amendment may, without stockholder approval, increase the scope of the group of employees who may receive compensation, change the permitted performance measures, increase the maximum bonus award payable or make any other change requiring further stockholder approval under Section 162(m).
The bonus award will be based on the attainment of target levels of, a targeted percentage increase in, or, to the extent permitted under Section 162(m), solely the achievement of, one or more of the following measures (which may be expressly modified by the compensation committee with respect to the relevant performance period): (1) earnings before interest and taxes, (2) return on net assets, (3) net income, (4) after tax return on
135
investment, (5) sales, (6) revenues, (7) earnings per share, (8) total shareholder return, (9) return on equity, (10) return on investment, (11) total business return, (12) return on gross investment, (13) operating cash flow, (14) free cash flow, (15) operating income, (16) pretax income or (17) stock price appreciation. The measures may be based on our absolute performance or our performance relative to a peer group or other external measure of selected performance. In all events, the performance measures will be established in a manner intended to comply with the requirements of Section 162(m).
A participant in the Amended Performance Bonus Plan is only entitled to the award if the performance goals are attained and if such participant is employed by the Company or one of its subsidiaries on the last day of the applicable performance period. An award pursuant to the Amended Performance Bonus Plan is payable in the form of cash or settled shares of common stock, restricted stock units that are settled in common stock or a combination thereof, with any stock-based awards settled under the 2013 Stock Plan. The maximum bonus payment for any participant in respect of any performance period that is established as the fiscal year of the Company under the Amended Performance Bonus Plan is $6,000,000. In addition, the compensation committee may, in its discretion, pay to any participant under the Amended Performance Bonus Plan an additional, discretionary bonus award in respect of any performance period, whether or not based on achievement of performance measures in an amount not to exceed $6,000,000 to any participant in any one fiscal year.
Fifth Amended and Restated 2007 Management Stock Incentive Plan
We established the 2007 Stock Plan, which became effective on January 25, 2007, as amended and restated from time to time. In connection with the initial public offering, on November 12, 2013, our board of directors adopted, and our stockholders approved, the fifth amendment and restatement of the 2007 Stock Plan, to be effective December 1, 2013. The purpose of the 2007 Stock Plan was to further our growth and success by enabling directors, employees and consultants of the Company and its affiliates to acquire shares of our common stock thereby increasing their personal interest in such growth and success and to provide a means of rewarding outstanding performance by such persons to the Company and its affiliates. Prior to the effective date of the initial public offering, the Company granted awards under the 2007 Stock Plan to directors and employees of, or consultants to, the Company or any of its affiliates, which awards included nonqualified stock options, restricted shares of common stock, the opportunity to purchase shares of common stock, and other stock-based awards. Other than certain grants expected to be made in connection with the initial public offering, shortly after the consummation of the initial public offering, no further awards will be granted under the 2007 Stock Plan.
Share Reserve. Subject to the adjustment provisions in the 2007 Stock Plan described further below, the aggregate number of shares of Common Stock reserved under the 2007 Stock Plan is 55,797,497. To the extent an award is forfeited, cancelled, redeemed, terminated or expires unexercised, the number of shares of Common Stock subject to such award would become available again for grant under the 2007 Stock Plan, if any future grants were to be contemplated under the 2007 Stock Plan. Shares of Common Stock that are used to pay the exercise price of an award or to satisfy tax withholding obligations, including shares redeemed as part of a net exercise settlement, would also become available for future grants under the 2007 Stock Plan.
Eligibility. Prior to the effective date of the initial public offering, awards were granted only to directors and employees of, or consultants to, the Company or any of its affiliates on the date of the grant. The compensation committee, a sub-committee or other committee of our board of directors appointed pursuant to the 2007 Stock Plan or our board of directors (such committee, the 2007 Plan Committee) is authorized to determine eligibility of particular persons who will receive awards.
Administration. The 2007 Stock Plan is administered by the 2007 Plan Committee. The 2007 Plan Committee is authorized to approve the forms of award agreements, construe and interpret the 2007 Stock Plan and any award agreement, make factual determinations, further define the terms used in the 2007 Stock Plan, and prescribe, amend and rescind rules and regulations relating to the administration of the 2007 Stock Plan. The
136
2007 Plan Committee may also cancel, modify, waive, terminate, accelerate, extend the exercisability or extend the term of any or all outstanding awards, subject to any consent required under the 2007 Stock Plan, and make all other determinations and take such other action as contemplated by or as may be necessary or advisable for the administration of the 2007 Stock Plan, other than the amendment of any Plan provision, which power and authority shall be held by our board of directors and, to the extent applicable, subject to the Stockholders Agreement.
Options. Prior to the effective date of the initial public offering, the 2007 Plan Committee determined whether and to what extent any options were subject to vesting based upon the participants continued service to the Company and its subsidiaries, and/or upon any other basis. The 2007 Plan Committee also determined the exercise price for each option, except that the option must have had an exercise price that was at least equal to the fair market value per share on the date the option was granted.
An option holder may exercise an option granted under the 2007 Stock Plan and pay the option price, to the extent permitted by applicable law and subject to the provisions of the 2007 Stock Plan, (1) in cash, (2) by surrender of shares of common stock with fair market value equal to the option price, (3) pursuant to a net exercise arrangement where a number of shares with a fair market value equal to the exercise price are withheld by us in satisfaction of the exercise price, or (4), in compliance with any cashless exercise program under the 2007 Stock Plan at the time of such exercise.
Other Stock-Based Awards. Prior to the effective date of the initial public offering, the 2007 Plan Committee could, subject to the Stockholders Agreement and the reserved shares limit, grant or sell awards of shares, including awards of restricted stock, purchased stock, and awards that are valued in whole or in part by reference to, or are otherwise based on fair market value of shares, including awards of deferred stock units or restricted stock units. The 2007 Plan Committee also determined terms and conditions of such other stock based awards including, without limitation, vesting conditions, to whom and when other stock-based awards will be made, the number of shares to be awarded and whether such awards may be settled in cash, shares or a combination of cash and shares.
Adjustments Upon Certain Events. In the event of a stock dividend, stock split, reverse stock split, share combination, or recapitalization or similar event affecting the capital structure of the Company, an extraordinary cash dividend, separation, spin-off or a reorganization, or a merger, consolidation, acquisition of property or shares, stock rights offering, liquidation, disaffiliation, or similar event affecting the Company or any of its subsidiaries, the 2007 Plan Committee will act in good faith and make appropriate and equitable substitutions or adjustments, as applicable, to (A) the aggregate number and kind of shares or other securities reserved for issuance and delivery under the 2007 Stock Plan, (B) the number and kind of shares or other securities subject to outstanding awards; (C) performance metrics and targets underlying outstanding awards; and (D) the option exercise price of outstanding options. In the case of a corporate transaction that does not constitute a change of control of us (Change of Control), the 2007 Plan Committee will act in good faith and make appropriate and equitable substitutions or adjustments which may include, without limitation, (1) the cancellation of outstanding awards in exchange for the same amount and kind of consideration, in the same proportion, as that received by each of our sponsors; and (2) the substitution of other property for the shares subject to outstanding awards.
In the case of a corporate transaction that does constitute a Change of Control, unless a participant agrees otherwise with respect to his own awards, then all outstanding awards will be cancelled in exchange for, on a per share basis, the same amount and kind of consideration, in the same proportion as that received by each of our Sponsors.
In the event of an extraordinary cash distribution on our shares, the option exercise price of each option will be reduced by the amount of such cash distribution, but only to the extent permitted without subjecting such option to tax under Section 409A of the Internal Revenue Code. If the adjustment amount exceeds the reduction permitted without subjecting such option to Section 409A of the Internal Revenue Code, then, if and when the option becomes a vested option, the holder thereof may receive, in addition to the shares subject to such option, an amount in cash or in the form of additional shares having a value equal to such excess.
137
Limitations on Transferability. Generally, awards granted under the 2007 Stock Plan are not assignable or otherwise transferable, except by designation of a beneficiary in compliance with any applicable laws, by will or by the laws of descent and distribution.
Amendment and Termination. The 2007 Stock Plan may be modified or amended in any respect by our board of directors or by the 2007 Plan Committee with the prior approval of our board of directors, except that the 2007 Stock Plan may not be modified or amended as it pertains to any existing award agreement without the consent of an applicable participant where such modification or amendment would materially impair the rights of such participant. In addition, no such amendment may be made without the approval of the Companys stockholders to the extent such approval is required by applicable law or regulation or the listing standards of the securities exchange, which is, at the applicable time, the principal market for our common stock.
2013 Stock Incentive Plan
In connection with the initial public offering, on November 12, 2013, our board of directors adopted, and, our stockholders approved, the ARAMARK Holdings Corporation 2013 Stock Incentive Plan (the 2013 Stock Plan) to be effective December 1, 2013.
Purpose. The purpose of the 2013 Stock Plan is to provide a means through which to attract and retain key personnel and to provide a means whereby our current and prospective directors, officers, employees, consultants and advisors can acquire and maintain an equity interest in us, or be paid incentive compensation, which may (but need not) be measured by reference to the value of our common stock, thereby strengthening their commitment to our welfare and aligning their interests with those of our stockholders.
Administration. The 2013 Stock Plan will be administered by the compensation committee of our board of directors, a sub-committee or other committee of our board of directors as may be appointed pursuant to the 2013 Stock Plan or our board of directors (as applicable, the 2013 Plan Committee). The 2013 Plan Committee has the sole and plenary authority to establish the terms and conditions of any award and any amendments thereto consistent with the provisions of the 2013 Stock Plan. The 2013 Plan Committee is authorized to interpret, administer, reconcile any inconsistency in, correct any defect in and/or supply any omission in the 2013 Stock Plan and any instrument or agreement relating to, or any award granted under, the 2013 Stock Plan; establish, amend, suspend, or waive any rules and regulations and appoint such agents as the 2013 Plan Committee deems appropriate for the proper administration of the 2013 Stock Plan; accelerate the vesting or exercisability of, payment for or lapse of restrictions on awards; and to make any other determination and take any other action that the 2013 Plan Committee deems necessary or desirable for the administration of the 2013 Stock Plan.
Shares Subject to the 2013 Stock Plan. The 2013 Stock Plan provides that the total number of shares of common stock that may be issued under the 2013 Stock Plan is 25,500,000. Of this amount, no more than 2,000,000 shares of common stock may be issued upon the exercise of incentive stock options; no more than 2,000,000 shares of common stock issuable upon the exercise of options or stock appreciation rights may be granted to any single participant during any calendar year; no more than 800,000 shares of common stock may be earned by any single participant in respect of a single calendar year during a performance period or in the event any such award is paid in cash, other securities or other property, no more than the fair market value of 800,000 shares of common stock on the last day of the performance period to which such award relates; and the maximum amount that can be paid to any single participant in any one calendar year pursuant to a cash bonus award is $8,000,000. To the extent an award is forfeited, cancelled, redeemed, terminated or expires unexercised, the number of shares of common stock subject to such award will become available again for grant under the 2013 Stock Plan. Shares of common stock that are used to pay the exercise price of an award or to satisfy tax withholding obligations, including shares redeemed as part of a net exercise settlement, will become available for future grant under the 2013 Stock Plan.
Awards may, in the sole discretion of the 2013 Plan Committee, be granted in assumption of, or in substitution for, outstanding awards previously granted by an entity acquired by us or with which we combine
138
(referred to as substitute awards). The number of shares of common stock underlying any substitute awards will not be counted against the total number of shares of common stock available for awards under the 2013 Stock Plan. No award may be granted under the 2013 Stock Plan during any suspension of the 2013 Stock Plan or after the tenth anniversary of the effective date (as defined therein), but awards theretofore granted may extend beyond that date.
Options. The 2013 Plan Committee may grant non-qualified stock options and incentive stock options, under the 2013 Stock Plan. All stock options granted under the 2013 Stock Plan are required to have a per share exercise price that is not less than 100% of the fair market value of our common stock underlying such stock options on the date the option is granted, and all stock options that are intended to qualify as incentive stock options must be granted pursuant to an award agreement expressly stating that the option is intended to qualify as an incentive stock option, and will be subject to the terms and conditions that comply with the rules as may be prescribed by Section 422 of the Internal Revenue Code. The maximum term for stock options granted under the 2013 Stock Plan will be ten years from the initial date of grant, or five years with respect to any stock options intended to qualify as incentive stock options granted to a participant who owns stock representing more than 10% of the voting power of all classes of stock of us or any of our affiliates.
The purchase price for the shares as to which a stock option is exercised may be paid to us, to the extent permitted by law and subject to the limitations set forth in the 2013 Stock Plan: (i) in cash, (ii) by surrender of shares of common stock having a fair market value equal to the aggregate exercise price for the shares being purchased, (iii) through a net exercise arrangement where a number of shares with a fair market value equal to the exercise price is withheld by us in satisfaction of the exercise price and tax withholding obligations; (iv) in other property having a fair market value on the date of exercise equal to the purchase price; (v) through the delivery of irrevocable instructions to a broker to sell the shares being acquired upon the exercise of the stock option and to deliver to us the amount of the proceeds of such sale equal to the aggregate exercise price for the shares being purchased, or (vi) a combination of the foregoing methods. Any fractional shares of common stock will be settled in cash.
Stock Appreciation Rights. The 2013 Plan Committee may grant stock appreciation rights under the 2013 Stock Plan. Generally, each stock appreciation right will entitle the participant upon exercise to an amount (in cash, shares or a combination of cash and shares, as determined by the 2013 Plan Committee) equal to the product of (i) the excess of (A) the fair market value on the exercise date of one share of common stock, over (B) the strike price per share, times (ii) the numbers of shares of common stock covered by the stock appreciation right being exercised. The strike price per share of a stock appreciation right granted in tandem with an option will be the exercise price of the related option and in the case of a stock appreciation right granted independent of an option, the fair market value on the date of grant (other than in the case of stock appreciation rights granted in substitution of previously granted awards).
Restricted Shares and Restricted Stock Units. The 2013 Plan Committee may grant restricted shares of our common stock or restricted stock units, representing the right to receive, upon the expiration of the applicable restricted period, one share of common stock for each restricted stock unit, or, if provided in a restricted stock unit award agreement, in the sole discretion of the 2013 Plan Committee, the cash value thereof (or any combination thereof). As to restricted shares of our common stock, subject to the other provisions of the 2013 Stock Plan, the holder will generally have the rights and privileges of a stockholder as to such restricted shares of common stock, including without limitation the right to vote such restricted shares of common stock. A holder of restricted stock units will have no rights as a stockholder until such time as the award has vested and any other applicable conditions and/or criteria have been satisfied and the shares of common stock underlying the award have been issued to the holder.
Stock Bonus Awards. The 2013 Plan Committee may issue unrestricted common stock, or other awards denominated in shares of common stock, either alone or in tandem with other awards, under the 2013 Stock Plan.
139
Deferred Stock Units. The 2013 Plan Committee may grant deferred stock units under the 2013 Stock Plan. Generally, each deferred stock unit will entitle the holder thereof to receive one share of common stock on the date the deferred stock unit becomes vested or upon a specified settlement date thereafter (which settlement date may, but is not required to, be the date of the participants termination of relationship). A holder of deferred stock units will have no rights as a stockholder until such time as the award has vested and any other applicable conditions and/or criteria have been satisfied and the shares of common stock underlying the award have been issued to the holder.
Dividend Equivalents. The 2013 Plan Committee may grant dividend equivalents based on dividends declared on the common stock, to be credited as of the dividend payment dates during the period between the date an award is granted to a participant and the date such award vests, is exercised, is distributed or expires, as determined by the 2013 Plan Committee. Such dividend equivalents will be converted to cash, additional awards or additional shares of common stock by such formula and at such time and subject to such limitations as may be determined by the 2013 Plan Committee.
Performance Compensation Awards. The 2013 Plan Committee may also designate any award as a performance compensation award intended to qualify as performance-based compensation under Section 162(m) of the Internal Revenue Code. The 2013 Plan Committee also has the authority to make an award of a cash bonus to any participant and designate such award as a performance compensation award under the 2013 Stock Plan. The 2013 Plan Committee has sole discretion to select the length of any applicable performance periods, the types of performance compensation awards to be issued, the applicable performance criteria and performance goals, and the kinds and/or levels of performance goals that are to apply. The performance criteria that will be used to establish the performance goals will be based on the attainment of target levels of, a targeted percentage increase in, or, to the extent permitted under Section 162(m) of the Internal Revenue Code, solely the achievement of, one or more of the following Company or business group measures (which may be expressly modified by the 2013 Plan Committee with respect to the relevant performance period): (i) earnings before interest and taxes, (ii) return on net assets, (iii) net income, (iv) after tax return on investment, (v) sales, (vi) revenues, (vii) earnings per share, (viii) total shareholder return, (ix) return on equity, (x) return on investment, (xi) total business return, (xii) return on gross investment, (xiii) operating cash flow, (xiv) free cash flow, (xv) operating income, (xvi) pretax income or (xvii) stock price appreciation. The measures may be based on our absolute performance or our performance relative to a peer group or other external measure of selected performance. The 2013 Plan Committee also has the authority to provide for accelerated vesting of any award based on the achievement of performance goals pursuant to the performance criteria specified above. To the extent required under Section 162(m) of the Internal Revenue Code, the 2013 Plan Committee will, within the first ninety (90) days of a performance period (or, if longer or shorter, within the maximum period allowed under Section 162(m) of the Internal Revenue Code), define in an objective fashion the manner of calculating the performance criteria it selects to use for such performance period and thereafter promptly communicate such performance criteria to the participant and record them in writing.
Change in Capital Structure and Similar Events. In the event of (a) any dividend, extraordinary cash dividend or other distribution (whether in the form of securities or other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, split-off, combination, repurchase or exchange of our shares of common stock or other securities, issuance of warrants or other rights to acquire our shares of common stock or other securities, or other similar corporate transaction or event (including, without limitation, a change of control, as defined in the 2013 Stock Plan) that affects the shares of common stock, or (b) unusual or nonrecurring events (including, without limitation, a change of control) affecting us, any of our affiliates, or the financial statements of us or any of our affiliates, or changes in applicable rules, rulings, regulations or other requirements of any governmental body or securities exchange or inter-dealer quotation system, accounting principles or law, such that in either case an adjustment is determined by the 2013 Plan Committee in its sole discretion to be necessary or appropriate, then the 2013 Plan Committee must make any such adjustments in such manner as it may deem equitable, including without limitation, any or all of: (i) adjusting any or all of (A) the number of our shares of common stock or other securities which may be delivered in respect of awards or with
140
respect to which awards may be granted under the 2013 Stock Plan and (B) the terms of any outstanding award, including, without limitation, (1) the number of shares of common stock subject to outstanding awards or to which outstanding awards relate, (2) the exercise price or strike price with respect to any award or (3) any applicable performance measures; (ii) providing for a substitution or assumption of awards, accelerating the exercisability of, lapse of restrictions on, or termination of, awards or providing for a period of time for participants to exercise outstanding awards prior to the occurrence of such event; and (iii) cancelling any one or more outstanding awards and causing to be paid to the holders, in cash, shares of common stock, other securities or other property, or any combination, the value of such awards, if any, as determined by the 2013 Plan Committee (which if applicable may be based upon the price per share of common stock received or to be received by other stockholders of the Company in such event), including without limitation, in the case of options and stock appreciation rights, a cash payment equal to the excess, if any, of the fair market value of the shares of common stock subject to the option or stock appreciation right over the aggregate exercise price thereof.
Effect of Change of Control. Except to the extent otherwise provided in an award agreement, in the event of (i) the occurrence of a change of control of us (Change of Control) and (ii) thereafter, there is a termination of relationship of a participant by us without cause or by the participant for good reason (if applicable) that occurs prior to the second anniversary of the date of such Change of Control, then notwithstanding any provision of the 2013 Stock Plan to the contrary, with respect to all or any portion of the participants outstanding award or awards: (a) the then outstanding options and stock appreciation rights will become immediately exercisable on the date of the termination of relationship; (b) the period of restriction applicable to awards will expire as on the date of the termination of relationship (including without limitation a waiver of any applicable performance goals); (c) performance periods in effect on the date the termination of relationship will end on such date, and all applicable performance goals will be deemed to have been achieved at the applicable target levels of performance; and (d) all awards that have been previously deferred to be settled in full as soon as practicable, but if and only if, with respect to an award which provides for the deferral of compensation and is subject to Section 409A of the Internal Revenue Code, (I) such termination of relationship occurs prior to the second anniversary of the Change of Control and (II) such settlement does not contradict any pre-existing deferral election under any other plan, program or arrangement of the Company or any of its Affiliates then in effect.
Nontransferability of Awards. An award will not be transferable or assignable by a participant except by will or by the laws of descent and distribution and any such purported assignment, alienation, pledge, attachment, sale, transfer or encumbrance will be void and unenforceable against us or any affiliate. However, the 2013 Plan Committee may, in its sole discretion, permit awards (other than incentive stock options) to be transferred, including transfer to a participants family members, any trust established solely for the benefit of participant or such participants family members, any partnership or limited liability company of which participant, or participant and participants family members, are the sole member(s), and a beneficiary to whom donations are eligible to be treated as charitable contributions for tax purposes.
Amendment and Termination. Our board of directors may amend, alter, suspend, discontinue, or terminate the 2013 Stock Plan or any portion thereof at any time, except that no such amendment, alteration, suspension, discontinuation or termination may be made without stockholder approval if such approval is necessary to comply with any applicable tax or regulatory requirement (including the rules or requirements of any securities exchange or inter-dealer quotation system on which our shares may be listed). In addition, any such amendment, alteration, suspension, discontinuance or termination that would materially and adversely affect the rights of any participant or any holder or beneficiary of any award will not to that extent be effective without such individuals consent.
Plan Duration and 162(m) Approval. The 2013 Stock Plan will expire on the tenth anniversary of the effective date of the plan, and no awards may be granted after such expiration, but the terms of the 2013 Stock Plan will continue to apply to previously granted awards. If determined by the 2013 Plan Committee, the 2013 Stock Plan will be approved by stockholders of the Company no later than the first meeting of stockholders at
141
which directors are to be elected that occurs after the close of the third calendar year following the calendar year in which the effective date of this offering occurs, in order for certain awards granted after such time to be exempt from deduction limitations of Section 162(m) of the Internal Revenue Code.
Claw-back Provisions. All awards (including any proceeds, gains or other economic benefit actually or constructively received by the participant in respect of such awards) will be subject to the provisions of any claw-back policy implemented by the Company or set forth in the applicable award agreement, including, without limitation, any claw-back policy adopted to comply with the requirements of applicable law, such as the Dodd-Frank Wall Street Reform and Consumer Protection Act.
Director Compensation
Annual Cash Compensation for Board Service
Each non-employee, non-Sponsor director receives $100,000 annually for service on the board, payable quarterly in arrears. The chairman of the Audit Committee is eligible to receive an additional annual retainer of $20,000, the chairman of the Compensation Committee is eligible to receive an additional annual retainer of $15,000 and the chairmen of the Nominating and Corporate Governance Committee and the Finance Committee are eligible to receive an additional annual retainer of $10,000, provided, in each case, that such committee chairmen are non-employee, non-Sponsor directors. Mr. Ksansnak currently is the only committee chairman who receives an additional annual retainer ($20,000), since he is the only non-employee, non-Sponsor director who chairs a standing committee. In the first quarter of fiscal 2013, Messrs. Babbio (Finance Committee), Robert J. Callander (Compensation Committee), Kean (Nominating Committee) and Ksansnak (Audit Committee) each received additional fees for chairing board committees.
Following the initial public offering, each member of the board who is not an employee of the Company will be entitled to receive an annual cash retainer of $100,000, including the Sponsor directors. Following the initial public offering, the Nominating and Corporate Governance Committee chairman will be entitled to receive an annual cash retainer of $15,000, rather than the current annual cash retainer of $10,000. While Sponsor directors will become eligible to receive annual board retainer fees following the offering, they will not be eligible for committee chair fees.
Annual Deferred Stock Unit Grant
Each non-employee, non-Sponsor director received an annual grant of $100,000 worth of deferred stock units (DSUs) under the 2007 Stock Plan, which vest immediately upon grant. DSUs granted in fiscal 2013 are deliverable to a director in shares of our common stock six months after his service as a director terminates.
Beginning in February 2014, each member of the board who is not an employee of the Company will receive an annual grant of $125,000 worth of DSUs under the 2013 Stock Plan. These DSUs will vest on the first anniversary of the date of grant, subject to the directors continued service on the board of directors through the vesting date, and will be settled in shares of the Companys common stock on the first day of the seventh month following termination of service. Directors who are appointed to the board during the year will be entitled to a prorated DSU grant.
Director Deferred Compensation Plan
Prior to our 2007 Transaction, our non-employee directors could participate in our Deferred Compensation Plan for Directors, electing to receive all or part of an annual cash retainer in the form of deferred shares and/or deferred cash. We credit amounts deferred with interest at the Moodys Long Term Corporate Baa Bond Index rate for October of the previous year; which was 4.58% beginning January 1, 2013. From September 29, 2012 until December 31, 2012, we credited amounts deferred with an interest rate equal to 5.37%. This plan was frozen in 2007 and only Governor Kean retains a balance, which accrues interest.
142
Health and Welfare Premiums
Current non-employee, non-Sponsor directors are eligible to participate in the Companys health and welfare programs, for which the Company pays a portion of the premiums. The Company discontinued providing the benefit for new directors in May 2012, but grandfathered the benefit for then-serving non-employee, non-Sponsor directors who continue to serve on our board.
Effective December 31, 2013, non-employee, non-Sponsor directors will no longer be eligible to participate in the Companys health and welfare plans.
Non-Employee, Non-Sponsor Directors
The following table sets forth compensation information for our non-employee, non-Sponsor directors in fiscal 2013. Mr. Callander retired from our Board effective January 1, 2013 and Governor Kean did not stand for re-election in November 2013.
Director Compensation
Name |
Fees Earned or Paid in Cash ($)(1) |
Stock Awards ($)(2) |
Change in Pension Value and Nonqualified Deferred Compensation Earnings($)(3) |
All Other Compensation ($)(4) |
Total ($) | |||||||||||||||
Lawrence T. Babbio, Jr. |
105,000 | 99,997 | | | 204,997 | |||||||||||||||
Robert J. Callander |
28,750 | | | 2,267 | 31,017 | |||||||||||||||
Leonard S. Coleman, Jr. |
100,000 | 99,997 | | 13,333 | 213,330 | |||||||||||||||
Thomas H. Kean |
105,000 | 99,997 | 460 | 9,066 | 214,523 | |||||||||||||||
James E. Ksansnak |
120,000 | 99,997 | | 9,066 | 229,063 |
(1) | Includes base director fees of $100,000, as well as chair fees as follows: for Messrs. Babbio and Kean, $5,000 in chair fees for serving as chairman of the Finance Committee and Nominating Committee, respectively, for Mr. Callander, $3,750 in chair fees for serving as the chairman of the Compensation Committee, and for Mr. Ksansnak, $20,000 in chair fees for serving as chairman of the Audit Committee (amounts have been prorated to reflect the portion of fiscal 2013 that Messrs. Babbio, Calendar and Kean served as Chairmen of committees). |
(2) | Represents the aggregate grant date fair value computed in accordance with FASB ASC Topic 718 with respect to the DSUs granted on March 2, 2013. As of fiscal year end, Messrs. Babbio, Coleman, Kean and Ksansnak each held 55,584 DSUs. Mr. Callander held no DSUs at 2013 fiscal year-end. For additional information on the valuation assumptions and more discussion with respect to the stock options, refer to Note 10 to the consolidated financial statements appearing elsewhere in this prospectus. |
(3) | Includes amounts earned on deferred compensation in excess of 120% of the applicable federal rate, based upon the above-market return at the time the rate basis was set. |
(4) | Consists of the Companys portion of the premiums for health and welfare benefits for the directors and their families. |
143
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
Holdings owns 100% of the capital stock of ARAMARK Intermediate Holdco Corporation, which owns 100% of the capital stock of ARAMARK Corporation.
The following table sets forth information with respect to the beneficial ownership, as of November 15, 2013, of (i) each individual or entity known by us to own beneficially more than 5% of the shares of our common stock, (ii) each of our named executive officers, (iii) each of our directors and (iv) all of our directors and executive officers as a group. As of November 15, 2013, we had approximately 363 holders of record.
The amounts and percentages of shares beneficially owned are reported on the basis of SEC regulations governing the determination of beneficial ownership of securities. Under SEC rules, a person is deemed to be a beneficial owner of a security if that person has or shares voting power or investment power, which includes the power to dispose of or to direct the disposition of such security. A person is also deemed to be a beneficial owner of any securities of which that person has a right to acquire beneficial ownership within 60 days. Securities that can be so acquired are deemed to be outstanding for purposes of computing such persons ownership percentage, but not for purposes of computing any other persons percentage. Under these rules, more than one person may be deemed to be a beneficial owner of the same securities and a person may be deemed to be a beneficial owner of securities as to which such person has no economic interest.
Except as otherwise indicated in the footnotes below, each of the beneficial owners has, to our knowledge, sole voting and investment power with respect to the indicated shares. Unless otherwise noted, the address of each beneficial owner is ARAMARK Holdings Corporation, ARAMARK Tower, 1101 Market Street, Philadelphia, Pennsylvania 19107.
Name of Beneficial Owner |
Beneficial Ownership of ARAMARK Holdings Corporation Common Stock(1) |
Percentage of ARAMARK Holdings Corporation Common Stock(2) |
||||||
Principal Stockholders: |
||||||||
GS Capital Partners(3) |
39,865,672 | 17.35 | % | |||||
CCMP Capital Investors(4) |
19,932,836 | 8.67 | ||||||
J.P. Morgan Partners(5) |
19,932,836 | 8.67 | ||||||
Thomas H. Lee Partners(6) |
39,865,672 | 17.35 | ||||||
Warburg Pincus LLC(7) |
40,711,877 | 17.71 | ||||||
Directors and Named Executive |
||||||||
Joseph Neubauer(8) |
18,058,446 | 7.86 | ||||||
L. Frederick Sutherland(9) |
2,789,040 | 1.21 | ||||||
Lynn B. McKee(10) |
1,249,758 | * | ||||||
Eric J. Foss(11) |
813,168 | * | ||||||
Stephen R. Reynolds(12) |
86,194 | * | ||||||
Christina T. Morrison |
| | ||||||
Todd M. Abbrecht(13) |
| | ||||||
Lawrence T. Babbio, Jr.(14) |
| | ||||||
David A. Barr(7)(15) |
40,711,877 | 17.71 | ||||||
Leonard S. Coleman, Jr.(16) |
| | ||||||
Daniel J. Heinrich |
| | ||||||
James E. Ksansnak(17) |
| | ||||||
Sanjeev Mehra(3) |
39,865,672 | 17.35 | ||||||
Stephen P. Murray(4) |
19,932,836 | 8.67 | ||||||
Stephen Sadove |
| | ||||||
Directors and Executive Officers as a Group (17 Persons)(18) |
23,304,232 | 10.00 |
144
* | Less than one percent or one share, as applicable. |
(1) | Assuming the completion of the initial public offering and the exercise in full of the underwriters option to purchase up to 5,437,500 additional shares of common stock at the initial offering price, less the underwriting discount, from GS Capital Partners, CCMP Capital Partners, J.P. Morgan Partners, Thomas H. Lee Partners, Warburg Pincus LLC and Joseph Neubauer. |
(2) | As of November 15, 2013, we had 201,837,345 shares outstanding. |
(3) | Shares shown as beneficially owned by GS Capital Partners reflect ownership by the following entities: GS Capital Partners V Fund, L.P.; GS Capital Partners V Offshore Fund, L.P.; GS Capital Partners V Institutional, L.P.; and GS Capital Partners V GmbH & Co. KG (collectively, the GS Entities). The GS Entities, of which affiliates of the Goldman Sachs Group, Inc. are the general partner, managing general partner or investment manager, share voting and investment power with certain of its respective affiliates. Mr. Sanjeev Mehra is a Managing Director of Goldman, Sachs & Co. and may be deemed to have beneficial ownership of the shares held by the GS Entities. The Goldman Sachs Group, Inc., Goldman, Sachs & Co. and Mr. Mehra each disclaim beneficial ownership of the shares held directly or indirectly by the GS Entities, except to the extent of its pecuniary interest therein, if any. The address of the GS Entities, the Goldman Sachs Group, Inc., Goldman, Sachs & Co. and Mr. Mehra is c/o The Goldman Sachs Group, 200 West Street, New York, New York 10282. |
(4) | Shares shown as beneficially owned by CCMP Capital Investors reflect ownership by the following entites: CCMP Capital Investors II, L.P.; and CCMP Capital Investors (Cayman) II, L.P. CCMP Capital, LLC is the sole owner of CCMP Capital Associates GP, LLC, which is the general partner of CCMP Capital Associates, L.P., which is the general partner of each of CCMP Capital Investors II, L.P. and CCMP Capital Investors (Cayman) II, L.P. Stephen Murray is President and Chief Executive Officer of CCMP Capital, LLC, and of CCMP Capital Advisors, LLC. Mr. Murray is a member of a CCMP Capital, LLC investment committee that makes voting and disposition decisions with respect to the shares held by the CCMP Capital Investors, and may be deemed to have beneficial ownership of such shares. Mr. Murray disclaims beneficial ownership of the shares held by the CCMP Capital Investors. CCMP Capital Advisors, LLC, pursuant to an agreement with JPMorgan Chase & Co. and J.P. Morgan Partners, LLC, advises J.P. Morgan Partners with respect to certain of its private equity investments, including its investment in the Company. CCMP Capital Advisors, LLC, and its affiliates, including Mr. Murray, disclaims beneficial ownership of the shares owned by J.P. Morgan Partners and its affiliates. The address of the entities listed above and of Mr. Murray is 245 Park Avenue, 16th Floor, New York, New York 10167, except that the address for CCMP Capital Investors (Cayman) II, L.P. is c/o Intertrust Corporate Services (Cayman) Limited, 190 Elgin Avenue, George Town, Grand Cayman KY1-9005, Cayman Islands. |
(5) | Shares shown as beneficially owned by J.P. Morgan Partners reflect ownership by the following entities: (i) J.P. Morgan Partners (BHCA), L.P.; (ii) J.P. Morgan Partners Global Investors, L.P.; (iii) J.P. Morgan Partners Global Investors A, L.P.; (iv) J.P. Morgan Partners Global Investors (Cayman), L.P.; (v) J.P. Morgan Partners Global Investors (Cayman) II, L.P.; (vi) J.P. Morgan Partners Global Investors (Selldown), L.P.; and (vii) J.P. Morgan Partners Global Investors (Selldown) II, L.P. The general partner of J.P. Morgan Partners (BHCA), L.P. is JPMP Master Fund Manager, L.P. The general partner of the entities listed in clauses (ii) through (vii) is JPMP Global Investors, L.P. The general partner of JPMP Master Fund Manager, L.P. and JPMP Global Investors, L.P. is JPMP Capital Corp., a wholly owned subsidiary of JPMorgan Chase & Co., a publicly traded company. J.P. Morgan Securities LLC, an affiliate of J.P. Morgan Partners, is an underwriter of this offering. The address of the J.P. Morgan Partners entities is 270 Park Avenue, 10th Floor, New York, New York 10017, except the address of each Cayman entity is c/o Trident Trust Company (Cayman) Limited, PO Box 847, 4th Floor, One Capital Place, Grand Cayman KY1-1102, Cayman Islands. |
(6) | Shares shown as beneficially owned by investment funds affiliated with Thomas H. Lee Partners, L.P. reflect ownership by the following entities: Thomas H. Lee Equity Fund VI, L.P.; Thomas H. Lee Parallel Fund VI, L.P.; Thomas H. Lee Parallel (DT) Fund VI, L.P.; THL Equity Fund VI Investors (Aramark), LLC; THL Coinvestment Partners, L.P. (collectively, the THL Funds); Putnam Investment Holdings, LLC; and Putnam Investments Employees Securities Company III LLC (collectively, the Putnam Funds). THL Holdco, LLC is the managing member of Thomas H. Lee Advisors, LLC, which is the general partner of Thomas H. Lee Partners, L.P., which is the sole member of THL Equity Advisors VI, LLC, which is the |
145
general partner of Thomas H. Lee Equity Fund VI, L.P., Thomas H. Lee Parallel Fund VI, L.P. and Thomas H. Lee Parallel (DT) Fund VI, L.P. and the manager of THL Equity Fund VI Investors (Aramark), LLC. Thomas H. Lee Partners, L.P. is the general partner of THL Coinvestment Partners, L.P. . The Putnam Funds are co-investment entities of the THL Funds, and are contractually obligated to co-invest (and dispose of securities) alongside certain of the THL Funds on a pro rata basis. Voting and investment determinations with respect to the shares held by the THL Funds are made by the management committee of THL Holdco, LLC. Anthony J. DiNovi and Scott M. Sperling are the members of the management committee of THL Holdco, LLC, and as such may be deemed to share beneficial ownership of the shares held or controlled by the THL Funds. Each of Messrs. DiNovi and Sperling disclaims beneficial ownership of such securities. Putnam Investment Holdings, LLC (Holdings) is the managing member of Putnam Investments Employees Securities Company III LLC (ESC III). Holdings disclaims any beneficial ownership of any shares held by ESC III. Putnam Investments LLC, the managing member of Holdings, disclaims beneficial ownership of any shares held by the Putnam Funds. The address of each of the THL Funds and Messrs. DiNovi and Sperling is c/o Thomas H. Lee Partners, L.P., 100 Federal Street, 35th Floor, Boston, Massachusetts 02110. The address of each of the Putnam Funds is c/o Putnam Investment, Inc., 1 Post Office Square, Boston, Massachusetts 02109. |
(7) | Shares shown as beneficially owned by affiliates of Warburg Pincus LLC, a New York limited liability company (WP LLC) reflect ownership by Warburg Pincus Private Equity IX, L.P., a Delaware limited partnership (WP IX). The general partner of WP IX is Warburg Pincus IX LLC, a New York limited liability company (WP IX LLC). Warburg Pincus Partners LLC, a New York limited liability company (WP Partners), is the sole member of WP IX LLC. Warburg Pincus & Co., a New York general partnership (WP), is the managing member of WP Partners. WP LLC manages WP IX. Charles R. Kaye and Joseph P. Landy are each a Managing General Partner of WP and Co-Chief Executive Officers and Managing Members of WP LLC and may be deemed to control the Warburg Pincus entities, Messrs. Kaye and Landy disclaim beneficial ownership of all shares held by the Warburg Pincus entities. The address of the Warburg Pincus entities and Messrs. Kaye and Landy is 450 Lexington Avenue, New York, New York 10017. |
(8) | Shares shown as beneficially owned by Mr. Neubauer reflect 120,000 shares subject to stock options exercisable as of November 15, 2013, or within 60 days of November 15, 2013. |
(9) | Includes beneficial ownership of shares held by a family limited liability company for which Mr. Sutherland serves as a manager. Shares shown as beneficially owned by Mr. Sutherland reflect 1,440,639 shares subject to stock options exercisable as of November 15, 2013, or within 60 days of November 15, 2013 and 3,390 shares of restricted stock scheduled to vest within 60 days of November 15, 2013. |
(10) | Includes beneficial ownership of shares held by a general partnership for which Ms. McKee serves as a general partner. Shares shown as beneficially owned by Ms. McKee reflect 910,790 shares subject to stock options exercisable as of November 15, 2013, or within 60 days of November 15, 2013 and 3,390 shares of restricted stock scheduled to vest within 60 days of November 15, 2013. |
(11) | Shares shown as beneficially owned by Mr. Foss reflect 448,250 shares subject to stock options exercisable as of November 15, 2013, or within 60 days of November 15, 2013 and 14,250 shares of restricted stock scheduled to vest within 60 days of November 15, 2013. |
(12) | Shares shown as beneficially owned by Mr. Reynolds reflect 84,694 shares subject to stock options exercisable as of November 15, 2013, or within 60 days of November 15, 2013 and 903 shares of restricted stock scheduled to vest within 60 days of November 15, 2013. |
(13) | Does not include shares of common stock held by the THL Funds or the Putnam Funds. Mr. Abbrecht is a member of THL Holdco, LLC, and by virtue of the relationships described in footnote (6) above, may be deemed to share beneficial ownership of the shares held by the THL Funds. Mr. Abbrecht disclaims beneficial ownership of the shares referred to in footnote (5) above. The address for Mr. Abbrecht is c/o Thomas H. Lee Partners, L.P., 100 Federal Street, 35th Floor, Boston, Massachusetts 02110. |
(14) | Does not include 55,584 deferred stock units, which will convert to shares of common stock and be delivered to Mr. Babbio six months following his termination as a director. |
146
(15) | David A. Barr is a Partner of Warburg Pincus & Co. and a Member and Managing Director of Warburg Pincus LLC. Mr. Barr disclaims beneficial ownership of all shares of common stock held by the Warburg Pincus entities. The address for Mr. Barr is c/o Warburg Pincus LLC, 450 Lexington Avenue, New York, NY 10017. |
(16) | Does not include 55,584 deferred stock units, which will convert to shares of common stock and be delivered to Mr. Coleman six months following his termination as a director. |
(17) | Does not include 55,584 deferred stock units, which will convert to shares of common stock and be delivered to Mr. Ksansnak six months following his termination as a director. |
(18) | Does not include shares that may be deemed to be beneficially owned but disclaimed by Mr. Murray, Mr. Barr and Mr. Mehra pursuant to notes 3, 15 and 2, respectively. Shares shown as beneficially owned by Directors and Executive Officers as a group reflect 3,221,828 shares subject to stock options exercisable currently, or within 60 days of November 15, 2013 and 21,933 shares of restricted stock scheduled to vest within 60 days of November 15, 2013. |
147
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
Review of Related Person Transactions
The Board of Directors adopted a written Policy Regarding Transactions with Related Persons, which is administered by our Audit and Corporate Practices Committee (the Audit Committee). This policy applies to any transaction or series of transactions in which the Company or a subsidiary is a participant, the amount involved exceeds $120,000 and a Related Person (as defined in Item 404(a) of SEC Regulation S-K) has a direct or indirect material interest; provided, however, our board of directors has determined that certain transactions not required to be reported pursuant to Item 404(a) of SEC Regulation S-K are not considered to be transactions covered by the Policy. Under the policy, a related person transaction must be reported to the Companys General Counsel and be reviewed and approved or ratified by the Audit Committee in accordance with the terms of the policy, prior to the effectiveness or consummation of the transaction, whenever practicable. The Audit Committee will review all relevant information available to it about the potential related person transaction. The Audit Committee, in its sole discretion, may impose such conditions as it deems appropriate on the Company or the Related Person in connection with the approval of the Related Person Transaction.
Stockholder Arrangements
Stockholders Agreement
In connection with the 2007 Transaction, we entered into a stockholders agreement with Mr. Neubauer, the Sponsors and other management participants, which agreement was amended and restated in connection with our initial public offering (as so amended, the Stockholders Agreement). The Stockholders Agreement contains agreements among the parties with respect to the nomination and election of directors, restrictions on the transfer of shares, informational rights, corporate opportunities, and certain other corporate governance provisions.
Under the Stockholders Agreement, each of GS Capital Partners, CCMP Capital Advisors, Thomas H. Lee Partners, L.P. and Warburg Pincus is entitled to select for nomination one person to serve on our board of directors, which right falls away when such Sponsors share ownership falls below 20% of the original share amount acquired by such Sponsor in connection with the 2007 Transaction (which is equal to the share amount currently held by such Sponsor). In addition, pursuant to the agreement Mr. Neubauer is entitled to serve on our board of directors for as long as he and our employees collectively own 5% or more of outstanding shares on a fully diluted basis and will serve as the chairman of the board until at least the earlier of the first annual meeting of stockholders following our initial public offering or November 30, 2014. Management stockholders are entitled to proportionate director representation based on their aggregate share ownership and Mr. Foss serves as the management stockholders representative. Unless waived, a majority of the Sponsor directors and Mr. Neubauer must be present in order to constitute a quorum for purposes of any meeting of our board of directors.
Stockholders party to the Stockholders Agreement may not transfer shares except pursuant to certain exceptions set forth in the agreement, including to specifically permitted transferees, in a public offering subject to the Registration Rights Agreement (as defined below) or as otherwise approved by the coordination committee established under the Registration Rights Agreement. In addition, under the Stockholders Agreement management stockholders will generally be permitted to sell up to 50% of their shares (including shares underlying stock-based awards) commencing six months following our initial public offering and the remainder of their shares commencing one year following our initial public offering, in each case subject to the companys policies. Management stockholders also may transfer shares to pay an option price or withholding tax in connection with a stock-based award. Mr. Neubauer and certain affiliated stockholders are also entitled to make certain transfers commencing in May 2014 or to cultural or academic not-for-profit institutions. The restrictions on transfer set forth in the Stockholders Agreement are in addition to those set forth in the lock-up agreements entered into in connection with our initial public offering.
148
Registration Rights Agreement
In connection with the 2007 Transaction, we entered into a registration rights agreement with Mr. Neubauer, the Sponsors and other management participants, which agreement was amended and restated in connection with our initial public offering (as so amended, the Registration Rights Agreement). Pursuant to the Registration Rights Agreement, these existing stockholders are entitled to participate in certain offerings of the Companys securities registered under the Securities Act which are initiated by the Company, the Sponsors or Mr. Neubauer, subject to certain exceptions. In addition, under the agreement certain stockholders who hold more than 10% of our then-outstanding shares, or Mr. Neubauer, or the coordination committee (in the case of a shelf registration), have the right to require us to file a registration statement with the SEC for the resale of our common stock following the completion of our initial public offering. The agreement provides to the Sponsors an unlimited number of demand registrations and provides to Mr. Neubauer two demand registrations. In addition, the Sponsors, Mr. Neubauer and, in certain circumstances, some members of senior management are also entitled to piggy back rights in subsequent offerings. In any subsequent offerings in which piggy back rights apply, Mr. Neubauer is entitled to participate in the offering at a participation rate two times his pro rata share as compared to the pro rata share of the Sponsors. The Registration Rights Agreement also provides that we will pay certain expenses of these stockholders relating to such registrations and indemnify them against certain liabilities which may arise under the Securities Act of 1933, as amended.
Financing Transactions
We manage our exposure to interest rate changes with respect to our floating rate indebtedness through the use of interest rate swaps. Before and subsequent to the closing of the 2007 Transaction on January 26, 2007, our financial institution counterparties on these swaps have included entities affiliated with GS Capital Partners and with J.P. Morgan Partners, two of our Sponsors. As of September 27, 2013, the notional value of interest rate swaps with entities affiliated with GS Capital Partners was $230 million and with entities affiliated with J.P. Morgan Partners was $205 million. In all of these swaps, we pay the counterparty a fixed interest rate in exchange for their payment of a floating interest rate. The net payments to entities affiliated with GS Capital Partners and entities affiliated with J.P. Morgan Partners pursuant to interest rate swap transactions in fiscal 2013 were approximately $3.1 million and $5.5 million, respectively.
JP Morgan Chase Bank, N.A., an affiliate of J.P. Morgan Partners, serves as administrative agent, collateral agent and LC facility issuing bank for our Amended and Restated Credit Agreement dated as of March 26, 2010 (the Credit Agreement). In each of fiscal 2012 and 2013, we paid JPMorgan Chase Bank, N.A. $200,000 for these services.
We engaged Goldman Sachs Lending Partners LLC and J.P. Morgan Securities LLC, affiliates of GS Capital Partners and J.P. Morgan Partners, respectively, as co-lead arrangers in connection with several amendments to our Credit Agreement since the beginning of fiscal 2012. Under these engagements, Goldman Sachs Lending Partners LLC and J.P. Morgan Securities LLC were each paid (i) approximately $2.3 million on February 29, 2012 in connection with Amendment Agreement No. 2, (ii) approximately $2.2 million on December 20, 2012 in connection Amendment Agreement No. 3 and (iii) approximately $3.1 million in connection with Amendment Agreement No. 4. In addition, we paid approximately $565,000 in the aggregate in legal fees related to the Amendment Agreements on behalf of these co-lead arrangers.
Goldman, Sachs & Co. and J.P. Morgan Securities LLC, affiliates of GS Capital Partners and J.P. Morgan Partners, respectively, each acted as a lead book running manager and a representative of the initial purchasers of the $1,000 million aggregate principal amount of 5.75% Senior Notes due 2020 (the 2020 Notes) that ARAMARK Corporation issued on March 7, 2013. Goldman, Sachs & Co. and J.P. Morgan Securities LLC were each paid $3.6 million in connection with the offering of the 2020 Notes. The proceeds from the offering, along with borrowings under the new term loans pursuant to Amendment Agreement No. 4, were used to tender any and all of (i) our outstanding 8.625% / 9.375% Senior Notes due 2016 (ii) ARAMARK Corporations outstanding 8.50% Senior Notes due 2015 and (iii) ARAMARK Corporations outstanding Senior Floating Rate
149
Notes due 2015 (the March 2013 Tender Offer). Goldman, Sachs & Co. acted as a dealer manager in connection with the March 2013 Tender Offer and we paid approximately $42,000 in legal fees in connection with this engagement on behalf of Goldman, Sachs & Co.
Goldman Sachs & Co. and J.P. Morgan Securities LLC, affiliates of GS Capital Partners and J.P. Morgan Partners, respectively, each acted as a joint book running manager and a representative of the underwriters of the initial public offering.
Goldman Sachs Lending Partners LLC is an affiliate of GS Capital Partners, and Sanjeev Mehra, Managing Director of Goldman, Sachs & Co. and a member of the board of directors of the Company. JPMorgan Chase Bank, N.A. and J.P. Morgan Securities LLC are affiliates of J.P. Morgan Partners, Stephen P. Murray, who serves on the board of directors of the Company, was employed by J.P. Morgan Partners until August 2006 and has been employed by CCMP Capital Advisors since August 2006.
Other Transactions
Effective March 5, 2013, Mr. Neubauers 1995 Trust surrendered split dollar life insurance policies it owned, in which the Company held a security interest. Pursuant to Mr. Neubauers Split Dollar Life Insurance Agreement, prior to 2003 we paid a substantial portion of the premiums on the policies, and those amounts were required to be repaid from the proceeds of the policies upon their termination. We did not charge interest in each fiscal year on this amount, but we captured at least some of the foregone interest because we reduced the amount of the interest that would otherwise accrue on Mr. Neubauers deferred compensation. At March 5, 2013, the effective date of the surrender of the policies, the amount of the premium repayment obligation was $ 2,497,692. Upon the surrender of the policies, we received the amount of the premium repayment obligation and then remitted the remaining $1,341,212 to Mr. Neubauers 1995 Trust.
150
DESCRIPTION OF OTHER INDEBTEDNESS
The summaries of our senior secured credit facilities set forth below are qualified in their entirety by the actual text of the applicable agreements, each of which has been filed with the SEC as an exhibit to the registration statement of which this prospectus constitutes a part and which may be obtained on publicly available websites at the addresses set forth under Available Information.
Senior Secured Credit Facilities
Overview
Senior Secured Credit Facilities
Our senior secured credit facilities currently provide:
| a total of $4,433.7 million in term loan facilities comprised of various tranches denominated in U.S. Dollars, Canadian dollars, euros, yen and pounds sterling; |
| a revolving credit facility of up to $605.0 million available for loans denominated in U.S. Dollars, $50.0 million of which is also available in Canadian dollars; and |
| a synthetic letter of credit facility of up to $200.0 million. |
The primary borrower under the senior secured credit facilities is ARAMARK Corporation. In addition, certain subsidiaries of ARAMARK Corporation are borrowers under certain tranches of the term loan facility and/or the revolving credit facility. Holdings is not a guarantor under the senior secured credit facilities and is not subject to the covenants or obligations under the senior secured credit agreement.
The revolving credit facility currently consists of the following subfacilities:
| a revolving credit facility available for loans in U.S. dollars to ARAMARK Corporation with aggregate commitments of $555.0 million; and |
| a revolving credit facility available for loans in Canadian dollars or U.S. dollars to ARAMARK Canada Ltd., a wholly-owned Canadian subsidiary, and ARAMARK Corporation with aggregate commitments of $50.0 million. |
The final maturity date of $515.0 million of the $555.0 million U.S. revolving loan commitments and all of the Canadian revolving loan commitments is January 26, 2017, provided, however, that the maturity date accelerates to April 26, 2016 if any term loans, other than the term loans due September 7, 2019 and any other term loans with a maturity at least 91 days after January 26, 2017, remain outstanding on April 26, 2016. The final maturity date of the $40.0 million remaining U.S. dollar revolving loan commitments is January 26, 2015.
Our revolving credit facility includes a $250.0 million sublimit for letters of credit and includes borrowing capacity available for short-term borrowings referred to as swingline loans subject to a sublimit.
The senior secured credit facilities provide that we have the right at any time to request up to $630.0 million of incremental commitments in the aggregate under one or more incremental term loan facilities and/or synthetic letter of credit facilities and/or revolving credit facilities and/or by increasing commitments under the revolving credit facility. The lenders under these facilities are not under any obligation to provide any such incremental facilities or commitments, and any such addition of or increase in facilities or commitments will be subject to pro forma compliance with an incurrence-based financial covenant and customary conditions precedent. Our ability to obtain extensions of credit under these incremental facilities or commitments is subject to the same conditions as extensions of credit under the existing credit facilities.
As of September 27, 2013, outstanding term loan borrowings were $4,433.7 million (recorded at $4,425.9 million to reflect original issue discount) and outstanding revolving credit borrowings were $10.0 million. Such amounts do not give effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering.
151
Interest Rate and Fees
Borrowings under the senior secured credit facilities bear interest at a rate equal to an applicable margin plus, at our option, either (a) a LIBOR rate determined by reference to the costs of funds for deposits in the currency of such borrowing for the interest period relevant to such borrowing adjusted for certain additional costs, (b) with respect to borrowings denominated in U.S. Dollars, a base rate determined by reference to the higher of (1) the prime rate of the administrative agent, (2) the federal funds rate plus 0.50% and (3) the LIBOR rate plus 1% or (c) with respect to borrowings denominated in Canadian dollars, (1) a base rate determined by reference to the prime rate of Canadian banks or (2) a BA (bankers acceptance) rate determined by reference to the rate offered for bankers acceptances in Canadian dollars for the interest period relevant to such borrowing.
The applicable margin spread for U.S. dollar borrowings under the revolving credit facility are 3.25% with respect to eurocurrency (LIBOR) borrowings and 2.25% with respect to base-rate borrowings. The applicable margin spread for Canadian dollar borrowings under the revolving credit facility are 3.25% for BA (bankers acceptance) rate borrowings and 2.25% for base rate borrowings. U.S. and Canadian swingline loans must be base rate borrowings.
In addition to paying interest on outstanding principal, we are required to pay a commitment fee to the lenders under the revolving credit facility in respect of the unutilized commitments thereunder. The commitment fee rate is 0.50% per annum.
Maturity Dates
Beginning on March 26, 2010, we began extending the maturity dates of our term loans from January 26, 2014 to July 26, 2016 through a series of amendments to our senior secured credit agreement. On December 20, 2012, we extended the maturity of approximately $650 million of term loans, representing the remaining balance of un-extended term loans, and on March 7, 2013, we borrowed an additional $1,400 million of term loans, which have a maturity date of September 7, 2019. The applicable margin spreads for all term loans are as follows (i) 3.50% for U.S. dollar denominated LIBOR term loan borrowings other than the term loans maturing on September 7, 2019 and Euro denominated LIBOR term loan borrowings, (ii) 2.50% for U.S. dollar denominated base rate term loan borrowings other than term loans maturing on September 7, 2019, (iii) 3.00% for the term loans maturing on September 7, 2019 borrowed at the LIBOR rate, (iv) 2.00% for the term loans maturing on September 7, 2019 borrowed at the base rate and (v) 3.50% for yen denominated term loans and sterling denominated term loans borrowings.
Beginning on March 26, 2010, we began extending the maturity dates of the deposits securing the synthetic letter of credit facility from January 26, 2014 to July 26, 2016 through a series of amendments to our senior secured credit agreement. We have extended the maturity dates for $159.3 million of synthetic letter of credit facility deposits to July 26, 2016. The maturity dates for the remaining $40.7 million of un-extended synthetic letter of credit facility deposits remain January 26, 2014. Fees with respect to the $159.3 million of extended letter of credit facility deposits are 3.50%. Fees on the $40.7 million of un-extended synthetic letter of credit facility deposits are 1.875% to 2.125% depending on ARAMARK Corporations ratio of Consolidated Secured Debt to Covenant EBITDA, as defined in the senior secured credit agreement. The actual fees on the un-extended synthetic letter of credit facility deposits as of September 27, 2013 were 2.00%.
Prepayments
The senior secured credit agreement requires us to prepay outstanding term loans, subject to certain exceptions, with:
| 50% of ARAMARK Corporations annual excess cash flow (as defined in the senior secured credit agreement) with stepdowns to 25% and 0% upon ARAMARK Corporations reaching a certain senior secured leverage ratio threshold; |
152
| 100% of the net cash proceeds of all nonordinary course asset sales or other dispositions of property subject to certain exceptions and customary reinvestment rights; and |
| 100% of the net cash proceeds of any incurrence of debt, including debt incurred by any business securitization subsidiary in respect of any business securitization facility, but excluding proceeds from the receivables facilities and other debt permitted under the senior secured credit agreement. |
The foregoing mandatory prepayments will be applied to the term loan facilities as directed by us. We may voluntarily repay outstanding loans under the senior secured credit facilities at any time without premium or penalty, other than customary breakage costs with respect to LIBOR loans. Prepaid term loans may not be reborrowed.
On March 30, 2007, June 29, 2007 and September 28, 2007, we voluntarily prepaid an additional $40.0 million, $300.0 million and $50.0 million, respectively. In fiscal 2009, we voluntarily prepaid an additional $100.0 million of outstanding term loans in anticipation of a required excess cash flow prepayment in the first quarter of fiscal year 2010. In June 2010 and September 2010, we made optional prepayments of $150.0 million and $150.0 million, respectively, of outstanding U.S. Dollar term loan. In September 2013, we made an optional prepayment of $265.0 million of outstanding U.S. Dollar term loans due on July 26, 2016.
If a change of control as defined in the senior secured credit agreement occurs, this will cause an event of default under the credit agreement. Upon an event of default, the senior secured credit facilities may be accelerated, in which case we would be required to repay all outstanding loans plus accrued and unpaid interest and all other amounts outstanding under the senior credit facilities.
Amortization and Maturity
We are required to repay installments on the loans under the term loan facilities in quarterly principal amounts of 1% per annum of their funded total principal amount beginning on March 31, 2014. For term loans due on July 26, 2016, the remaining principal amount is payable on the maturity date of July 26, 2016. For term loans due on September 7, 2019, the remaining principal amount is payable on the maturity date of September 7, 2019.
Principal amounts outstanding under the revolving credit facility are due and payable in full at maturity. The final maturity date of the Canadian revolving loan commitments and $515.0 million of the $555.0 million U.S. revolving loan commitments is January 26, 2017, provided, however, that the maturity date accelerates to April 26, 2016 if any term loans, other than the term loans due on September 7, 2019 and any other term loans with a maturity at least 91 days after January 26, 2017, remain outstanding on April 26, 2016. The final maturity date of the remaining revolving loan commitments is January 26, 2015.
Principal amounts outstanding under the synthetic letter of credit facility are due and payable in full at maturity, on which day the commitments thereunder will terminate. The final date of maturity for $159.3 million of synthetic letter of credit facility deposits has been extended to July 26, 2016. The final date of maturity for the $40.7 million of un-extended synthetic letter of credit facility deposits remains January 26, 2014.
Guarantee and Security
All obligations under the senior secured credit agreement are unconditionally guaranteed by ARAMARK Intermediate Holdco Corporation and, subject to certain exceptions, substantially all of ARAMARK Corporations existing and future domestic subsidiaries (excluding certain immaterial and dormant subsidiaries, receivables facility subsidiaries, business securitization subsidiaries and certain subsidiaries designated by us under our senior secured credit agreement as unrestricted subsidiaries), referred to, collectively, as U.S. Guarantors. All obligations of each foreign borrower under the senior secured credit facilities are unconditionally guaranteed by ARAMARK Corporation, the U.S. guarantors and, subject to certain exceptions and qualifications, the respective other foreign borrowers.
153
All obligations under the senior secured credit facilities, and the guarantees of those obligations, are secured by substantially all of the following assets of ARAMARK Intermediate Holdco Corporation, ARAMARK Corporation and each U.S. Guarantor, subject to certain exceptions:
| a pledge of 100% of the capital stock of ARAMARK Corporation; |
| 100% of the capital stock held by ARAMARK Intermediate Holdco Corporation, us or any of our domestic subsidiaries that are directly owned by us or one of the U.S. Guarantors and 100% of the capital stock of each of our existing and future foreign subsidiaries that are directly owned by us or one of the U.S. Guarantors; and |
| a security interest in, and mortgages on, substantially all tangible and intangible assets of ARAMARK Intermediate Holdco Corporation, ARAMARK Corporation and each U.S. Guarantor. |
Certain Covenants and Events of Default
The senior secured credit agreement contains a number of covenants that, among other things, restrict, subject to certain exceptions, ARAMARK Corporations ability and the ability of its restricted subsidiaries to:
| incur additional indebtedness, issue preferred stock or provide guarantees; |
| create liens on assets; |
| engage in mergers or consolidations; |
| sell assets; |
| pay dividends, make distributions or repurchase our capital stock; |
| make investments, loans or advances; |
| repay or repurchase any notes, except as scheduled or at maturity; |
| create restrictions on the payment of dividends or other transfers to us from our restricted subsidiaries; |
| make certain acquisitions; |
| engage in certain transactions with affiliates; |
| amend material agreements governing the senior notes (or any indebtedness that refinances the senior notes); and |
| fundamentally change our business. |
In addition, the senior secured credit agreement requires us to maintain the following financial covenants in connection with the revolving credit facility:
| a maximum senior secured leverage ratio; and |
| maximum annual capital expenditures. |
The senior secured credit agreement also contains certain customary affirmative covenants and certain events of default.
154
Receivables Facility
Overview
We have in place an agreement whereby ARAMARK Receivables, LLC (ARAMARK Receivables), a wholly-owned, bankruptcy-remote subsidiary of ARAMARK Corporation, purchases accounts receivable generated by certain of our operating subsidiaries using funding provided through the sale of an interest in such accounts receivable and other related assets to Wells Fargo Bank, N.A. (Wells Fargo) and a commercial paper conduit (the Commercial Paper Conduit) sponsored by Coöperatieve Centrale Raiffeisen-Boerenleenbank B.A., New York Branch (Rabobank). This receivables facility provides an amount of funding up to a maximum of $300.0 million. The availability of funding under the facility depends on the amount of receivables eligible for funding under the receivables facility and satisfaction of other customary conditions. As of September 27, 2013, we had outstanding borrowings under the receivables facility of $300.0 million.
Availability of funding under the receivables facility depends primarily upon the outstanding accounts receivable balance of our subsidiaries that participate in the facility. Aggregate availability is determined by using a formula that reduces the gross receivables balance by factors that take into account, among other things, historical default and dilution rates, excessive obligor concentrations and average days outstanding and the costs of the facility.
The Commercial Paper Conduit may discontinue funding the receivables facility at any time for any reason. If it does, Rabobank will be obligated to fund the Commercial Paper Conduits proportion of the receivables facility.
Twenty-three of our subsidiaries participate in the receivables facility program all of which are domestic subsidiaries in our FSS North America segment.
Interest Rates and Fees
ARAMARK Receivables is required to pay interest on the amount of each advance forwarded by Wells Fargo at a variable rate equal to a one-month Eurodollar rate determined daily plus the applicable margin equal to 1.40%. ARAMARK Receivables is required to pay interest on the amount of each advance funded by the Commercial Paper Conduit at the quoted cost of funds for the Commercial Paper Conduits issuance of commercial paper plus an applicable margin equal to 1.40%. For the amount of each advance funded through Rabobank directly, the receivables facility provides funding at an applicable margin equal to 1.40%, plus, either (1) a one, two, three or six-month Eurodollar rate plus the applicable margin for revolving loans under our senior secured credit agreement, or (2) the higher of (x) Rabobanks prime rate and (y) the federal funds effective rate plus 0.50%.
In addition, ARAMARK Receivables is required to pay a fee on the unused portion of the receivables facility of between 0.35% and 0.45% (depending on the level of used capacity) per annum.
In addition, ARAMARK Corporation acts as receivables collection agent, servicing, administering and collecting receivables transferred pursuant to the receivables facility. Under the receivables facility, ARAMARK Corporation receives an estimated monthly servicing fee of approximately 1.0% per annum of the daily average outstanding balance of the receivables under such facility, payable monthly in arrears by ARAMARK Receivables.
Maturity and Termination Events
The final maturity of the receivables facility is January 26, 2015. The receivables facility may be terminated for material breaches of representations and warranties or covenants, bankruptcies of any seller, the collection agent or the transferor, a change of control or certain cross defaults under our senior secured credit facility or other material indebtedness, among other reasons.
155
Other Indebtedness
As of September 27, 2013, we had outstanding approximately $52.4 million of secured debt representing capital lease obligations. In addition, we had $35.8 million of other indebtedness outstanding at September 27, 2013, consisting primarily of borrowings by certain of our foreign subsidiaries.
156
In this section, the Issuer, we, us, and our refer to ARAMARK Corporation and not to Holdings.
General
We hereby offer to exchange a like principal amount of exchange notes for any or all outstanding notes on the terms and subject to the conditions set forth in this prospectus and accompanying letter of transmittal. We refer to the offer as the exchange offer. You may tender some or all of your outstanding notes pursuant to the exchange offer.
As of the date of this prospectus, $1,000,000,000 aggregate principal amount of 5.75% Senior Notes is outstanding. This prospectus, together with the letter of transmittal, is first being sent to all holders of outstanding notes known to us on or about . The Issuers obligation to accept outstanding notes for exchange pursuant to the exchange offer is subject to certain conditions set forth under Conditions to the exchange offer below. We currently expect that each of the conditions will be satisfied and that no waivers will be necessary.
Purpose and effect of the exchange offer
We entered into a registration rights agreement with the initial purchasers of the outstanding notes in which we agreed, under certain circumstances, to file a registration statement relating to an offer to exchange the outstanding notes for exchange notes. We also agreed to use our reasonable best efforts to cause this registration statement to be declared effective and to cause the exchange offer to be consummated within 390 days after the issue date of the outstanding notes. The exchange notes will have terms substantially identical to the terms of the outstanding notes, except that the exchange notes will not contain terms with respect to transfer restrictions or additional interest upon a failure to fulfill certain of our obligations under the registration rights agreement. The outstanding notes were issued on March 7, 2013.
Under the circumstances set forth below, we will use our reasonable best efforts to cause the SEC to declare effective a shelf registration statement with respect to the resale of the outstanding notes within the time periods specified in the registration rights agreement and to keep the shelf registration statement effective for two years or such shorter period ending when all outstanding notes or exchange notes covered by the statement have been sold in the manner set forth and as contemplated in the statement or to the extent that the applicable provisions of Rule 144(k) under the Securities Act are amended or revised. These circumstances include:
| if applicable law or interpretations of the staff of the SEC do not permit the Issuer and the guarantors to effect this exchange offer; |
| if for any other reason the exchange offer is not consummated within 390 days of the issue date of the outstanding notes; |
| any initial purchaser requests in writing to the Issuer within 30 days after the consummation of this exchange offer with respect to outstanding notes that are not eligible to be exchanged for exchange notes in this exchange offer and held by it following the consummation of this exchange offer; |
| if any holder of the outstanding notes that participates in this exchange offer does not receive exchange notes that may be sold without restriction in exchange for its tendered outstanding notes (other than due solely to the status of such holder as an affiliate of the Issuer) and notifies the Issuer within 30 days after becoming aware of restrictions; or |
| if the Issuer so elects. |
If we fail to comply with certain obligations under the registration rights agreement, we will be required to pay additional interest to holders of the outstanding notes and the exchange notes required to be registered on a shelf registration statement. Please read the section Registration Rights for more details regarding the registration rights agreement.
157
Each holder of outstanding notes that wishes to exchange their outstanding notes for exchange notes in the exchange offer will be required to make the following written representations:
| any exchange notes to be received by such holder will be acquired in the ordinary course of its business; |
| such holder has no arrangement or understanding with any person to participate in the distribution (within the meaning of the Securities Act) of the exchange notes in violation of the provisions of the Securities Act; |
| such holder is not an affiliate of the Issuer, as defined by Rule 405 of the Securities Act, or if it is an affiliate, it will comply with the registration and prospectus delivery requirements of the Securities Act to the extent applicable; and |
| it is not engaged in, and does not intend to engage in, a distribution of exchange notes. |
Each broker-dealer that receives exchange notes for its own account in exchange for outstanding notes, where the broker-dealer acquired the outstanding notes as a result of market-making activities or other trading activities, must acknowledge that it will deliver a prospectus in connection with any resale of such exchange notes. Please see Plan of Distribution.
Resale of exchange notes
Based on interpretations by the staff of the SEC as set forth in no-action letters issued to third parties referred to below, we believe that you may resell or otherwise transfer exchange notes issued in the exchange offer without complying with the registration and prospectus delivery provisions of the Securities Act, if:
| you are acquiring the exchange notes in your ordinary course of business; |
| you do not have an arrangement or understanding with any person to participate in a distribution of the exchange notes; |
| you are not an affiliate of the Issuer as defined by Rule 405 of the Securities Act; and |
| you are not engaged in, and do not intend to engage in, a distribution of the exchange notes. |
If you are an affiliate of the Issuer, or are engaging in, or intend to engage in, or have any arrangement or understanding with any person to participate in, a distribution of the exchange notes, or are not acquiring the exchange notes in the ordinary course of your business, then:
| you cannot rely on the position of the staff of the SEC enunciated in Morgan Stanley & Co., Inc. (available June 5, 1991), Exxon Capital Holdings Corporation (available May 13, 1988), as interpreted in the SECs letter to Shearman & Sterling dated July 2, 1993, or similar no-action letters; and |
| in the absence of an exception from the position stated immediately above, you must comply with the registration and prospectus delivery requirements of the Securities Act in connection with any resale of the exchange notes. |
This prospectus may be used for an offer to resell, for the resale or for other retransfer of exchange notes only as specifically set forth in this prospectus. With regard to broker-dealers, only broker-dealers that acquired the outstanding notes as a result of market-making activities or other trading activities may participate in the exchange offer. Each broker-dealer that receives exchange notes for its own account in exchange for outstanding notes where such outstanding notes were acquired by such broker-dealer as a result of market-making activities or other trading activities must acknowledge that it will deliver a prospectus in connection with any resale of the exchange notes. Please read Plan of Distribution for more details regarding the transfer of exchange notes.
158
Terms of the exchange offer
On the terms and subject to the conditions set forth in this prospectus and in the accompanying letter of transmittal, we will accept for exchange in the exchange offer outstanding notes that are validly tendered and not validly withdrawn prior to the expiration date. Outstanding notes may only be tendered in denominations of $2,000 and integral multiples of $1,000 in excess of $2,000. We will issue $2,000 principal amount or an integral multiple of $1,000 of exchange notes in exchange for a corresponding principal amount of outstanding notes surrendered in the exchange offer.
The form and terms of the exchange notes will be substantially identical to the form and terms of the outstanding notes, except that the exchange notes will not contain terms with respect to transfer restrictions or additional interest upon a failure to fulfill certain of our obligations under the registration rights agreement. The exchange notes will evidence the same debt as the outstanding notes. The exchange notes will be issued under and entitled to the benefits of the same indenture under which the outstanding notes were issued, and the exchange notes and the outstanding notes will constitute a single class for all purposes under the indenture. For a description of the indenture, please see Description of Notes.
The exchange offer is not conditioned upon any minimum aggregate principal amount of outstanding notes being tendered for exchange.
As of the date of this prospectus, $1,000,000,000 aggregate principal amount of 5.75% Senior Notes is outstanding. This prospectus and a letter of transmittal are being sent to all registered holders of outstanding notes. There will be no fixed record date for determining registered holders of outstanding notes entitled to participate in the exchange offer.
We intend to conduct the exchange offer in accordance with the provisions of the registration rights agreement, the applicable requirements of the Securities Act and the Securities Exchange Act of 1934, as amended (the Exchange Act), and the rules and regulations of the SEC. Outstanding notes that are not tendered for exchange in the exchange offer will remain outstanding and continue to accrue interest and will be entitled to the rights and benefits that such holders have under the indenture relating to such holders outstanding notes, except for any rights under the registration rights agreement that by their terms terminate upon the consummation of the exchange offer.
We will be deemed to have accepted for exchange properly tendered outstanding notes when we have given oral or written notice of the acceptance to the exchange agent. The exchange agent will act as agent for the tendering holders for the purposes of receiving the exchange notes from us and delivering exchange notes to holders. Subject to the terms of the registration rights agreement, we expressly reserve the right to amend or terminate the exchange offer and to refuse to accept the occurrence of any of the conditions specified below under Conditions to the exchange offer.
Holders who tender outstanding notes in the exchange offer will not be required to pay brokerage commissions or fees or, subject to the instructions in the letter of transmittal, transfer taxes with respect to the exchange of outstanding notes. We will pay all charges and expenses, other than certain applicable taxes described below, in connection with the exchange offer. It is important that you read Fees and expenses below for more details regarding fees and expenses incurred in the exchange offer.
Expiration Date; Extensions, Amendments
As used in this prospectus, the term expiration date means 5:00 p.m., New York City time, on 2014 which is the 21st business day after the date of this prospectus. However, if we, in our sole discretion, extend the period of time for which the exchange offer is open, the term expiration date will mean the latest time and date to which we shall have extended the expiration of the exchange offer.
159
To extend the period of time during which the exchange offer is open, we will notify the exchange agent of any extension by oral or written notice, followed by notification to the registered holders of the outstanding notes no later than 9:00 a.m., New York City time, on the business day after the previously scheduled expiration date.
We reserve the right, in our sole discretion:
| to delay accepting for exchange any outstanding notes (only if we amend or extend the applicable exchange offer); |
| to extend the exchange offer or to terminate the exchange offer and to refuse to accept outstanding notes not previously accepted if any of the conditions set forth below under Conditions to the exchange offer have not been satisfied, by giving oral or written notice of such delay, extension or termination to the exchange agent; and |
| subject to the terms of the registration rights agreement, to amend the terms of the exchange offer in any manner. |
Any delay in acceptance, extension, termination or amendment will be followed as promptly as practicable by oral or written notice to the registered holders of the outstanding notes. If we amend the exchange offer in a manner that we determine to constitute a material change, including the waiver of a material condition, we will promptly disclose the amendment by press release or other public announcement as required by Rule 14e-1(d) of the Exchange Act and will extend the offer period if necessary so that at least five business days remain in the offer following notice of the material change.
Conditions to the exchange offer
Despite any other term of the exchange offer, we will not be required to accept for exchange, or to issue exchange notes in exchange for, any outstanding notes, and we may terminate or amend the exchange offer as provided in this prospectus before accepting any outstanding notes for exchange, if:
| the exchange offer, or the making of any exchange by a holder of outstanding notes, violates any applicable law or interpretation of the staff of the SEC; |
| any action or proceeding shall have been instituted or threatened in any court or by any governmental agency that might materially impair our ability to proceed with the exchange offer, and any material adverse development shall have occurred in any existing action or proceeding with respect to us; or |
| all governmental approvals shall not have been obtained, which approvals we deem necessary for the consummation of the exchange offer. |
In addition, we will not be obligated to accept for exchange the outstanding notes of any holder that has not made to us:
| the representations described under Purpose and effect of the exchange offer and Procedures for tendering outstanding notes; and |
| any other representations as may be reasonably necessary under applicable SEC rules, regulations, or interpretations to make available to us an appropriate form for registration of the exchange notes under the Securities Act. |
We expressly reserve the right at any time or at various times to extend the period of time during which the exchange offer is open. Consequently, we may delay acceptance of any outstanding notes by notice by press release or other public announcement as required by Rule 14e-1(d) of the Act of such extension to their holders. During any such extensions, all outstanding notes previously tendered will remain subject to the exchange offer, and we may accept them for exchange. We will return any outstanding notes that we do not accept for exchange for any reason without expense to their tendering holder promptly after the expiration or termination of the exchange offer.
160
We expressly reserve the right to amend or terminate the exchange offer and to reject for exchange any outstanding notes not previously accepted for exchange upon the occurrence of any of the conditions of the exchange offer specified above. We will give notice by press release or other public announcement as required by Rule 14e-1(d) of the Act of any extension, amendment, non-acceptance or termination to the holders of the outstanding notes promptly. In the case of any extension, such notice will be issued no later than 9:00 a.m., New York City time, on the business day after the previously scheduled expiration date.
These conditions are for our sole benefit, and we may assert them regardless of the circumstances that may give rise to them so long as such circumstances do not arise due to our action or inaction or waive them in whole or in part at any or at various times in our sole discretion. If we fail at any time to exercise any of the foregoing rights, this failure will not constitute a waiver of such right. Each such right will be deemed an ongoing right that we may assert at any time or at various times.
Procedures for tendering outstanding notes
Only a holder of outstanding notes may tender their outstanding notes in the exchange offer. To tender outstanding notes in the exchange offer, a holder must comply with either of the following:
| complete, sign and date the letter of transmittal or a facsimile of the letter of transmittal, have the signature on the letter of transmittal guaranteed if required by the letter of transmittal and mail or deliver such letter of transmittal or facsimile to the exchange agent prior to the expiration date; or |
| comply with DTCs Automated Tender Offer Program procedures described below. |
In addition:
| the exchange agent must receive outstanding notes along with the letter of transmittal; |
| prior to the expiration date, the exchange agent must receive a timely confirmation of book-entry transfer of outstanding notes into the exchange agents account at DTC according to the procedure for book-entry transfer described below or a properly transmitted agents message; or |
| the holder must comply with the guaranteed delivery procedures described below. |
To be tendered effectively, the exchange agent must receive any physical delivery of the letter of transmittal and other required documents at the address set forth below under Exchange agent prior to the expiration date.
A tender to us that is not withdrawn prior to the expiration date constitutes an agreement between us and the tendering holder upon the terms and subject to the conditions described in this prospectus and in the letter of transmittal.
The method of delivery of outstanding notes, letters of transmittal and all other required documents to the exchange agent is at the holders election and risk. Rather than mail these items, we recommend that holders use an overnight or hand delivery service. In all cases, holders should allow sufficient time to assure timely delivery to the exchange agent before the expiration date. Holders should not send letters of transmittal or certificates representing outstanding notes to us. Holders may request that their respective brokers, dealers, commercial banks, trust companies or other nominees effect the above transactions for them.
If you are a beneficial owner whose outstanding dollar notes are held in the name of a broker, dealer, commercial bank, trust company or other nominee who wishes to participate in the exchange offer, you should promptly contact such party and instruct such person to tender outstanding notes on your behalf.
You must make these arrangements or follow these procedures before completing and executing the letter of transmittal and delivering the outstanding notes.
161
Signatures on the letter of transmittal or a notice of withdrawal, as the case may be, must be guaranteed by a member firm of a registered national securities exchange or of the National Association of Securities Dealers, Inc., a commercial bank or trust company having an office or correspondent in the U.S. or another eligible guarantor institution within the meaning of Rule 17A(d)-15 under the Exchange Act unless the outstanding notes surrendered for exchange are tendered:
| by a registered holder of the outstanding notes who has not completed the box entitled Special Registration Instructions or Special Delivery Instructions on the letter of transmittal; or |
| for the account of an eligible guarantor institution. |
If the applicable letter of transmittal is signed by a person other than the registered holder of any outstanding notes listed on the outstanding notes, such outstanding notes must be endorsed or accompanied by a properly completed bond power. The bond power must be signed by the registered holder as the registered holders name appears on the outstanding notes and an eligible guarantor institution must guarantee the signature on the bond power.
If the applicable letter of transmittal or any certificates representing outstanding notes or bond powers are signed by trustees, executors, administrators, guardians, attorneys-in-fact, officers of corporations or others acting in a fiduciary or representative capacity, those persons should also indicate when signing and, unless waived by us, they should also submit evidence satisfactory to us of their authority to so act.
The exchange agent and DTC have confirmed that any financial institution that is a participant in DTCs system may use DTCs Automated Tender Offer Program to tender. Participants in the program may, instead of physically completing and signing the letter of transmittal and delivering it to the exchange, electronically transmit their acceptance of the exchange by causing DTC to transfer the outstanding notes to the exchange agent in accordance with DTCs Automated Tender Offer Program procedures for transfer. DTC will then send an agents message to the exchange agent. The term agents message means a message transmitted by DTC, received by the exchange agent and forming part of the book-entry confirmation, that states that:
| DTC has received an express acknowledgment from a participant in its Automated Tender Offer Program that is tendering outstanding notes that are the subject of the book-entry confirmation; |
| the participant has received and agrees to be bound by the terms of the letter of transmittal or, in the case of an agents message relating to guaranteed delivery, such participant has received and agrees to be bound by the applicable notice of guaranteed delivery; and |
| we may enforce that agreement against such participant. |
Acceptance of outstanding notes
In all cases, we will promptly issue exchange notes for outstanding notes that we have accepted for exchange under the applicable exchange offer only after the exchange agent timely receives:
| outstanding notes or a timely book-entry confirmation of such outstanding notes into the exchange agents account at the applicable book-entry transfer facility; and |
| a properly completed and duly executed letter of transmittal and all other required documents or a properly transmitted agents message. |
By tendering outstanding notes pursuant to the applicable exchange offer, you will represent to us that, among other things:
| you are not our affiliate or an affiliate of any guarantor within the meaning of Rule 405 under the Securities Act; |
162
| you do not have an arrangement or understanding with any person or entity to participate in a distribution of the exchange notes; and |
| you are acquiring the exchange notes in the ordinary course of your business. |
In addition, each broker-dealer that is to receive exchange notes for its own account in exchange for outstanding notes must represent that such outstanding notes were acquired by that broker-dealer as a result of market-making activities or other trading activities and must acknowledge that it will deliver a prospectus that meets the requirements of the Securities Act in connection with any resale of the exchange notes. The applicable letter of transmittal states that by so acknowledging and by delivering a prospectus, a broker-dealer will not be deemed to admit that it is an underwriter within the meaning of the Securities Act. See Plan of Distribution.
We will interpret the terms and conditions of the exchange offer, including the letters of transmittal and the instructions to the letters of transmittal, and will resolve all questions as to the validity, form, eligibility, including time of receipt, and acceptance of outstanding notes tendered for exchange. Our determinations in this regard will be final and binding on all parties. We reserve the absolute right to reject any and all tenders of any particular outstanding notes not properly tendered or to not accept any particular outstanding notes if the acceptance might, in our or our counsels judgment, be unlawful. We also reserve the absolute right to waive any defects or irregularities as to any particular outstanding notes prior to the expiration date.
Unless waived, any defects or irregularities in connection with tenders of outstanding notes for exchange must be cured within such reasonable period of time as we determine. Neither we, the exchange agent, nor any other person will be under any duty to give notification of any defect or irregularity with respect to any tender of outstanding notes for exchange, nor will any of them incur any liability for any failure to give notification. Any outstanding notes received by the exchange agent that are not properly tendered and as to which the irregularities have not been cured or waived will be returned by the exchange agent to the tendering holder, unless otherwise provided in the applicable letter of transmittal, promptly after the expiration date.
Book-entry delivery procedures
Promptly after the date of this prospectus, the exchange agent will establish an account with respect to the outstanding notes at DTC as the book-entry transfer facility, for purposes of the exchange offer. Any financial institution that is a participant in the book-entry transfer facilitys system may make book-entry delivery of the outstanding notes by causing the book-entry transfer facility to transfer those outstanding notes into the exchange agents account at the facility in accordance with the facilitys procedures for such transfer. To be timely, book-entry delivery of outstanding notes requires receipt of a confirmation of a book-entry transfer, a book-entry confirmation, prior to the expiration date. In addition, although delivery of outstanding notes may be effected through book-entry transfer into the exchange agents account at the applicable book-entry transfer facility, the applicable letter of transmittal or a manually signed facsimile thereof, together with any required signature guarantees and any other required documents, or an agents message, as defined below, in connection with a book-entry transfer, must, in any case, be delivered or transmitted to and received by the exchange agent at its address set forth on the cover page of the applicable letter of transmittal prior to the expiration date to receive exchange notes for tendered outstanding notes, or the guaranteed delivery procedure described below must be complied with. Tender will not be deemed made until such documents are received by the exchange agent. Delivery of documents to the applicable book-entry transfer facility does not constitute delivery to the exchange agent.
Guaranteed delivery procedures
If you wish to tender your outstanding notes but your outstanding notes are not immediately available or you cannot deliver your outstanding notes, the letter of transmittal or any other required documents to the exchange agent or comply with the applicable procedures under DTCs Automatic Tender Offer Program prior to the expiration date, you may still tender if:
| the tender is made through an Eligible Guarantor Institution; |
163
| prior to the expiration date, the exchange agent receives from such Eligible Guarantor Institution either: (i) a properly completed and duly executed notice of guaranteed delivery, by facsimile transmission, mail or hand delivery or (ii) a properly transmitted agents message and notice of guaranteed delivery, that (a) sets forth your name and address, the certificate number(s) of such outstanding notes and the principal amount of outstanding notes tendered; (b) states that the tender is being made by that notice of guaranteed delivery; and (c) guarantees that, within three New York Stock Exchange trading days after the expiration date, the letter of transmittal, or facsimile thereof, together with the outstanding notes or a book-entry confirmation, and any other documents required by the letter of transmittal, will be deposited by the Eligible Guarantor Institution with the exchange agent; and |
| the exchange agent receives the properly completed and executed letter of transmittal or facsimile thereof, as well as certificate(s) representing all tendered outstanding notes in proper form for transfer or a book-entry confirmation of transfer of the outstanding notes into the exchange agents account at DTC, and all other documents required by the letter of transmittal within three New York Stock Exchange trading days after the expiration date. |
Upon request, the exchange agent will send to you a notice of guaranteed delivery if you wish to tender your notes according to the guaranteed delivery procedures.
Withdrawal rights
Except as otherwise provided in this prospectus, you may withdraw your tender of outstanding notes at any time prior to 5:00 p.m., New York City time, on the expiration date. For a withdrawal to be effective:
| the applicable exchange agent must receive a written notice, which may be by telegram, telex, facsimile or letter, of withdrawal; or |
| you must comply with the appropriate procedures of DTCs Automated Tender Offer Program system; |
Any notice of withdrawal must:
| specify the name of the person who tendered the outstanding notes to be withdrawn; |
| identify the outstanding notes to be withdrawn, including the certificate numbers and principal amount of the outstanding notes; and |
| where certificates for outstanding notes have been transmitted, specify the name in which such outstanding notes were registered, if different from that of the withdrawing holder. |
If certificates for outstanding notes have been delivered or otherwise identified to the exchange agent, then, prior to the release of such certificates, you must also submit:
| the serial numbers of the particular certificates to be withdrawn; and |
| a signed notice of withdrawal with signatures guaranteed by an eligible institution unless you are an Eligible Guarantor Institution. |
If outstanding notes have been tendered pursuant to the procedures for book-entry transfer described above, any notice of withdrawal must specify the name and number of the account at the applicable book-entry transfer facility to be credited with the withdrawn outstanding notes and otherwise comply with the procedures of the facility. We will determine all questions as to the validity, form and eligibility, including time of receipt of notices of withdrawal and our determination will be final and binding on all parties. Any outstanding notes so withdrawn will be deemed not to have been validly tendered for exchange for purposes of the exchange offers. Any outstanding notes that have been tendered for exchange but that are not exchanged for any reason will be returned to their holder, without cost to the holder, or, in the case of book-entry transfer, the outstanding notes will be credited to an account at the applicable book-entry transfer facility, promptly after withdrawal, rejection
164
of tender or termination of the applicable exchange offer. Properly withdrawn outstanding notes may be retendered by following the procedures described under Procedures for tendering outstanding notes above at any time on or prior to the expiration date.
Exchange agent
The Bank of New York Mellon has been appointed as the exchange agent for the exchange offer. The Bank of New York Mellon also acts as trustee under the indenture governing the notes. You should direct all executed letters of transmittal and all questions and requests for assistance, requests for additional copies of this prospectus or of the letters of transmittal, and requests for notices of guaranteed delivery to the exchange agent addressed as follows:
The Bank of New York Mellon
Corporate Trust/Reorganization Unit
111 Sanders Creek Parkway
East Syracuse, NY 13057
Attn: Christopher Landers
Phone: (315) 414-3362
Fax: (732) 667-9408
If you deliver the letter of transmittal to an address other than the one set forth above or transmit instructions via facsimile other than the one set forth above, that delivery or those instructions will not be effective.
Fees and expenses
The registration rights agreement provides that we will bear all expenses in connection with the performance of our obligations relating to the registration of the exchange notes and the conduct of the exchange offer. These expenses include registration and filing fees, accounting and legal fees and printing costs, among others. We will pay the exchange agent reasonable and customary fees for its services and reasonable out-of-pocket expenses. We will also reimburse brokerage houses and other custodians, nominees and fiduciaries for customary mailing and handling expenses incurred by them in forwarding this prospectus and related documents to their clients that are holders of outstanding notes and for handling or tendering for such clients.
We have not retained any dealer-manager in connection with the exchange offer and will not pay any fee or commission to any broker, dealer, nominee or other person, other than the exchange agent, for soliciting tenders of outstanding notes pursuant to the exchange offer.
Accounting treatment
We will record the exchange notes in our accounting records at the same carrying value as the outstanding notes, which is the aggregate principal amount as reflected in our accounting records on the date of exchanges. Accordingly, we will not recognize any gain or loss for accounting purposes upon the consummation of the exchange offer.
Transfer taxes
We will pay all transfer taxes, if any, applicable to the exchanges of outstanding notes under the exchange offer. The tendering holder, however, will be required to pay any transfer taxes, whether imposed on the registered holder or any other person, if:
| certificates representing outstanding notes for principal amounts not tendered or accepted for exchange are to be delivered to, or are to be issued in the name of, any person other than the registered holder of outstanding notes tendered; |
165
| tendered outstanding notes are registered in the name of any person other than the person signing the letter of transmittal; or |
| a transfer tax is imposed for any reason other than the exchange of outstanding notes under the exchange offer. |
If satisfactory evidence of payment of such taxes is not submitted with the letter of transmittal, the amount of such transfer taxes will be billed to that tendering holder.
Holders who tender their outstanding notes for exchange will not be required to pay any transfer taxes. However, holders who instruct us to register exchange notes in the name of, or request that outstanding notes not tendered or not accepted in the exchange offer be returned to, a person other than the registered tendering holder will be required to pay any applicable transfer tax.
Consequences of failure to exchange
If you do not exchange your outstanding notes for exchange notes under the exchange offer, your outstanding notes will remain subject to the restrictions on transfer of such outstanding notes as set forth in the legend printed on the outstanding notes as a consequence of the issuance of the outstanding notes pursuant to the exemptions from, or in transactions not subject to, the registration requirements of the Securities Act and applicable state securities laws.
In general, you may not offer or sell your outstanding notes unless they are registered under the Securities Act or if the offer or sale is exempt from registration under the Securities Act and applicable state securities laws. Except as required by the registration rights agreement, we do not intend to register resales of the outstanding notes under the Securities Act.
Other
Participating in the exchange offer is voluntary, and you should carefully consider whether to accept. You are urged to consult your financial and tax advisors in making your own decision on what action to take.
We may in the future seek to acquire untendered outstanding notes in open market or privately negotiated transactions, through subsequent exchange offer or otherwise. We have no present plans to acquire any outstanding notes that are not tendered in the exchange offer or to file a registration statement to permit resales of any untendered outstanding notes.
166
General
ARAMARK Corporation issued $1,000,000,000 aggregate principal amount of 5.75% Senior Notes due 2020 under an indenture dated as of the Issue Date (the Indenture) among ARAMARK Corporation, The Bank of New York Mellon, as trustee, and the Guarantors. The terms of the Notes include those stated in the Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939 (the Trust Indenture Act).
You can find the definitions of certain capitalized terms used in this description under the subheading Certain definitions. In this description, the Company refers to ARAMARK Corporation and not to Holdings or any of its Subsidiaries. References to the Notes refer to both the outstanding notes and the exchange notes.
The Notes are guaranteed on a senior basis by each direct and indirect Restricted Subsidiary of the Company that is a Domestic Subsidiary and that guarantees the obligations of the Company under the Companys Senior Credit Facilities. The Indenture provides that any direct or indirect parent company of the Company may guarantee the Notes and in such case will allow the Company to satisfy its reporting obligations under the Indenture by furnishing financial information relating to the parent and, in this regard, Holdings has guaranteed the Notes. To the extent any such parent company is a holding company with no operations or assets (other than stock of the Company or a direct or indirect parent), you should not assign any value to such guarantee. The term Guarantor does not include Holdings.
The following description is only a summary of the material provisions of the Notes and the Indenture. We urge you to read the Indenture because it, and not this description, defines your rights as a Holder of Notes. Copies of the Indenture are available upon request to the Company.
Brief description of the Notes and the Guarantees
The Notes:
| are general unsecured, senior obligations of the Company; |
| rank pari passu in right of payment with all existing and future Senior Indebtedness of the Company, including Indebtedness under our Senior Credit Facilities; |
| are effectively subordinated to all Secured Indebtedness of the Company, including Indebtedness under our Senior Credit Facilities, to the extent of the collateral securing such Indebtedness; |
| are structurally subordinated to all existing and future Indebtedness and claims of holders of Preferred Stock of Subsidiaries of the Company that do not guarantee the Notes; |
| rank senior in right of payment to all existing and future Subordinated Indebtedness of the Company; |
| are guaranteed on a senior unsecured basis by the Guarantors that guarantee our Senior Credit Facilities; and |
| are subject to registration with the SEC pursuant to the Registration Rights Agreement. |
The Guarantee of each Guarantor:
| are a senior obligation of such Guarantor; |
| rank pari passu in right of payment with all existing and future Senior Indebtedness of such Guarantor, including its guarantee under our Senior Credit Facilities; |
| are effectively subordinated to all Secured Indebtedness of such Guarantor, including its guarantee under our Senior Credit Facilities, to the extent of the collateral securing such Indebtedness; |
167
| are structurally subordinated to all existing and future Indebtedness and claims of holders of Preferred Stock of Subsidiaries of such Guarantor that do not guarantee the Notes; |
| rank senior in right of payment to all existing and future Subordinated Indebtedness of such Guarantor; and |
| are subject to registration with the SEC pursuant to the Registration Rights Agreement. |
Principal, maturity and interest
The Company issued $1,000.0 million in aggregate principal amount of Notes. The Company may issue additional Notes under the Indenture from time to time after this offering subject to the covenant described below under Certain covenantsLimitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock (the Additional Notes). The Notes offered hereby and any Additional Notes subsequently issued under the Indenture shall be treated as a single class for all purposes under the Indenture, including waivers, amendments, redemptions and offers to purchase (except in the limited circumstances set forth below under Amendment, Supplement and Waiver). Unless the context requires otherwise, references to Notes for all purposes of the Indenture and this Description of Notes include any Additional Notes that are actually issued.
Interest on the Notes accrues at the rate of 5.75% per annum and is payable semi-annually in arrears on March 15 and September 15, to the Holders of Notes of record on the immediately preceding March 1 and September 1. Interest on the Notes will accrue from the most recent date to which interest has been paid with respect thereto or, if no interest has been paid with respect thereto, from and including the Issue Date. Interest on the Notes is computed on the basis of a 360-day year comprised of twelve 30-day months.
Maturity and payments
The Notes will mature on March 15, 2020. Additional Interest may accrue on the Notes in certain circumstances pursuant to the Registration Rights Agreement as described under Registration Rights. All references in the Indenture and this Description of Notes, in any context, to any interest or other amount payable on or with respect to the Notes shall be deemed to include any Additional Interest pursuant to the Registration Rights Agreement.
Principal of, premium, if any, and interest on the Notes will be payable at the office or agency of the Company maintained for such purpose within the State of New York or, at the option of the Company, payments of interest may be made by check mailed to the Holders at their respective addresses set forth in the register of Holders; provided that all payments of principal, premium, if any, and interest with respect to Notes represented by one or more global notes registered in the name of or held by DTC or its nominee will be made by wire transfer of immediately available funds to the accounts specified by the Holder or Holders thereof. The Notes will be issued in denominations of $2,000 and any integral multiples of $1,000 in excess of $2,000.
Guarantees
Each direct and indirect Restricted Subsidiary of the Company that is a Domestic Subsidiary and that guarantees the obligations of the Company under the Companys Senior Credit Facilities (which on the Issue Date will be each Domestic Subsidiary other than the Receivables Subsidiary and certain immaterial subsidiaries) will jointly and severally, fully and unconditionally guarantee, as primary obligors and not merely as sureties, on a senior unsecured basis, the performance and full and punctual payment when due, whether at maturity, by acceleration or otherwise, of all obligations of the Company under the Indenture and the Notes, whether for payment of principal of, or interest on, the Notes, expenses, indemnification or otherwise, on the terms set forth in the Indenture by executing the Indenture. None of our Restricted Subsidiaries that are Foreign Subsidiaries or any Receivables Subsidiary and certain immaterial subsidiaries will guarantee the Notes. Each Guarantee will be
168
a general unsecured senior obligation of the applicable Guarantor, will rank pari passu in right of payment with all existing and any future Senior Indebtedness of such Guarantor, will be effectively subordinated to all Secured Indebtedness of such Guarantor to the extent of the collateral securing such Indebtedness, and will rank senior in right of payment to all existing and any future Subordinated Indebtedness of such Guarantor. The Notes will be structurally subordinated to Indebtedness of Subsidiaries of the Company that do not guarantee the Notes. See also Brief description of the Notes and the Guarantees.
Each Guarantee will contain a provision intended to limit the Guarantors liability thereunder to the maximum amount that it could incur without causing the incurrence of obligations under its Guarantee to be a fraudulent transfer. This provision may not, however, be effective to protect a Guarantee from being voided under fraudulent transfer law, or may reduce the Guarantors obligation to an amount that effectively makes its Guarantee worthless. Although subsequently overturned on other grounds, a case in the U.S. Bankruptcy Court in the Southern District of Florida found this kind of provision in that case to be ineffective, and held the subsidiary guarantees to be fraudulent transfers and voided them in their entirety. See Risk factorsFederal and state fraudulent transfer laws may permit a court to void the guarantees, and, if that occurs, you may not receive any payments on the notes.
Each Guarantor may consolidate with or merge into or sell all or substantially all its assets to (A) the Company or another Guarantor without limitation or (B) any other Person upon the terms and conditions set forth in the Indenture. See Certain covenantsMerger, consolidation or sale of all or substantially all assets.
The Guarantee of a Guarantor will automatically and unconditionally be released and discharged upon:
(1) (a) the sale, disposition or other transfer (including through merger or consolidation) of all of the Capital Stock (or any sale, disposition or other transfer of Capital Stock following which such Guarantor is no longer a Restricted Subsidiary), or all or substantially all the assets, of such Guarantor (other than a sale, disposition or other transfer to a Restricted Subsidiary) if such sale, disposition or other transfer is made in compliance with the applicable provisions of the Indenture;
(b) the designation by the Company of such Guarantor as an Unrestricted Subsidiary in accordance with the provisions of the Indenture as described under Certain covenantsLimitation on restricted payments and the definition of Unrestricted Subsidiary;
(c) the release or discharge of such Guarantor from its guarantee of Indebtedness under the Senior Credit Facilities or the guarantee that resulted in the obligation of such Guarantor to guarantee the Notes, in each case, if such Guarantor would not then otherwise be required to guarantee the Notes pursuant to the covenant described under Certain covenantsLimitation on Guarantees of Indebtedness by Restricted Subsidiaries, (treating any guarantees of such Guarantor that remain outstanding as incurred at least 30 days prior to such release) except, in each case, a release or discharge by, or as a result of, payment under such guarantee or payment in full of the Indebtedness under the Senior Credit Facilities; or
(d) the exercise by the Company of its legal defeasance option or its covenant defeasance option, as described under Legal Defeasance and Covenant Defeasance or if the Companys obligations under the Indenture are discharged in accordance with the terms of the Indenture;
(2) in the case of clause (1)(a) above, the release of such Guarantor from its guarantee, if any, of and all pledges and security, if any, granted in connection with, the Senior Credit Facilities and any other Indebtedness of the Company or any Restricted Subsidiary (except with respect to a Restricted Subsidiary included in the Designated Business, Indebtedness of a Designated Business permitted by clause (y) of the second paragraph of the covenant described under Certain covenantsLimitation on Incurrence of Indebtedness and Issuance of Disqualified and Preferred Stock); and
(3) such Guarantor delivering to the Trustee an Officers Certificate and an opinion of counsel, each stating that all conditions precedent provided for in the Indenture relating to such transaction have been complied with.
169
Ranking
The Indebtedness evidenced by the Notes and the Guarantees will be Senior Indebtedness of the Company or the applicable Guarantor, as the case may be, and will rank equal in right of payment with all existing and future Senior Indebtedness of the Company and the Guarantors, as the case may be, including the Obligations of the Company and the Guarantors under the Senior Credit Facilities. However, the Notes will be effectively subordinated to all of the Companys and the Guarantors existing and future Secured Indebtedness (including Indebtedness under the Senior Credit Facilities) to the extent of the value of the assets securing such Indebtedness.
As of September 27, 2013, the Company and its Subsidiaries had $5,824.1 million aggregate principal amount of Indebtedness outstanding (excluding unused commitments), including $1,000.0 million of Indebtedness represented by the Notes, $4,435.9 million of Indebtedness outstanding under the Senior Credit Facilities, $300.0 million of Indebtedness outstanding under the Receivables Facility and $52.4 million of Indebtedness in respect of Capitalized Lease Obligations. In addition, as of September 27, 2013, the Company and its Subsidiaries would have been able to incur an additional $579.0 million of Indebtedness under the Senior Credit Facilities after taking into account outstanding letters of credit. Such amounts do not give effect to anticipated repayments of indebtedness from the proceeds of our recently completed initial public offering.
A significant portion of the operations of the Company are conducted through its Subsidiaries. Unless the Subsidiary is a Guarantor, claims of creditors of such Subsidiaries, including trade creditors, and claims of preferred stockholders (if any) of such Subsidiaries generally will have priority with respect to the assets and earnings of such Subsidiaries over the claims of creditors of the Company, including the holders of the Notes. The Notes, therefore, will be structurally subordinated to holders of Indebtedness and other creditors (including trade creditors) and preferred stockholders (if any) of Subsidiaries of the Company that are not Guarantors. Although the Indenture will limit the incurrence of Indebtedness by and the issuance of Disqualified Stock and preferred stock of certain of the Companys Subsidiaries, such limitation is subject to a number of significant qualifications. See Certain covenantsLimitation on incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock.
Not all of our Subsidiaries will guarantee the Notes. As of September 27, 2013, our non-guarantor Subsidiaries would have had $1,371.8 million of total indebtedness and other claims and liabilities, all of which would have been structurally senior to the Notes. In the event of a bankruptcy, liquidation or reorganization of any of these non-guarantor Subsidiaries, the non-guarantor Subsidiaries will pay the holders of their debt and other liabilities, including their trade creditors and holders of their preferred stock, if any, before they will be able to distribute any of their assets to us. Our non-guarantor Subsidiaries accounted for 29.5% and 82.1% of our total sales and net income attributable to ARAMARK Holdings stockholders, respectively, for the twelve months ended September 27, 2013 and held 25.1% and 14.9% of our total assets and total liabilities (excluding intercompany liabilities), respectively, as of September 27, 2013.
Although the Indenture contains limitations on the amount of additional Indebtedness that the Company and the Restricted Subsidiaries may incur, under certain circumstances the amount of such Indebtedness could be substantial. Moreover, the Indenture does not impose any limitation on the incurrence of liabilities that are not considered Indebtedness under the Indenture. See Certain covenantsLimitation on incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock.
Paying agent and registrar for the Notes
The Company maintains a paying agent for the Notes in the Borough of Manhattan, City of New York. The initial paying agent for the Notes will be the Trustee.
The Company also maintains a registrar with offices in the Borough of Manhattan, City of New York. The initial registrar is the Trustee. The registrar maintains a register reflecting ownership of the Notes outstanding from time to time and makes payments on and facilitate transfers of Notes on behalf of the Company.
170
The Company may change the paying agents or the registrars without prior notice to the Holders. The Company or any of its Subsidiaries may act as a paying agent or registrar.
Mandatory redemption; offer to purchase; open market purchases
The Company is not required to make any mandatory redemption or sinking fund payments with respect to the Notes. However, under certain circumstances, the Company may be required to offer to purchase Notes as described under Repurchase at the Option of Holders. The Company may from time to time acquire Notes by means other than a redemption, whether by tender offer, in open market purchases, through negotiated transactions or otherwise, in accordance with applicable securities laws.
Optional redemption
On or after March 15, 2015, the Company may redeem the Notes, in whole or in part, upon not less than 30 nor more than 60 days prior notice at the redemption prices (expressed as percentages of principal amount of the Notes to be redeemed) set forth below, plus accrued and unpaid interest, and Additional Interest, if any, thereon to the applicable redemption date, subject to the right of Holders of Notes on the relevant record date to receive interest due on the relevant interest payment date, if redeemed during the twelve-month period beginning on March 15 of each of the years indicated below:
Year |
Percentage | |||
2015 |
104.313 | % | ||
2016 |
102.875 | % | ||
2017 |
101.438 | % | ||
2018 and thereafter |
100.000 | % |
Prior to March 15, 2015, the Company may, at its option, redeem up to 40% of the sum of the aggregate principal amount of all Notes issued under the Indenture at a redemption price equal to 105.750% of the aggregate principal amount thereof, plus accrued and unpaid interest, and Additional Interest, if any, thereon to the redemption date, subject to the right of Holders of Notes on the relevant record date to receive interest due on the relevant interest payment date, with the net cash proceeds of one or more Equity Offerings of the Company or any direct or indirect parent of the Company to the extent such net proceeds are contributed to the Company; provided that:
| at least 50% of the sum of the aggregate principal amount of Notes originally issued under the Indenture and any Additional Notes that are issued under the Indenture after the Issue Date remain outstanding immediately after the occurrence of each such redemption; and |
| each such redemption occurs within 90 days of the date of closing of each such Equity Offering. |
At any time prior to March 15, 2015 the Company may redeem all or a part of the Notes, upon not less than 30 nor more than 60 days prior notice, at a redemption price equal to 100% of the principal amount of the Notes redeemed plus the Applicable Premium as of, and accrued and unpaid interest and Additional Interest, if any, to the redemption date, subject to the rights of Holders of Notes on the relevant record date to receive interest due on the relevant interest payment date.
Notice of any redemption upon any Equity Offering or in connection with a transaction (or series of related transactions) that constitutes a Change of Control may be given prior to the redemption thereof.
Any redemption may, at the Companys discretion, be subject to one or more conditions precedent, including, but not limited to, completion of a Change of Control, an Equity Offering, other offering or other corporate transaction or event.
171
The Company may acquire Notes by means other than a redemption, whether by tender offer, open market purchases, negotiated transactions or otherwise, in accordance with applicable securities laws, so long as such acquisition does not otherwise violate the terms of the Indenture.
Selection and notice
If the Company is redeeming less than all of the Notes at any time, the Trustee will select the Notes of such series to be redeemed (a) if the Notes are listed on any national securities exchange, in compliance with the requirements of the principal national securities exchange on which such Notes are listed or (b) if such Notes are not so listed, on a pro rata basis or by lot or such other method as may be required by the applicable depository. No Notes of $2,000 or less shall be redeemed in part.
Notices of redemption shall be delivered electronically or mailed by first-class mail, postage prepaid, at least 30 days but not more than 60 days before the redemption date to each Holder at such Holders registered address, except that notices of redemption may be mailed more than 60 days prior to a redemption date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of the Indenture. If any Note is to be redeemed in part only, any notice of redemption that relates to such Note shall state the portion of the principal amount thereof to be redeemed.
A new Note in principal amount equal to the unredeemed portion of any Note redeemed in part will be issued in the name of the Holder thereof upon cancellation of the original Note. Notes called for redemption become due and payable on the date fixed for redemption, unless such redemption is conditioned on the happening of a future event. On and after the redemption date, unless the Company defaults in the redemption payment, interest shall cease to accrue on the Note or portions thereof called for redemption.
Repurchase at the option of Holders
Change of Control
If a Change of Control occurs, unless the Company has previously or concurrently mailed or transmitted electronically a redemption notice with respect to all outstanding Notes as described under Optional redemption, the Company will make an offer to purchase all of the Notes pursuant to the offer described below (the Change of Control Offer) at a price in cash (the Change of Control Payment) equal to 101% of the aggregate principal amount thereof plus accrued and unpaid interest, and Additional Interest, if any, to the date of purchase, subject to the right of Holders of record on the relevant record date to receive interest due on the relevant interest payment date. Within 30 days following any Change of Control, the Company will send notice of such Change of Control Offer electronically or by first class mail, with a copy to the Trustee, to each Holder to the address of such Holder appearing in the security register with a copy to the Trustee or otherwise in accordance with the procedures of DTC, with the following information:
(1) a Change of Control Offer is being made pursuant to the covenant entitled Change of Control, and all Notes properly tendered pursuant to such Change of Control Offer will be accepted for payment by the Company;
(2) the purchase price and the purchase date, which will be no earlier than 30 days nor later than 60 days from the date such notice is mailed (the Change of Control Payment Date);
(3) any Note not properly tendered will remain outstanding and continue to accrue interest;
(4) unless the Company defaults in the payment of the Change of Control Payment, all Notes accepted for payment pursuant to the Change of Control Offer will cease to accrue interest on the Change of Control Payment Date;
(5) Holders electing to have any Notes purchased pursuant to a Change of Control Offer will be required to surrender such Notes, with the form entitled Option of Holder to Elect Purchase on the reverse
172
of such Notes completed, to the paying agent specified in the notice at the address specified in the notice prior to the close of business on the third Business Day preceding the Change of Control Payment Date;
(6) Holders will be entitled to withdraw their tendered Notes and their election to require the Company to purchase such Notes; provided that the paying agent receives, not later than the close of business on the last day of the offer period, facsimile transmission or letter setting forth the name of the Holder, the principal amount of Notes tendered for purchase, and a statement that such Holder is withdrawing its tendered Notes and its election to have such Notes purchased;
(7) Holders whose Notes are being purchased only in part will be issued new Notes equal in principal amount to the unpurchased portion of the Notes surrendered, which unpurchased portion must be equal to $2,000 or an integral multiple of $1,000 in excess thereof; and
(8) if such notice is delivered prior to the occurrence of a Change of Control, such notice shall state that the Change of Control Offer is conditional on the occurrence of such Change of Control and describe such condition, and, if applicable, state that, in the Companys discretion, the Change of Control Payment Date may be delayed until such time as any or all such conditions shall be satisfied, or that such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied by the Change of Control Payment Date, or by the Change of Control Payment Date as so delayed.
While the Notes are in global form and the Company makes an offer to purchase all of the Notes pursuant to the Change of Control Offer, a Holder may exercise its option to elect for the purchase of the Notes through the facilities of DTC, subject to its rules and regulations.
The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and regulations thereunder to the extent such laws or regulations are applicable in connection with the repurchase of the Notes pursuant to a Change of Control Offer. To the extent that the provisions of any securities laws or regulations conflict with the provisions of the Indenture, the Company will comply with the applicable securities laws and regulations and shall not be deemed to have breached its obligations described in the Indenture by virtue thereof.
On the Change of Control Payment Date, the Company will, to the extent permitted by law,
(1) accept for payment all Notes or portions thereof properly tendered pursuant to the Change of Control Offer;
(2) deposit with the paying agent an amount equal to the aggregate Change of Control Payment in respect of all Notes or portions thereof so tendered; and
(3) deliver, or cause to be delivered, to the Trustee for cancellation the Notes so accepted together with an Officers Certificate stating that such Notes or portions thereof have been tendered to and purchased by the Company.
The paying agent will promptly mail to each Holder the Change of Control Payment for such Notes, and the Trustee will promptly authenticate and mail to each Holder a new Note equal in principal amount to any unpurchased portion of the Notes surrendered, if any; provided that each such new Note will be in a principal amount of $2,000 or an integral multiple of $1,000 in excess thereof. The Company will publicly announce the results of the Change of Control Offer on or as soon as practicable after the Change of Control Payment Date.
The Senior Credit Facilities (subject to limited exceptions), and future credit agreements or other agreements to which the Company becomes a party may prohibit the Company from purchasing any Notes as a result of a Change of Control. In the event a Change of Control occurs at a time when the Company is prohibited from purchasing the Notes, the Company could seek the consent of its lenders to permit the purchase of the Notes or could attempt to refinance the borrowings that contain such prohibition. If the Company does not obtain such consent or repay such borrowings, the Company will remain prohibited from purchasing the Notes. In such case, the Companys failure to purchase tendered Notes would constitute an Event of Default under the Indenture.
173
The Senior Credit Facilities provide that the occurrence of certain change of control events with respect to the Company (including a Change of Control under the Indenture) constitute a default thereunder. If the Company experiences a change of control that triggers a default under the Senior Credit Facilities or cross-defaults under any other Indebtedness or the Receivables Facility, the Company could seek a waiver of such defaults or seek to refinance the Indebtedness outstanding under the Senior Credit Facilities and such other Indebtedness. In the event the Company does not obtain such a waiver or refinance the Indebtedness outstanding under the Senior Credit Facilities and such other Indebtedness, such defaults could result in amounts outstanding under the Senior Credit Facilities and such other Indebtedness being declared due and payable and cause the Receivables Facility to be wound down. The Companys ability to pay cash to the Holders of Notes following the occurrence of a Change of Control may be limited by its then existing financial resources. There can be no assurance that sufficient funds will be available when necessary to make any required repurchases. See Risk factorsRisks related to the notesWe may not be able to repurchase the notes upon a change of control.
The Company is not required to make a Change of Control Offer following a Change of Control if a third party makes the Change of Control Offer in the manner, at the time and otherwise in compliance with the requirements set forth in the Indenture applicable to a Change of Control Offer made by the Company and purchases all Notes validly tendered and not withdrawn under such Change of Control Offer. A Change of Control Offer may be made in advance of a Change of Control, conditional upon such Change of Control, if a definitive agreement is in place for the Change of Control at the time of making of the Change of Control Offer.
The Change of Control purchase feature of the Notes may in certain circumstances make more difficult or discourage a sale or takeover of the Company and, thus, the removal of incumbent management. The Change of Control purchase feature is a result of negotiations between the Company and the Initial Purchasers. We have no current intention to engage in a transaction involving a Change of Control, although it is possible that we could decide to do so in the future. Subject to the limitations discussed below, we could, in the future, enter into certain transactions, including acquisitions, refinancings or other recapitalizations, that would not constitute a Change of Control under the Indenture, but that could increase the amount of indebtedness outstanding at such time or otherwise affect our capital structure or credit ratings. Restrictions on our ability to incur additional Indebtedness are contained in the covenant described under Certain covenantsLimitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock. Such restrictions can be waived with the consent of the holders of a majority in principal amount of the Notes then outstanding. Except for the limitations contained in such covenant, however, the Indenture will not contain any covenants or provisions that may afford Holders protection in the event of a highly leveraged transaction.
The definition of Change of Control includes a disposition of all or substantially all of the assets of the Company to any Person. Although there is a limited body of case law interpreting the phrase substantially all, there is no precise established definition of the phrase under applicable law. Accordingly, in certain circumstances there may be a degree of uncertainty as to whether a particular transaction would involve a disposition of all or substantially all of the assets of the Company. As a result, it may be unclear as to whether a Change of Control has occurred and whether a Holder may require the Company to make an offer to repurchase the Notes as described above.
The provisions under the Indenture relating to the Companys obligation to make an offer to repurchase the Notes as a result of a Change of Control, including the definition of Change of Control, may be waived or modified with the written consent of the Holders of a majority in principal amount of the Notes.
Asset Sales
The Indenture provides that the Company will not, and will not permit any Restricted Subsidiary to, cause, make or suffer to exist an Asset Sale, unless:
(1) the Company or such Restricted Subsidiary, as the case may be, receives consideration at the time of such Asset Sale at least equal to the fair market value (as determined in good faith by the Company) of the assets sold or otherwise disposed of; and
174
(2) except in the case of a Permitted Asset Swap, at least 75% of the consideration therefor received by the Company or such Restricted Subsidiary, as the case may be, is in the form of cash or Cash Equivalents; provided that the amount of:
(a) any liabilities (as shown on the most recent consolidated balance sheet of the Company or in the footnotes thereto) of the Company or such Restricted Subsidiary, other than liabilities that are by their terms subordinated to the Notes, that are assumed by the transferee of any such assets (or a third party on behalf of the transferee) and for which the Company or such Restricted Subsidiary has been validly released by all creditors,
(b) any securities, notes or other obligations or assets received by the Company or such Restricted Subsidiary from such transferee that are converted by the Company or such Restricted Subsidiary into cash (to the extent of the cash received) within 180 days following the closing of such Asset Sale, and
(c) any Designated Noncash Consideration received by the Company or such Restricted Subsidiary in such Asset Sale having an aggregate fair market value, taken together with all other Designated Noncash Consideration received pursuant to this clause (c) that is at that time outstanding, not to exceed the greater of (x) $300.0 million and (y) 3.0% of Total Assets at the time of the receipt of such Designated Noncash Consideration, with the fair market value of each item of Designated Noncash Consideration being measured at the time received and without giving effect to subsequent changes in value,
shall be deemed to be cash for purposes of this provision and for no other purpose.
Within 450 days after any of the Companys or any Restricted Subsidiarys receipt of the Net Proceeds of any Asset Sale, the Company or such Restricted Subsidiary may, at its option, apply the Net Proceeds from such Asset Sale:
(1) to permanently reduce (a) Obligations under any Senior Indebtedness of the Company or any Guarantor (other than Obligations owed to the Company or a Restricted Subsidiary) and, in the case of Obligations under revolving credit facilities or other similar Indebtedness, to correspondingly permanently reduce commitments with respect thereto; provided that if the Company or any Restricted Subsidiary shall so reduce Obligations under any Senior Indebtedness that is not secured by a Lien permitted by the Indenture, the Company or such Guarantor will, equally and ratably, reduce Obligations under the Notes by, at its option, (i) redeeming Notes, (ii) making an offer (in accordance with the procedures set forth below for an Asset Sale Offer) to all Holders to purchase their Notes at 100% of the principal amount thereof, plus the amount of accrued and unpaid interest and Additional Interest, if any, on the principal amount of Notes to be repurchased or (iii) purchasing Notes through open market purchases (to the extent such purchases are at a price equal to or higher than 100% of the principal amount thereof) in a manner that complies with the Indenture and applicable securities law or (b) Indebtedness of a Restricted Subsidiary that is not a Guarantor, other than Indebtedness owed to the Company or another Restricted Subsidiary; or
(2) to make (a) an investment in any one or more businesses; provided that such investment in any business is in the form of the acquisition of Capital Stock and results in the Company or any Restricted Subsidiary owning an amount of the Capital Stock of such business such that it constitutes a Restricted Subsidiary, (b) an investment in properties, (c) capital expenditures and (d) acquisitions of other assets, that in each of (a), (b), (c) and (d), are used or useful in the business of the Company and in Restricted Subsidiaries or replace the businesses, properties and assets that are the subject of such Asset Sale.
Any Net Proceeds from the Asset Sale that are not invested or applied in accordance with the preceding paragraph within 450 days from the date of the receipt of such Net Proceeds will be deemed to constitute Excess Proceeds; provided that if during such 450-day period the Company or a Restricted Subsidiary enters into a definitive binding agreement committing it to apply such Net Proceeds in accordance with the requirements of clause (2) of the immediately preceding paragraph after such 450th day, such 450-day period will be extended with respect to the amount of Net Proceeds so committed until such Net Proceeds are required to be applied in
175
accordance with such agreement (but such extension will in no event be for a period longer than 180 days) (or, if earlier, the date of termination of such agreement). When the aggregate amount of Excess Proceeds exceeds $100.0 million, the Company shall make an offer to all Holders and, if required by the terms of any Senior Indebtedness, to the holders of such Senior Indebtedness (other than with respect to Hedging Obligations) (an Asset Sale Offer), to purchase the maximum aggregate principal amount of Notes and such Senior Indebtedness that is a minimum of $2,000 or an integral multiple of $1,000 in excess thereof that may be purchased out of the Excess Proceeds at an offer price in cash in an amount equal to 100% of the principal amount thereof, plus accrued and unpaid interest and Additional Interest, if any, to the date fixed for the closing of such offer, in accordance with the procedures set forth in the Indenture. The Company will commence an Asset Sale Offer with respect to Excess Proceeds within ten Business Days after the date that Excess Proceeds exceed $100.0 million by mailing the notice required pursuant to the terms of the Indenture, with a copy to the Trustee. The Company may satisfy the foregoing obligations with respect to any Net Proceeds from an Asset Sale by making an Asset Sale Offer with respect to such Net Proceeds prior to the expiration of the relevant 450 days or with respect to Excess Proceeds of $100.0 million or less.
To the extent that the aggregate amount of Notes and such Senior Indebtedness tendered pursuant to an Asset Sale Offer is less than the Excess Proceeds, the Company may use any remaining Excess Proceeds for general corporate purposes, subject to the other covenants contained in the Indenture. If the aggregate principal amount of Notes or the Senior Indebtedness surrendered by such holders thereof exceeds the amount of Excess Proceeds, the Company shall select or cause to be selected the Notes and such Senior Indebtedness to be purchased on a pro rata basis based on the accreted value or principal amount of the Notes or such Senior Indebtedness tendered. Upon completion of any such Asset Sale Offer, the amount of Excess Proceeds related to such Asset Sale Offer shall be reset at zero.
Pending the final application of any Net Proceeds pursuant to this covenant, the Company or the applicable Restricted Subsidiary may apply such Net Proceeds temporarily to reduce Indebtedness outstanding under a revolving credit facility or otherwise invest such Net Proceeds in any manner not prohibited by the Indenture.
The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and regulations thereunder to the extent such laws or regulations are applicable in connection with the repurchase of Notes pursuant to an Asset Sale Offer. To the extent that the provisions of any securities laws or regulations conflict with the provisions of the Indenture, the Company will comply with the applicable securities laws and regulations and shall not be deemed to have breached its obligations described in the Indenture by virtue thereof.
The Senior Credit Facilities limit (in each case, subject to limited exceptions), and future credit agreements or other agreements to which the Company or any Restricted Subsidiary becomes a party may effectively limit or prohibit, the Company or any Restricted Subsidiary from purchasing any Notes as a result of an Asset Sale Offer. In the event the Company is required to make an Asset Sale Offer at a time when the Company is actually or effectively prohibited from purchasing the Notes, the Company or the Restricted Subsidiary could seek the consent of its lenders to permit the purchase of the Notes or could attempt to refinance the borrowings that contain such prohibition. If the Company or the Restricted Subsidiary does not obtain such consent or repay such borrowings, the Company will remain actually or effectively prohibited from purchasing the Notes. In such case, the Companys failure to purchase tendered Notes would constitute an Event of Default under the Indenture.
The provisions under the Indenture relative to the Companys obligation to make an offer to repurchase the Notes as a result of an Asset Sale may be waived or modified with the written consent of the Holders of a majority in principal amount of the Notes.
Certain covenants
Set forth below are summaries of certain covenants contained in the Indenture. During any period of time that (i) the Notes have Investment Grade Ratings from both Rating Agencies and (ii) no Default has occurred and
176
is continuing under the Indenture (the occurrence of the events described in the foregoing clauses (i) and (ii) being collectively referred to as a Covenant Suspension Event) then, the covenants specifically listed under the following captions in this Description of Notes section of this prospectus will not be applicable to the Notes (collectively, the Suspended Covenants):
(1) Repurchase at the option of HoldersAsset Sales;
(2) Limitation on Restricted Payments;
(3) Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock;
(4) clause (4) of the first paragraph of Merger, Consolidation or Sale of All or Substantially All Assets;
(5) Transactions with Affiliates;
(6) Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries; and
(7) Limitation on Line of Business.
During any period that the foregoing covenants have been suspended, the Company may not designate any of its Subsidiaries as Unrestricted Subsidiaries pursuant to the second sentence of the definition of Unrestricted Subsidiary.
If and while the Company and its Restricted Subsidiaries are not subject to the Suspended Covenants, the Notes will be entitled to substantially less covenant protection. In the event that the Company and its Restricted Subsidiaries are not subject to the Suspended Covenants under the Indenture for any period of time as a result of the foregoing, and on any subsequent date (the Reversion Date) one or both of the Rating Agencies withdraw their Investment Grade Rating or downgrade the rating assigned to the Notes below an Investment Grade Rating, then the Company and its Restricted Subsidiaries will thereafter again be subject to the Suspended Covenants under the Indenture with respect to future events. The period of time between the Suspension Date and the Reversion Date is referred to in this description as the Suspension Period. The Guarantees of the Subsidiary Guarantors will be suspended during the Suspension Period. Additionally, upon the occurrence of a Covenant Suspension Event, the amount of Excess Proceeds from Net Proceeds shall be reset to zero.
In addition, during any Suspension Period, the Company and the Restricted Subsidiaries will not be subject to the covenant described under Repurchase at the option of HoldersChange of Control; provided that for purposes of determining the applicability of this covenant, the Reversion Date shall be defined as the date that (a) one or both of the Rating Agencies withdraw their Investment Grade Rating or downgrade the rating assigned to the Notes below an Investment Grade Rating and/or (b) the Company or any of its Affiliates enter into an agreement to effect a transaction that would result in a Change of Control and one or more of the Rating Agencies indicate that if consummated, such transaction (alone or together with any related recapitalization or refinancing transactions) would cause such Rating Agency to withdraw its Investment Grade Rating or downgrade the ratings assigned to the Notes below an Investment Grade Rating. On and after the Reversion Date as defined with respect to the covenant described under Repurchase at the option of HoldersChange of Control the Company and the Restricted Subsidiaries will thereafter again be subject to the such covenant under the Indenture, including, without limitation, with respect to a proposed transaction described in clause (b) above.
Notwithstanding the foregoing, in the event of any such reinstatement, no action taken or omitted to be taken by the Company or any of its Restricted Subsidiaries prior to such reinstatement will give rise to a Default or Event of Default under the Indenture with respect to the Notes; provided that (1) with respect to Restricted Payments made after such reinstatement, the amount of Restricted Payments made will be calculated as though the covenant described above under the caption Certain covenantsLimitation on Restricted Payments had
177
been in effect prior to, but not during, the Suspension Period; and (2) all Indebtedness incurred, or Disqualified Stock issued, during the Suspension Period will be classified to have been incurred or issued pursuant to clause (e) of the second paragraph of Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock. In addition, for purposes of clause (3) of the first paragraph under the caption Limitation on Restricted Payments, all events set forth in such clause (3) occurring during a Suspension Period shall be disregarded for purposes of determining the amount of Restricted Payments the Company or any Restricted Subsidiary is permitted to make pursuant to such clause (3).
There can be no assurance that the Notes will ever achieve or maintain Investment Grade Ratings.
Limitation on Restricted Payments
The Company will not, and will not permit any Restricted Subsidiary to, directly or indirectly:
(1) declare or pay any dividend or make any distribution on account of the Companys or any Restricted Subsidiarys Equity Interests, including any dividend or distribution payable in connection with any merger or consolidation, other than:
(A) dividends or distributions by the Company payable in Equity Interests (other than Disqualified Stock) of the Company; or
(B) dividends or distributions by a Restricted Subsidiary so long as, in the case of any dividend or distribution payable on or in respect of any class or series of securities issued by a Restricted Subsidiary other than a Wholly Owned Subsidiary, the Company or a Restricted Subsidiary receives at least its pro rata share of such dividend or distribution in accordance with its Equity Interests in such class or series of securities;
(2) purchase, redeem, defease or otherwise acquire or retire for value any Equity Interests of the Company or any direct or indirect parent of the Company, including in connection with any merger or consolidation;
(3) make any principal payment on, or redeem, repurchase, defease or otherwise acquire or retire for value in each case, prior to any scheduled repayment, sinking fund payment or maturity, any Subordinated Indebtedness, other than:
(x) Indebtedness permitted under clauses (i) and (j) of the covenant described under Limitations on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock; or
(y) the purchase, repurchase or other acquisition of Subordinated Indebtedness purchased in anticipation of satisfying a sinking fund obligation, principal installment or final maturity, in each case due within one year of the date of purchase, repurchase or acquisition; or
(4) make any Restricted Investment;
(all such payments and other actions set forth in clauses (1) through (4) above (other than any exception thereto) being collectively referred to as Restricted Payments), unless, at the time of such Restricted Payment:
(a) no Default shall have occurred and be continuing or would occur as a consequence thereof;
(b) immediately after giving effect to such transaction on a pro forma basis, the Company could incur $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in the first paragraph of the covenant described below under the caption Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock; and
(c) such Restricted Payment, together with the aggregate amount of all other Restricted Payments made by the Company and the Restricted Subsidiaries after the Issue Date pursuant to the first paragraph of this covenant or clauses (1), (2) (with respect to the payment of dividends on Refunding
178
Capital Stock pursuant to clause (b) thereof only), (6)(C), (8) and (12) of the next succeeding paragraph (and excluding, for the avoidance of doubt, all other Restricted Payments made pursuant to the next succeeding paragraph), is less than the sum, without duplication, of:
(1) 50% of the Consolidated Net Income of the Company for the period (taken as one accounting period) from December 31, 2010 to the end of the Companys most recently ended fiscal quarter for which internal financial statements are available at the time of such Restricted Payment, or, in the case such Consolidated Net Income for such period is a deficit, minus 100% of such deficit; plus
(2) 100% of the aggregate net cash proceeds and the fair market value, as determined in good faith by the Company, of marketable securities or other property received by the Company after the Issue Date (less the amount of such net cash proceeds to the extent such amount has been relied upon to permit the incurrence of Indebtedness, or issuance of Disqualified Stock or Preferred Stock pursuant to clause (v)(ii) of the second paragraph of Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock) from the issue or sale, in each case after the Issue Date, of:
(x) (I) Equity Interests of the Company, including Retired Capital Stock (as defined below), but excluding cash proceeds and the fair market value, as determined in good faith by the Company, of marketable securities or other property received from the sale of:
(A) Equity Interests to any future, current or former employees, directors, managers or consultants of the Company, any direct or indirect parent company of the Company or any of the Companys Subsidiaries after the Issue Date to the extent such amounts have been applied to Restricted Payments made in accordance with clause (4) of the next succeeding paragraph; and
(B) Designated Preferred Stock; and
(II) to the extent net cash proceeds are actually contributed to the Company, Equity Interests of the Companys direct or indirect parent companies (excluding contributions of the proceeds from the sale of Designated Preferred Stock of such companies or contributions to the extent such amounts have been applied to Restricted Payments made in accordance with clause (4) of the next succeeding paragraph), or
(y) debt securities of the Company that have been converted into or exchanged for such Equity Interests of the Company;
provided that this clause (2) shall not include the proceeds from (a) Refunding Capital Stock (as defined below), (b) Equity Interests of the Company or convertible debt securities of the Company sold to a Restricted Subsidiary or the Company, as the case may be, (c) Disqualified Stock or debt securities that have been converted into or exchanged for Disqualified Stock or (d) Excluded Contributions; plus
(3) 100% of the aggregate amount of cash and the fair market value, as determined in good faith by the Company, of marketable securities or other property contributed to the capital of the Company after the Issue Date other than the amount of such net cash proceeds to the extent such amount (i) has been relied upon to permit the incurrence of Indebtedness or issuance of Disqualified Stock or Preferred Stock pursuant to clause (v)(ii) of the second paragraph of Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock (ii) are contributed by a Restricted Subsidiary and (iii) any Excluded Contributions; plus
(4) to the extent not already included in Consolidated Net Income, 100% of the aggregate amount received by the Company or a Restricted Subsidiary in cash and the fair market value, as determined in good faith by the Company, of marketable securities or other property received after the Issue Date by means of:
(A) the sale or other disposition (other than to the Company or a Restricted Subsidiary) of Restricted Investments made by the Company or any Restricted Subsidiary and
179
repurchases and redemptions of such Restricted Investments from the Company or any Restricted Subsidiary and repayments of loans or advances that constitute Restricted Investments by the Company or any Restricted Subsidiary; or
(B) the sale (other than to the Company or a Restricted Subsidiary) of the Equity Interests of an Unrestricted Subsidiary or a distribution or dividend from an Unrestricted Subsidiary (other than in each case to the extent the Investment in such Unrestricted Subsidiary was made by the Company or a Restricted Subsidiary pursuant to clause (9) of the next succeeding paragraph or to the extent such Investment constituted a Permitted Investment); plus
(5) in the case of the redesignation of an Unrestricted Subsidiary as a Restricted Subsidiary after the Issue Date, the fair market value of the Investment in such Unrestricted Subsidiary, as determined by the Company in good faith (or if such fair market value exceeds $150.0 million, in writing by an Independent Financial Advisor), at the time of the redesignation of such Unrestricted Subsidiary as a Restricted Subsidiary, other than to the extent the Investment in such Unrestricted Subsidiary was made by the Company or a Restricted Subsidiary pursuant to clause (9) of the next succeeding paragraph or to the extent such Investment constituted a Permitted Investment.
The foregoing provisions will not prohibit:
(1) the payment of any dividend or distribution within 60 days after the date of declaration thereof, if at the date of declaration such payment would have complied with the provisions of the Indenture;
(2) (a) the redemption, repurchase, retirement or other acquisition of any Equity Interests (Retired Capital Stock) or Subordinated Indebtedness of the Company or any Equity Interests of any direct or indirect parent company of the Company, in exchange for, or out of the proceeds of the substantially concurrent sale (other than to a Restricted Subsidiary) of, Equity Interests of the Company or any direct or indirect parent company of the Company to the extent contributed to the Company (in each case, other than any Disqualified Stock) (Refunding Capital Stock) and (b) if immediately prior to the retirement of Retired Capital Stock, the declaration and payment of dividends thereon was permitted under clause (6) of this paragraph, the declaration and payment of dividends on the Refunding Capital Stock (other than Refunding Capital Stock the proceeds of which were used to redeem, repurchase, retire or otherwise acquire any Equity Interests of any direct or indirect parent company of the Company) in an aggregate amount per year no greater than the aggregate amount of dividends per annum that was declarable and payable on such Retired Capital Stock immediately prior to such retirement;
(3) the defeasance, redemption, repurchase or other acquisition or retirement of Subordinated Indebtedness of the Company or a Guarantor made in exchange for, or out of the proceeds of the substantially concurrent sale of, new Indebtedness of such Person that is incurred in compliance with the covenant described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock so long as:
(A) the principal amount of such new Indebtedness does not exceed the principal amount (or accreted value, if applicable) of the Subordinated Indebtedness being so defeased, redeemed, repurchased, acquired or retired for value, plus the amount of any reasonable premium required to be paid under the terms of the instrument governing the Subordinated Indebtedness being so defeased, redeemed, repurchased, acquired or retired (including reasonable tender premiums), defeasance costs and any reasonable fees and expenses incurred in connection with the issuance of such new Indebtedness;
(B) such new Indebtedness is subordinated to the Notes or the applicable Guarantee at least to the same extent as such Subordinated Indebtedness so defeased, redeemed, repurchased, acquired or retired;
180
(C) such new Indebtedness has a final scheduled maturity date equal to or later than the final scheduled maturity date of the Subordinated Indebtedness being so defeased, redeemed, repurchased, acquired or retired; and
(D) such new Indebtedness has a Weighted Average Life to Maturity equal to or greater than the remaining Weighted Average Life to Maturity of the Subordinated Indebtedness being so defeased, redeemed, repurchased, acquired or retired;
(4) a Restricted Payment to pay for the repurchase, retirement or other acquisition or retirement for value of Equity Interests of the Company or any of its direct or indirect parent companies held by any future, current or former employee, director, manager or consultant (or their Controlled Investment Affiliates or Immediate Family Members) of the Company, any of its Subsidiaries, any of its direct or indirect parent companies or any other entity in which the Company or a Restricted Subsidiary has an Investment and is designated in good faith as an affiliate by the Board of Directors of the Company (or the Compensation Committee thereof), in each case pursuant to any stockholders agreement, management equity plan or stock incentive plan or any other management or employee benefit plan or agreement; provided that the aggregate Restricted Payments made under this clause (4) do not exceed $60.0 million in any fiscal year (with unused amounts in any fiscal year being permitted to be carried over to succeeding fiscal years in the event of the consummation of an underwritten public Equity Offering by the Company or any direct or indirect parent entity of the Company subject to a maximum (without giving effect to the following proviso) of $100.0 million in any fiscal year); provided, further, that such amount in any fiscal year may be increased by an amount not to exceed:
(A) the cash proceeds from the sale of Equity Interests (other than Disqualified Stock) of the Company and, to the extent contributed to the Company, Equity Interests of any of the Companys direct or indirect parent companies, in each case to members of management, directors, managers or consultants (or their Controlled Investment Affiliates or Immediate Family Members) of the Company, any of its Subsidiaries or any of its direct or indirect parent companies that occurs after the Issue Date, to the extent the cash proceeds from the sale of such Equity Interests have not otherwise been applied to the payment of Restricted Payments by virtue of clause (c) of the preceding paragraph; plus
(B) the cash proceeds of key man life insurance policies received by the Company and the Restricted Subsidiaries after the Issue Date; less
(C) the amount of any Restricted Payments made in any prior fiscal year pursuant to clauses (A) and (B) of this clause (4);
and provided, further, that cancellation of Indebtedness owing to the Company or any Restricted Subsidiary from members of management, directors, managers or consultants of the Company, any of its direct or indirect parent companies or any Restricted Subsidiary in connection with a repurchase of Equity Interests of the Company or any of its direct or indirect parent companies will not be deemed to constitute a Restricted Payment for purposes of this covenant or any other provision of the Indenture;
(5) the declaration and payment of dividends to holders of any class or series of Disqualified Stock of the Company or any Restricted Subsidiary issued in accordance with the covenant described under Limitation on Incurrence of indebtedness and issuance of Disqualified Stock and Preferred Stock to the extent such dividends are included in the definition of Fixed Charges;
(6) (A) the declaration and payment of dividends to holders of any class or series of Designated Preferred Stock (other than Disqualified Stock) issued by the Company after the Issue Date;
(B) the declaration and payment of dividends to a direct or indirect parent company of the Company, the proceeds of which will be used to fund the payment of dividends to holders of any class or series of Designated Preferred Stock (other than Disqualified Stock) of such parent company issued after the Issue Date; provided that the amount of dividends paid pursuant to this clause (B) shall not exceed the aggregate amount of cash actually contributed to the Company from the sale of such Designated Preferred Stock; or
181
(C) the declaration and payment of dividends on Refunding Capital Stock that is Preferred Stock in excess of the dividends declarable and payable thereon pursuant to clause (2) of this paragraph;
provided, however, in the case of each of (A), (B) and (C) of this clause (6), that for the most recently ended four full fiscal quarters for which internal financial statements are available immediately preceding the date of issuance of such Designated Preferred Stock or the declaration of such dividends on Refunding Capital Stock that is Preferred Stock, after giving effect to such issuance or declaration on a pro forma basis, the Company and the Restricted Subsidiaries on a consolidated basis would have had a Fixed Charge Coverage Ratio of at least 2.00 to 1.00;
(7) repurchases of Equity Interests deemed to occur upon exercise of stock options or warrants if such Equity Interests represent a portion of the exercise price of such options or warrants;
(8) the declaration and payment of dividends on the Companys common stock following the first public offering of the Companys common stock or the common stock of any of its direct or indirect parent companies after the Issue Date, of up to 6% per annum of the net proceeds received by or contributed to the Company in or from any such public offering, other than public offerings with respect to the Companys common stock registered on Form S-4 or Form S-8 and other than any public sale constituting an Excluded Contribution;
(9) Restricted Payments that are made with Excluded Contributions;
(10) the declaration and payment of dividends by the Company to, or the making of loans to, its direct or indirect parent company in amounts required for the Companys direct or indirect parent companies to pay, in each case without duplication:
(A) franchise taxes and other fees, taxes and expenses required to maintain their corporate existence;
(B) foreign, federal, state and/or local consolidated, combined or similar income taxes, to the extent such income taxes are attributable to the income of the Company and its Restricted Subsidiaries and, to the extent of the amount actually received from its Unrestricted Subsidiaries, in amounts required to pay such taxes to the extent attributable to the income of such Unrestricted Subsidiaries; provided that in each case the amount of such payments in any fiscal year does not exceed the amount that the Company and its Restricted Subsidiaries (and its Unrestricted Subsidiaries, to the extent described above) would be required to pay in respect of such foreign, federal, state and/or local taxes (as applicable) for such fiscal year were the Company, its Restricted Subsidiaries and its Unrestricted Subsidiaries (to the extent described above) to pay such taxes separately from any such parent entity;
(C) customary salary, bonus and other benefits payable to officers and employees of any direct or indirect parent company of the Company to the extent such salaries, bonuses and other benefits are attributable to the ownership or operation of the Company and the Restricted Subsidiaries;
(D) general corporate overhead expenses of any direct or indirect parent company of the Company to the extent such expenses are attributable to the ownership or operation of the Company and the Restricted Subsidiaries; and
(E) reasonable fees and expenses incurred in connection with any unsuccessful debt or equity offering by such direct or indirect parent company of the Company;
(11) the making of any Restricted Payment on or after the Issue Date as part of the redemption or the repurchase (by tender offer or otherwise and including all costs related thereto) of the Holdco Notes;
(12) the repurchase, redemption or other acquisition or retirement for value of any Subordinated Indebtedness pursuant to provisions similar to those described under Repurchase at the option of HoldersChange of Control and Repurchase at the option of HoldersAsset Sales; provided that, prior to such repurchase, redemption or other acquisition, the Company (or a third party to the extent
182
permitted by the Indenture) shall have made a Change of Control Offer or Asset Sale Offer, as the case may be, with respect to the Notes and shall have repurchased all Notes validly tendered and not withdrawn in connection with such Change of Control Offer or Asset Sale Offer;
(13) payments made or expected to be made by the Company or any Restricted Subsidiary in respect of withholding or similar taxes payable by any future, present or former employee, director, manager or consultant (or their respective estates, investment funds, investment vehicles or Immediate Family Members) and any repurchases of Equity Interests in consideration of such payments including deemed repurchases in connection with the exercise of stock options;
(14) distributions or payments of Receivables Fees;
(15) the distribution, as a dividend or otherwise (and the declaration of such dividend), of shares of Equity Interests of, or Indebtedness owed to the Company or a Restricted Subsidiary by, any Unrestricted Subsidiary (other than Unrestricted Subsidiaries, the primary assets of which are cash and/or Cash Equivalents);
(16) other Restricted Payments in an amount which, when taken together with all other Restricted Payments made pursuant to this clause (16), does not exceed the greater of (x) $200.0 million and (y) 2.0% of Total Assets;
(17) Restricted Payments in an amount equal to any reduction in taxes actually realized by the Company and its Restricted Subsidiaries in the form of refunds or credits or from deductions when applied to offset income or gain as a direct result of (i) transaction fees and expenses or (ii) commitment and other financing fees; and
(18) Restricted Payments consisting of a dividend or other distribution or exchange (and the declaration thereof) of Equity Interests of any entity or entities constituting the Designated Business; provided that after giving pro forma effect to such Restricted Payment (including the application of the net proceeds therefrom), the Consolidated Leverage Ratio would be no greater than 6.00 to 1.00.
provided, however, that at the time of, and after giving effect to, any Restricted Payment permitted under clauses (8), (15), (16), (17) and (18) no Default shall have occurred and be continuing or would occur as a consequence thereof.
As of the Issue Date, all of the Companys Subsidiaries will be Restricted Subsidiaries. The Company will not permit any Unrestricted Subsidiary to become a Restricted Subsidiary except pursuant to the penultimate paragraph of the definition of Unrestricted Subsidiary. For purposes of designating any Restricted Subsidiary as an Unrestricted Subsidiary, all outstanding Investments by the Company and the Restricted Subsidiaries (except to the extent repaid) in the Subsidiary so designated will be deemed to be Restricted Payments in an amount determined as set forth in the last sentence of the definition of Investments. Such designation will be permitted only if a Restricted Payment in such amount would be permitted at such time, whether pursuant to the first paragraph of this covenant or under clause (9) or (16), or pursuant to the definition of Permitted Investments, and if such Subsidiary otherwise meets the definition of an Unrestricted Subsidiary. Unrestricted Subsidiaries will not be subject to any of the restrictive covenants set forth in the Indenture.
For purposes of determining compliance with this covenant, in the event that a proposed Restricted Payment (or a portion thereof) meets the criteria of clauses (1) through (17) above or is entitled to be made pursuant to the first paragraph of this covenant, the Company will be entitled to classify or later reclassify (based on circumstances existing on the date of such reclassification) such Restricted Payment (or portion thereof) among such clauses (1) through (17) and such first paragraph in a manner that otherwise complies with this covenant.
Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock
The Company will not, and will not permit any Restricted Subsidiary to, directly or indirectly, create, incur, issue, assume, guarantee or otherwise become directly or indirectly liable, contingently or otherwise
183
(collectively, incur and collectively, an incurrence) with respect to any Indebtedness (including Acquired Indebtedness), and the Company will not issue any shares of Disqualified Stock and will not permit any Restricted Subsidiary to issue any shares of Disqualified Stock or Preferred Stock; provided that the Company may incur Indebtedness (including Acquired Indebtedness) or issue shares of Disqualified Stock, and any Restricted Subsidiary may incur Indebtedness (including Acquired Indebtedness), issue shares of Disqualified Stock or issue shares of Preferred Stock, if the Fixed Charge Coverage Ratio on a consolidated basis for the Companys and its Restricted Subsidiaries most recently ended four full fiscal quarters for which internal financial statements are available immediately preceding the date on which such additional Indebtedness is incurred or such Disqualified Stock or Preferred Stock is issued would have been at least 2.00 to 1.00, determined on a pro forma basis (including a pro forma application of the net proceeds therefrom), as if the additional Indebtedness had been incurred, or the Disqualified Stock or Preferred Stock had been issued, as the case may be, and the application of the proceeds therefrom had occurred at the beginning of such four-quarter period; provided that the amount of Indebtedness (excluding Acquired Indebtedness not incurred in connection with or in contemplation of the applicable merger, acquisition or other similar transaction), Disqualified Stock and Preferred Stock that may be incurred or issued, as applicable, pursuant to the foregoing and clauses (p), (s) and (v)(i) below, in each case by Restricted Subsidiaries that are not Guarantors shall not exceed $500.0 million at any one time outstanding.
The foregoing limitations will not apply to any of the following items (collectively, Permitted Debt):
(a) Indebtedness incurred under Senior Credit Facilities by the Company or any Restricted Subsidiary and the issuance and creation of letters of credit and bankers acceptances thereunder (with letters of credit and bankers acceptances being deemed to have a principal amount equal to the face amount thereof), up to an aggregate principal amount of $5,850.0 million at any one time outstanding;
(b) [reserved];
(c) the incurrence by the Company and any Guarantor of Indebtedness represented by the Notes (including any Guarantees thereof) and the exchange notes and related exchange guarantees to be issued in exchange for the Notes and the Guarantees pursuant to the Registration Rights Agreement (other than any Additional Notes, but including exchange notes and related exchange guarantees to be issued in exchange for Additional Notes otherwise permitted to be incurred hereunder pursuant to a registration rights agreement);
(d) [reserved];
(e) Existing Indebtedness (other than Indebtedness described in clauses (a) and (c));
(f) Indebtedness (including Capitalized Lease Obligations), Disqualified Stock and Preferred Stock incurred by the Company or any of the Restricted Subsidiaries, to finance the development, construction, purchase, lease (other than the lease, pursuant to Sale and Lease Back Transactions, of property (real or personal), equipment or other fixed or capital assets owned by the Company or any Restricted Subsidiary as of the Issue Date or acquired by the Company or any Restricted Subsidiary after the Issue Date in exchange for, or with the proceeds of the sale of, such assets owned by the Company or any Restricted Subsidiary as of the Issue Date), repairs, additions or improvement of property (real or personal), equipment or other fixed or capital assets, whether through the direct purchase of assets or the Capital Stock of any Person owning such assets; provided that the aggregate amount of Indebtedness, Disqualified Stock and Preferred Stock incurred pursuant to this clause (f) when aggregated with then outstanding amount of Indebtedness under clause (o) incurred to refinance Indebtedness initially incurred in reliance on this clause (f) does not exceed the greater of (x) $250.0 million and (y) 2.5% of Total Assets at any one time outstanding;
(g) Indebtedness incurred by the Company or any Restricted Subsidiary constituting reimbursement obligations with respect to letters of credit issued in the ordinary course of business, including letters of credit in respect of workers compensation claims, or other Indebtedness with
184
respect to reimbursement type obligations regarding workers compensation claims; provided that upon the drawing of such letters of credit or the incurrence of such Indebtedness, such obligations are reimbursed within 30 days following such drawing or incurrence;
(h) Indebtedness arising from agreements of the Company or a Restricted Subsidiary providing for indemnification, adjustment of purchase price or similar obligations, in each case, incurred or assumed in connection with the disposition of any business, assets or a Subsidiary, other than guarantees of Indebtedness incurred by any Person acquiring all or any portion of such business, assets or Subsidiary for the purpose of financing such acquisition; provided that:
(1) such Indebtedness is not reflected on the balance sheet of the Company or any Restricted Subsidiary (contingent obligations referred to in a footnote to financial statements and not otherwise reflected on the balance sheet will not be deemed to be reflected on such balance sheet for purposes of this clause (h)(1)); and
(2) the maximum assumable liability in respect of all such Indebtedness (other than for those indemnification obligations that are not customarily subject to a cap) shall at no time exceed the gross proceeds including noncash proceeds (the fair market value of such noncash proceeds being measured at the time received and without giving effect to any subsequent changes in value) actually received by the Company and the Restricted Subsidiaries in connection with such disposition;
(i) Indebtedness of the Company to a Restricted Subsidiary; provided that any such Indebtedness owing to a Restricted Subsidiary that is not a Guarantor is subordinated in right of payment to the Notes; provided, further, that that any subsequent issuance or transfer of any Capital Stock or any other event which results in any such Restricted Subsidiary ceasing to be a Restricted Subsidiary or any other subsequent transfer of any such Indebtedness (except to the Company or another Restricted Subsidiary) shall be deemed, in each case, to be an incurrence of such Indebtedness not permitted by this clause;
(j) Indebtedness of a Restricted Subsidiary to the Company or another Restricted Subsidiary; provided that if a Guarantor incurs such Indebtedness to a Restricted Subsidiary that is not a Guarantor such Indebtedness is subordinated in right of payment to the Guarantee of such Guarantor; provided, further, that any subsequent issuance or transfer of Capital Stock or any other event that results in any such Restricted Subsidiary ceasing to be a Restricted Subsidiary or any subsequent transfer of any such Indebtedness (except to the Company or another Restricted Subsidiary) shall be deemed, in each case, to be an incurrence of such Indebtedness not permitted by this clause;
(k) shares of Preferred Stock of a Restricted Subsidiary issued to the Company or another Restricted Subsidiary; provided that any subsequent issuance or transfer of any Capital Stock or any other event which results in any such Restricted Subsidiary ceasing to be a Restricted Subsidiary or any other subsequent transfer of any such shares of Preferred Stock (except to the Company or another Restricted Subsidiary) shall be deemed, in each case, to be an issuance of such shares of Preferred Stock not permitted by this clause;
(l) Hedging Obligations (excluding Hedging Obligations entered into for speculative purposes) for the purpose of limiting: (A) interest rate risk with respect to any Indebtedness that is permitted by the terms of the Indenture to be outstanding, (B) exchange rate risk or (C) commodity pricing risk;
(m) obligations in respect of performance, bid, appeal and surety bonds and completion guarantees and similar obligations provided by the Company or any Restricted Subsidiary in the ordinary course of business;
(n) (x) any guarantee by the Company or a Restricted Subsidiary of Indebtedness or other Obligations of any Restricted Subsidiary, so long as in the case of any guarantee of Indebtedness, the incurrence of such Indebtedness is permitted under the terms of the Indenture or (y) any guarantee by a Restricted Subsidiary of Indebtedness of the Company permitted to be incurred under the terms of the Indenture; provided that such guarantee is incurred in accordance with the covenant described below under Limitation on Guarantees of Indebtedness by Restricted Subsidiaries;
185
(o) the incurrence or issuance by the Company or any Restricted Subsidiary of Indebtedness, Disqualified Stock or Preferred Stock that serves to extend, replace, refund, refinance, renew or defease any Indebtedness, Disqualified Stock or Preferred Stock of the Company or any Restricted Subsidiary incurred as permitted under the first paragraph of this covenant and clauses (c), (e) and (f) above, this clause (o) and clauses (p) and (v)(ii) below or any Indebtedness, Disqualified Stock or Preferred Stock issued to so extend, replace, refund, refinance, renew or defease such Indebtedness, Disqualified Stock or Preferred Stock including additional Indebtedness, Disqualified Stock or Preferred Stock incurred to pay premiums (including reasonable tender premiums) and fees in connection therewith (the Refinancing Indebtedness) prior to its respective maturity; provided, however, that such Refinancing Indebtedness:
(1) has a Weighted Average Life to Maturity at the time such Refinancing Indebtedness is incurred which is not less than the remaining Weighted Average Life to Maturity of the Indebtedness, Disqualified Stock or Preferred Stock being extended, replaced, refunded, refinanced, renewed or defeased;
(2) to the extent such Refinancing Indebtedness extends, replaces, refunds, refinances, renews or defeases (i) Indebtedness subordinated to the Notes or any Guarantee, such Refinancing Indebtedness is subordinated to the Notes or such Guarantee at least to the same extent as the Indebtedness being extended, replaced, refunded, refinanced, renewed or defeased or (ii) Disqualified Stock or Preferred Stock, such Refinancing Indebtedness must be Disqualified Stock or Preferred Stock, respectively; and
(3) shall not include:
(x) Indebtedness, Disqualified Stock or Preferred Stock of a Subsidiary that is not a Guarantor that refinances Indebtedness, Disqualified Stock or Preferred Stock of the Company;
(y) Indebtedness, Disqualified Stock or Preferred Stock of a Subsidiary that is not a Guarantor that refinances Indebtedness, Disqualified Stock or Preferred Stock of a Guarantor; or
(z) Indebtedness, Disqualified Stock or Preferred Stock of the Company or a Restricted Subsidiary that refinances Indebtedness, Disqualified Stock or Preferred Stock of an Unrestricted Subsidiary;
provided further that any incurrence of Indebtedness (including Acquired Indebtedness) or issuance of Disqualified Stock or Preferred Stock by a Restricted Subsidiary that is not a Guarantor pursuant to this clause (o) that refinances Indebtedness (including Acquired Indebtedness), Disqualified Stock or Preferred Stock initially incurred or issued and outstanding under clause (p), (s) or (v)(i) shall be subject to the proviso of section (p), (s) or (v)(i), as the case may be;
(p) Indebtedness, Disqualified Stock or Preferred Stock (x) of the Company or any Restricted Subsidiary incurred to finance the acquisition of any Person or assets or (y) of Persons that are acquired by the Company or any Restricted Subsidiary or merged into the Company or a Restricted Subsidiary in accordance with the terms of the Indenture; provided that either:
(1) after giving effect to such acquisition or merger, either:
(A) the Company would be permitted to incur at least $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in the first sentence of this covenant; or
(B) the Fixed Charge Coverage Ratio of the Company and the Restricted Subsidiaries on a consolidated basis is greater than immediately prior to such acquisition or merger; or
(2) such Indebtedness, Disqualified Stock or Preferred Stock (A) is not Secured Indebtedness and is Subordinated Indebtedness with subordination terms no more favorable to the holders thereof than subordination terms that are customarily obtained in connection with high yield senior subordinated notes issuances at the time of incurrence, (B) is not incurred while a Default exists and no Default shall result therefrom, (C) does not mature (and is not mandatorily redeemable in the case of Disqualified
186
Stock or Preferred Stock) and does not require any payment of principal prior to the final maturity of the Notes and (D) in the case of subclause (y) above only, is not incurred in contemplation of such acquisition or merger; provided that together with amounts incurred and outstanding pursuant to the second proviso to the first paragraph of this covenant and clauses (s) and (v)(i), no more than $500.0 million of Indebtedness (excluding Acquired Indebtedness not incurred in connection with or in contemplation of the applicable merger, acquisition or other similar transaction), Disqualified Stock or Preferred Stock at any one time outstanding and incurred by Restricted Subsidiaries that are not Guarantors pursuant to this clause (p) shall be incurred and outstanding;
(q) Indebtedness arising from the honoring by a bank or other financial institution of a check, draft or similar instrument drawn against insufficient funds in the ordinary course of business; provided that such Indebtedness is extinguished within ten (10) Business Days of its incurrence;
(r) Indebtedness of the Company or any Restricted Subsidiary supported by a letter of credit issued pursuant to the Senior Credit Facilities, in a principal amount not in excess of the stated amount of such letter of credit;
(s) Indebtedness, Disqualified Stock or Preferred Stock of the Company or a Restricted Subsidiary incurred to finance or assumed in connection with an acquisition or minority investments in any non-wholly owned Restricted Subsidiary which, when aggregated with the principal amount of all other Indebtedness, Disqualified Stock and Preferred Stock incurred pursuant to this clause (s) and then outstanding, does not exceed the greater of (x) $250.0 million or (y) 2.5% of Total Assets (it being understood that any Indebtedness, Disqualified Stock and Preferred Stock incurred pursuant to this clause (s) shall cease to be deemed incurred or outstanding for purposes of this clause (s) but shall be deemed incurred pursuant to the first paragraph of this covenant from and after the first date on which the Company or such Restricted Subsidiary could have incurred such Indebtedness, Disqualified Stock or Preferred Stock pursuant to the first paragraph of this covenant without reliance on this clause (s)); provided that together with amounts incurred and outstanding pursuant to the second proviso to the first paragraph of this covenant and clauses (p) and (v)(i), no more than $500.0 million of Indebtedness (excluding Acquired Indebtedness not incurred in connection with or in contemplation of the applicable merger, acquisition or other similar transaction), Disqualified Stock or Preferred Stock at any one time outstanding and incurred by Restricted Subsidiaries that are not Guarantors pursuant to this clause (s) shall be incurred and outstanding;
(t) Indebtedness incurred by a Foreign Subsidiary which, when aggregated with the principal amount of all other Indebtedness incurred pursuant to this clause (t) and then outstanding, does not exceed the greater of (x) $60.0 million and (y) 5.0% of Foreign Subsidiary Total Assets (it being understood that any Indebtedness, Disqualified Stock and Preferred Stock incurred pursuant to this clause (t) shall cease to be deemed incurred or outstanding for purposes of this clause (t) but shall be deemed incurred pursuant to the first paragraph of this covenant from and after the first date on which the Company or such Restricted Subsidiary could have incurred such Indebtedness, Disqualified Stock or Preferred Stock pursuant to the first paragraph of this covenant without reliance on this clause (t));
(u) Indebtedness, Disqualified Stock or Preferred Stock issued by the Company or any Restricted Subsidiary to current or former officers, managers, directors and employees thereof, their respective trusts, estates or Immediate Family Members, in each case to finance the purchase or redemption of Equity Interests of the Company or any direct or indirect parent company of the Company to the extent described in clause (4) of the second paragraph under Limitation on Restricted Payments;
(v) Indebtedness and Disqualified Stock of the Company and Indebtedness, Disqualified Stock and Preferred Stock of any Restricted Subsidiary not otherwise permitted hereunder in an aggregate principal amount or liquidation preference, which, when aggregated with the principal amount and liquidation preference of all other Indebtedness, Disqualified Stock and Preferred Stock incurred
187
pursuant to this clause (v) and then outstanding, does not at any one time outstanding exceed the sum of:
(i) the greater of (x) $250.0 million and (y) 2.5% of Total Assets (it being understood that any Indebtedness, Disqualified Stock and Preferred Stock incurred pursuant to this clause (v)(i) shall cease to be deemed incurred or outstanding for purposes of this clause (v)(i) but shall be deemed incurred pursuant to the first paragraph of this covenant from and after the first date on which the Company or such Restricted Subsidiary could have incurred such Indebtedness, Disqualified Stock or Preferred Stock under the first paragraph of this covenant without reliance on this clause (v)(i)); provided that together with amounts incurred and outstanding pursuant to the second proviso to the first paragraph of this covenant and clauses (p) and (s), no more than $500.0 million of Indebtedness (excluding Acquired Indebtedness not incurred in connection with or in contemplation of the applicable merger, acquisition or other similar transaction), Disqualified Stock or Preferred Stock at any one time outstanding and incurred by Restricted Subsidiaries that are not Guarantors pursuant to this clause (v)(i) shall be incurred and outstanding; plus
(ii) 200% of the net cash proceeds received by the Company since after the Issue Date from the issue or sale of Equity Interests of the Company or cash contributed to the capital of the Company (in each case, other than proceeds of Disqualified Stock or sales of Equity Interests to the Company or any of its Subsidiaries) as determined in accordance with clauses (c)(2) and (c)(3) of the first paragraph of the covenant described under Limitation on Restricted Payments to the extent such net cash proceeds or cash have not been applied pursuant to such clauses to make Restricted Payments or to make other Investments, payments or exchanges pursuant to the second paragraph of the covenant described under Limitation on Restricted Payments or to make Permitted Investments (other than Permitted Investments specified in clauses (a) and (c) of the definition thereof);
(w) Attributable Debt incurred by the Company or any Restricted Subsidiary pursuant to Sale and Lease Back Transactions of property (real or personal), equipment or other fixed or capital assets owned by the Company or any Restricted Subsidiary as of the Issue Date or acquired by the Company or any Restricted Subsidiary after the Issue Date in exchange for, or with the proceeds of the sale of, such assets owned by the Company or any Restricted Subsidiary as of the Issue Date, provided that the aggregate amount of Attributable Debt incurred under this clause (w) does not exceed the greater of (x) $150.0 million and (y) 1.5% of Total Assets;
(x) Indebtedness incurred by any Foreign Subsidiary of ARAMARK (BVI) Limited (or any successor thereto) related to the Companys Chilean operations, including, without limitation, Central de Restaurantes ARAMARK Ltda. not to exceed $25.0 million at any one time outstanding; and
(y) Indebtedness of a Designated Business which Indebtedness is incurred substantially concurrently with the disposition of such Designated Business pursuant to clause (18) of the second paragraph of the covenant described under Limitation on Restricted Payments and which Indebtedness is non-recourse to the Company and its Restricted Subsidiaries other than any Restricted Subsidiary included in such Designated Business.
For purposes of determining compliance with this covenant, in the event that an item of Indebtedness, Disqualified Stock or Preferred Stock (or any portion thereof) at any time meets the criteria of more than one of the categories of Permitted Debt described in clauses (a) through (x) above or is entitled to be incurred pursuant to the first paragraph of this covenant, the Company, in its sole discretion, will classify or reclassify, or later divide, classify or reclassify, such item of Indebtedness, Disqualified Stock or Preferred Stock (or any portion thereof) and will only be required to include the amount and type of such Indebtedness, Disqualified Stock or Preferred Stock in one or more of the above clauses at such time; provided that all Indebtedness outstanding under the Senior Credit Facilities on the Issue Date will be deemed to have been incurred on such date in reliance on the exception in clause (a) of the definition of Permitted Debt.
188
The accrual of interest or dividends, the accretion of accreted value, the accretion or amortization of original issue discount and the payment of interest or dividends in the form of additional Indebtedness, Disqualified Stock or Preferred Stock will not be deemed to be an incurrence of Indebtedness, Disqualified Stock or Preferred Stock for purposes of this covenant. Any Refinancing Indebtedness and any Indebtedness incurred to refinance Indebtedness incurred pursuant to clauses (a) and (v) above shall be deemed to include additional Indebtedness, Disqualified Stock or preferred stock incurred to pay premiums (including reasonable tender premiums), defeasance costs, fees and expenses in connection with such refinancing.
For purposes of determining compliance with any U.S. dollar-denominated restriction on the incurrence of Indebtedness, the U.S. dollar-equivalent principal amount of Indebtedness denominated in a foreign currency will be calculated based on the relevant currency exchange rate in effect on the date such Indebtedness was incurred, in the case of term debt, or first committed, in the case of revolving credit debt; provided that if such Indebtedness is incurred to extend, replace, refund, refinance, renew or defease other Indebtedness denominated in a foreign currency, and such extension, replacement, refunding, refinancing, renewal or defeasance would cause the applicable U.S. dollar-denominated restriction to be exceeded if calculated at the relevant currency exchange rate in effect on the date of such extension, replacement, refunding, refinancing, renewal or defeasance, such U.S. dollar-denominated restriction shall be deemed not to have been exceeded so long as the principal amount of such refinancing Indebtedness does not exceed the principal amount of such Indebtedness being extended, replaced, refunded, refinanced, renewed or defeased.
The principal amount of any Indebtedness incurred to extend, replace, refund, refinance, renew or defease other Indebtedness, if incurred in a different currency from the Indebtedness being extended, replaced, refunded, refinanced, renewed or defeased, shall be calculated based on the currency exchange rate applicable to the currencies in which such respective Indebtedness is denominated that is in effect on the date of such extension, replacement, refunding, refinancing, renewal or defeasance.
The Indenture provides that the Company will not, and will not permit any Guarantor to, directly or indirectly, incur any Indebtedness (including Acquired Indebtedness) that is subordinated or junior in right of payment to any Indebtedness of the Company or such Guarantor, as the case may be, unless such Indebtedness is expressly subordinated in right of payment to the Notes or such Guarantors Guarantee to the extent and in the same manner as such Indebtedness is subordinated to other Indebtedness of the Company or such Guarantor, as the case may be.
The Indenture does not treat (1) unsecured Indebtedness as subordinated or junior to Secured Indebtedness merely because it is unsecured or (2) Senior Indebtedness as subordinated or junior to any other Senior Indebtedness merely because it has a junior priority with respect to the same collateral.
Liens
The Company will not, and will not permit any of the Guarantors to, directly or indirectly, create, incur, assume or suffer to exist any Lien (except Permitted Liens) that secures obligations under any Indebtedness on any asset or property of the Company or any Guarantor now owned or hereafter acquired, or any income or profits therefrom, or assign or convey any right to receive income therefrom, unless:
(1) in the case of Liens securing Subordinated Indebtedness, the Notes or the applicable Guarantee of a Guarantor, as the case may be, are secured by a Lien on such property or assets that is senior in priority to such Liens; and
(2) in all other cases, the Notes or the applicable Guarantee of a Guarantor, as the case may be, are equally and ratably secured or are secured by a Lien on such assets or property that is senior in priority to such Lien;
provided that any Lien which is granted to secure the Notes under this covenant shall be discharged at the same time as the discharge of the Lien (other than through the exercise of remedies with respect thereto) that gave rise to the obligation to so secure the Notes.
189
Limitation on Sale and Lease-Back Transactions
The Company will not, and will not permit any Restricted Subsidiary to, enter into any Sale and Lease-Back Transaction with respect to any property unless:
(1) the Company or such Restricted Subsidiary would be entitled to (A) incur Indebtedness in an amount equal to the Attributable Debt with respect to such Sale and Lease-Back Transaction pursuant to the covenant described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock and (B) create a Lien on such property securing such Attributable Debt without equally and ratably securing the Notes pursuant to the covenant described under Liens;
(2) the consideration received by the Company or any Restricted Subsidiary in connection with such Sale and Lease-Back Transaction is at least equal to the fair market value (as determined in good faith by the Company) of such property; and
(3) the Company applies the proceeds of such transaction in compliance with the terms described under Repurchase at the option of HoldersAsset Sales.
Merger, consolidation or sale of all or substantially all assets
The Company may not consolidate or merge with or into or wind up into (whether or not the Company is the surviving entity), or sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of the properties or assets of the Company and its Subsidiaries on a consolidated basis, in one or more related transactions, to any Person unless:
(1) the Company is the surviving corporation or the Person formed by or surviving any such consolidation or merger (if other than the Company) or to which such sale, assignment, transfer, lease, conveyance or other disposition shall have been made is a corporation organized or existing under the laws of the United States of America, any state thereof, the District of Columbia, or any territory thereof (the Company or such Person, as the case may be, being herein called the Successor Company);
(2) the Successor Company, if other than the Company, expressly assumes all the obligations of the Company under the Indenture and the Notes pursuant to supplemental indentures or other documents or instruments in form reasonably satisfactory to the Trustee;
(3) immediately after such transaction, no Default exists;
(4) immediately after giving pro forma effect to such transaction and any related financing transactions, as if such transactions had occurred at the beginning of the applicable four quarter period,
(A) the Successor Company would be permitted to incur at least $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in the first sentence of the covenant described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock; or
(B) the Fixed Charge Coverage Ratio for the Successor Company, the Company and the Restricted Subsidiaries on a consolidated basis would be greater than such ratio for the Company and the Restricted Subsidiaries immediately prior to such transaction;
(5) each Guarantor, unless it is the other party to the transactions described above, in which case clause (A)(2) of the second succeeding paragraph shall apply, shall have by supplemental indenture confirmed that its Guarantee shall apply to such Persons obligations under the Indenture and the Notes; and
(6) the Company shall have delivered to the Trustee an Officers Certificate and an opinion of counsel, each stating that such consolidation, merger or transfer and such supplemental indentures, if any, comply with the Indenture.
190
Notwithstanding anything to the contrary herein, the disposition of a Designated Business pursuant to clause (18) of the covenant described under Certain covenantsLimitation on Restricted Payments or the covenant described under Asset Sales, shall not be deemed to be a sale, assignment, transfer, lease, conveyance or other disposition of all or substantially all of the properties or assets of the Company and its Subsidiaries on a consolidated basis.
Subject to certain limitations described in the Indenture, the Successor Company will succeed to, and be substituted for, the Company under the Indenture and the Notes. Notwithstanding the foregoing clauses (3) and (4),
(a) any Restricted Subsidiary may consolidate with, merge into or transfer all or part of its properties and assets to, the Company, and
(b) the Company may merge with an Affiliate of the Company incorporated solely for the purpose of reincorporating the Company in another state of the United States of America or the District of Columbia or any territory thereof so long as the amount of Indebtedness of the Company and the Restricted Subsidiaries is not increased thereby.
Subject to certain limitations described in the Indenture governing release of a Guarantee upon the sale, disposition or transfer of a Guarantor, each Guarantor will not, and the Company will not permit any Guarantor to, consolidate or merge with or into or wind up into (whether or not such Guarantor is the surviving corporation), or sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of its properties or assets in one or more related transactions to, any Person unless:
(A) (1) such Guarantor is the surviving entity or the Person formed by or surviving any such consolidation or merger (if other than such Guarantor) or to which such sale, assignment, transfer, lease, conveyance or other disposition will have been made is a corporation, partnership, limited partnership, limited liability company or trust organized or existing under the laws of the United States of America, any state thereof, the District of Columbia, or any territory thereof (such Guarantor or such Person, as the case may be, being herein called the Successor Person);
(2) the Successor Person, if other than such Guarantor, expressly assumes all the obligations of such Guarantor under the Indenture and such Guarantors Guarantee, pursuant to supplemental indentures or other documents or instruments in form reasonably satisfactory to the Trustee;
(3) immediately after such transaction, no Default exists; and
(4) the Company shall have delivered to the Trustee an Officers Certificate and an opinion of counsel, each stating that such consolidation, merger or transfer and such supplemental indentures, if any, comply with the Indenture; or
(B) the transaction is made in compliance with the covenant described under Repurchase at the option of HoldersAsset Sales.
Subject to certain limitations described in the Indenture, the Successor Person will succeed to, and be substituted for, such Guarantor under the Indenture and such Guarantors Guarantee. Notwithstanding the foregoing, any Guarantor may merge into or transfer all or part of its properties and assets to another Guarantor or the Company.
For purposes of this covenant, the sale, lease, conveyance, assignment, transfer or other disposition of all or substantially all of the properties and assets of one or more Subsidiaries of the Company which properties and assets, if held by the Company instead of such Subsidiaries, would constitute all or substantially all of the properties and assets of the Company and its Subsidiaries on a consolidated basis shall be deemed to be the transfer of all or substantially all of the properties and assets of the Company.
191
Transactions with Affiliates
The Company will not, and will not permit any Restricted Subsidiary to, make any payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or purchase any property or assets from, or enter into or make or amend any transaction, contract, agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate of the Company (each of the foregoing, an Affiliate Transaction) involving aggregate payments or consideration in excess of $20.0 million, unless:
(a) such Affiliate Transaction is on terms that are not materially less favorable to the Company or the relevant Restricted Subsidiary than those that would have been obtained in a comparable transaction by the Company or such Restricted Subsidiary with an unrelated Person; and
(b) the Company delivers to the Trustee with respect to any Affiliate Transaction or series of related Affiliate Transactions involving aggregate payments or consideration in excess of $50.0 million, a Board Resolution adopted by the majority of the members of the Board of Directors of the Company approving such Affiliate Transaction and set forth in an Officers Certificate certifying that such Affiliate Transaction complies with clause (a) above.
The foregoing provisions will not apply to the following:
(1) transactions between or among the Company or any of the Restricted Subsidiaries;
(2) Restricted Payments permitted by the provisions of the Indenture described above under the covenant Limitation on Restricted Payments and the definition of Permitted Investments;
(3) [reserved];
(4) the payment of reasonable and customary fees paid to, and indemnities provided for the benefit of, officers, directors, managers, employees or consultants of the Company, any of its direct or indirect parent companies or any Restricted Subsidiary;
(5) payments by the Company or any Restricted Subsidiary to any of the Sponsors for any financial advisory, financing, underwriting or placement services or in respect of other investment banking activities, including in connection with acquisitions or divestitures, which payments are approved by a majority of the members of the Board of Directors of the Company in good faith;
(6) transactions in which the Company or any Restricted Subsidiary, as the case may be, delivers to the Trustee a letter from an Independent Financial Advisor stating that such transaction is fair to the Company or such Restricted Subsidiary from a financial point of view or meets the requirements of clause (a) of the preceding paragraph;
(7) (A) payments and Indebtedness, Disqualified Stock and Preferred Stock (and cancellation of any thereof) of the Company and its Restricted Subsidiaries to any future, current or former employee, director, manager or consultant (or their respective trusts, estates, investment funds, investment vehicles or Immediate Family Members) of the Company, any of its subsidiaries or any of its direct or indirect parent companies pursuant to any management equity plan or stock option plan or any other management or employee benefit, plan or agreement; and (B) any employment agreements, stock option plans and other compensatory arrangements (including, without limitation, the Companys 2001 and 2005 Stock Unit Retirement Plans (and any successor plans thereto) and any supplemental executive retirement benefit plans or arrangements with any such employees, directors, managers or consultants (or their respective trusts, estates, investment funds, investment vehicles or Immediate Family Members) that are, in each case, approved by the Company in good faith;
(8) any agreement, instrument or arrangement as in effect as of the Issue Date, or any amendment thereto (so long as any such amendment is not disadvantageous to the Holders when taken as a whole in any material respect as compared to the applicable agreement as in effect on the Issue Date as reasonably determined in good faith by the Company);
192
(9) the existence of, or the performance by, the Company or any of the Restricted Subsidiaries of its obligations under the terms of, any stockholders agreement or its equivalent (including any registration rights agreement or purchase agreement related thereto) to which it is a party as of the Issue Date and any similar agreements which it may enter into thereafter; provided, however, that the existence of, or the performance by the Company or any Restricted Subsidiary of obligations under any future amendment to any such existing agreement or under any similar agreement entered into after the Issue Date shall only be permitted by this clause (9) to the extent that the terms of any such existing agreement together with all amendments thereto, taken as a whole, or new agreement do not require payments by the Company or any Subsidiary that are materially in excess of those required pursuant to the terms of the original agreement in effect on the Issue Date as reasonably determined in good faith by the Company;
(10) [reserved];
(11) transactions with customers, clients, suppliers, or purchasers or sellers of goods or services, in each case in the ordinary course of business and otherwise in compliance with the terms of the Indenture that are fair to the Company and the Restricted Subsidiaries, in the reasonable determination of the Board of Directors or the senior management of the Company, or are on terms at least as favorable as might reasonably have been obtained at such time from an unaffiliated party;
(12) the issuance or transfer of Equity Interests (other than Disqualified Stock) of the Company to any Permitted Holder or to any former, current or future director, manager, officer, employee or consultant (or their respective estates, investment funds, investment vehicles, spouses or former spouses) of the Company, any of its subsidiaries or any direct or indirect parent company thereof;
(13) sales of accounts receivable, or participations therein, in connection with any Receivables Facility;
(14) investments by the Sponsors and the Co-Investors in securities of the Company or any of its Restricted Subsidiaries so long as (i) the investment is being offered generally to other investors on the same or more favorable terms and (ii) the investment constitutes less than 5.0% of the proposed or outstanding issue amount of such class of securities;
(15) payments to or from, and transactions with, any joint ventures in the ordinary course of business; and
(16) payments by the Company (and any direct or indirect parent thereof) and its Subsidiaries pursuant to tax sharing agreements among the Company (and any such parent) and its Subsidiaries on customary terms to the extent attributable to the ownership or operation of the Company and its Subsidiaries; provided that in each case the amount of such payments in any fiscal year does not exceed the amount that the Company, its Restricted Subsidiaries and its Unrestricted Subsidiaries (to the extent of amounts received by the Company or a Restricted Subsidiary from Unrestricted Subsidiaries) would be required to pay in respect of foreign, federal, state and/or local consolidated, combined or similar taxes for such fiscal year were the Company and its Restricted Subsidiaries (and its Unrestricted Subsidiaries, to the extent described above) to pay such taxes separately from any such parent entity.
Dividend and other payment restrictions affecting Restricted Subsidiaries
The Company will not, and will not permit any Restricted Subsidiary that is not a Guarantor to, directly or indirectly, create or otherwise cause or suffer to exist or become effective any consensual encumbrance or consensual restriction on the ability of any such Restricted Subsidiary to:
(a) (1) pay dividends or make any other distributions to the Company or any Restricted Subsidiary on its Capital Stock or with respect to any other interest or participation in, or measured by, its profits, or
193
(2) pay any Indebtedness owed to the Company or any Restricted Subsidiary;
(b) make loans or advances to the Company or any Restricted Subsidiary; or
(c) sell, lease or transfer any of its properties or assets to the Company or any Restricted Subsidiary,
except (in each case) for such encumbrances or restrictions existing under or by reason of:
(1) contractual encumbrances or restrictions in effect on the Issue Date, including pursuant to the Senior Credit Facilities and the related documentation (including security documents) and Hedging Obligations;
(2) the Indenture, the Notes and the Guarantees;
(3) purchase money obligations for property acquired in the ordinary course of business and Capital Lease Obligations that impose restrictions of the nature discussed in clause (c) above on the property so acquired;
(4) applicable law or any applicable rule, regulation or order;
(5) any agreement or other instrument of a Person acquired by the Company or any Restricted Subsidiary in existence at the time of such acquisition (but not created in connection therewith or in contemplation thereof), which encumbrance or restriction is not applicable to any Person, or the properties or assets of any Person, other than the Person, or the property or assets of the Person, so acquired;
(6) contracts for the sale of assets, including customary restrictions with respect to a Subsidiary pursuant to an agreement that has been entered into for the sale or disposition of all or substantially all of the Capital Stock or assets of such Subsidiary;
(7) Secured Indebtedness that limits the right of the debtor to dispose of the assets securing such Indebtedness otherwise permitted to be incurred pursuant to the covenants described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock and Liens;
(8) restrictions on cash or other deposits or net worth imposed by customers under contracts entered into in the ordinary course of business;
(9) other Indebtedness, Disqualified Stock or Preferred Stock of Foreign Subsidiaries permitted to be incurred after the Issue Date pursuant to the provisions of the covenant described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock;
(10) customary provisions in joint venture agreements and other similar agreements;
(11) customary provisions contained in leases or licenses of intellectual property and other agreements entered into in the ordinary course of business;
(12) restrictions created in connection with any Receivables Facility; provided that in the case of Receivables Facilities established after the Issue Date, such restrictions are necessary or advisable, in the good faith determination of the Company, to effect the transactions contemplated under such Receivables Facility;
(13) restrictions or conditions contained in any trading, netting, operating, construction, service, supply, purchase or other agreement to which the Company or any of its Restricted Subsidiaries is a party entered into in the ordinary course of business; provided that such agreement prohibits the encumbrance of solely the property or assets of the Company or such Restricted Subsidiary that are the subject of such agreement, the payment rights arising thereunder or the proceeds thereof and does not extend to any other asset or property of the Company or such Restricted Subsidiary or the assets or property of any other Restricted Subsidiary;
194
(14) agreements governing other Indebtedness permitted to be incurred under the provisions of the covenant described above under the caption Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock; provided that the restrictions therein either (i) are not materially more restrictive taken as a whole than those contained in agreements governing Indebtedness in effect on the Issue Date, or (ii) are not materially more disadvantageous to holders of the Notes than is customary in comparable financings (as determined by the Company in good faith) and in the case of (ii) such encumbrances or restrictions apply only during the continuance of a default in respect of payment or a financial maintenance covenant relating to such Indebtedness;
(15) any encumbrances or restrictions of the type referred to in clauses (a), (b) and (c) above imposed by any amendments, modifications, restatements, renewals, increases, supplements, refundings, replacements or refinancings of the contracts, instruments or obligations referred to in clauses (1) through (14) above; provided that such amendments, modifications, restatements, renewals, increases, supplements, refundings, replacements or refinancings are, in the good faith judgment of the Company, not materially more restrictive with respect to such encumbrance and other restrictions than those prior to such amendment, modification, restatement, renewal, increase, supplement, refunding, replacement or refinancing; provided, further, that with respect to contracts, instruments or obligations existing on the Issue Date, any amendments, modifications, restatements, renewals, increases, supplements, refundings, replacements or refinancings are not materially more restrictive with respect to such encumbrances and other restrictions than those contained in such contracts, instruments or obligations as in effect on the Issue Date; and
(16) any encumbrances or restrictions contained in Indebtedness permitted to be incurred pursuant to clause (y) of the second paragraph of the covenant described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock that apply only to the Designated Business.
Limitation on Guarantees of Indebtedness by Restricted Subsidiaries
The Company will not permit any of its Wholly Owned Subsidiaries that are Restricted Subsidiaries (and non-Wholly Owned Subsidiaries if such non-Wholly Owned Subsidiaries guarantee other capital markets debt securities), other than a Guarantor or a Foreign Subsidiary, to guarantee the payment of any Indebtedness of the Company or any other Guarantor unless:
(1) such Restricted Subsidiary within 30 days executes and delivers a supplemental indenture to the Indenture providing for a Guarantee by such Restricted Subsidiary, except that with respect to a guarantee of Indebtedness of the Company or any Guarantor, that is by its express terms subordinated in right of payment to the Notes or such Guarantors Guarantee, any such guarantee by such Restricted Subsidiary with respect to such Indebtedness shall be subordinated in right of payment to such Guarantee substantially to the same extent as such Indebtedness is subordinated to the Notes;
(2) such Restricted Subsidiary waives and will not in any manner whatsoever claim or take the benefit or advantage of, any rights of reimbursement, indemnity or subrogation or any other rights against the Company or any other Restricted Subsidiary as a result of any payment by such Restricted Subsidiary under its Guarantee; and
(3) such Restricted Subsidiary shall deliver to the Trustee an opinion of counsel to the effect that:
(a) such Guarantee has been duly executed and authorized; and
(b) such Guarantee constitutes a valid, binding and enforceable obligation of such Restricted Subsidiary, except insofar as enforcement thereof may be limited by bankruptcy, insolvency or similar laws (including all laws relating to fraudulent transfers) and except insofar as enforcement thereof is subject to general principles of equity;
195
provided that this covenant shall not be applicable to any guarantee of any Restricted Subsidiary that existed at the time such Person became a Restricted Subsidiary and was not incurred in connection with, or in contemplation of, such Person becoming a Restricted Subsidiary.
Limitation on line of business
The Indenture provides that the Company and its Restricted Subsidiaries, taken as a whole, will not fundamentally and substantially alter the character of their business, taken as a whole, from the business conducted by the Company and its Restricted Subsidiaries, taken as a whole, on the Issue Date. Notwithstanding the generality of the foregoing, none of (i) the expansion of the professional services provided by the Company and its Restricted Subsidiaries after the Issue Date or (ii) the disposition of a Designated Business pursuant to clause (18) of the covenant described under Certain covenantsLimitation on Restricted Payments or the covenant described under Asset Sales will be deemed a fundamental and substantial alteration for purposes of the immediately preceding sentence.
Reports and other information
Notwithstanding that the Company may not be subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act or otherwise report on an annual and quarterly basis on forms provided for such annual and quarterly reporting pursuant to rules and regulations promulgated by the SEC, the Indenture requires the Company to file with the SEC (and make available to the Trustee and Holders of the Notes (without exhibits), without cost to any Holder, within 15 days after it files (or is otherwise required to file) them with the SEC) from and after the Issue Date,
(1) within 90 days (or any other time period then in effect under the rules and regulations of the Exchange Act with respect to the filing of a Form 10-K by a non-accelerated filer) after the end of each fiscal year, annual reports on Form 10-K, or any successor or comparable form, containing the information required to be contained therein, or required in such successor or comparable form;
(2) within 45 days after the end of each of the first three fiscal quarters of each fiscal year, reports on Form 10-Q containing all quarterly information that would be required to be contained in Form 10-Q, or any successor or comparable form;
(3) promptly from time to time after the occurrence of an event required to be therein reported, such other reports on Form 8-K, or any successor or comparable form; and
(4) any other information, documents and other reports which the Company would be required to file with the SEC if it were subject to Section 15(d) of the Exchange Act;
in each case in a manner that complies in all material respects with the requirements specified in such form; provided that the Company shall not be so obligated to file such reports with the SEC if the SEC does not permit such filing, in which event the Company will make available such information to prospective purchasers of Notes, in addition to providing such information to the Trustee and the Holders of the Notes, in each case within 15 days after the time the Company would be required to file such information with the SEC if it were subject to Section 15(d) of the Exchange Act. In addition, to the extent not satisfied by the foregoing, the Company agrees that, for so long as any Notes are outstanding, it will furnish to Holders and to securities analysts and prospective investors, upon their request, the information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act.
In the event that any direct or indirect parent of the Company becomes a Guarantor of the Notes, the Indenture permits the Company to satisfy its obligations in this covenant with respect to financial information relating to the Company by furnishing financial information relating to such parent; provided that the same is accompanied by consolidating information that explains in reasonable detail the differences between the information relating to such parent, on the one hand, and the information relating to the Company and its
196
Restricted Subsidiaries on a standalone basis, on the other hand. Currently, the Notes are guaranteed for such purpose by Holdings.
Notwithstanding the foregoing, such requirements shall be deemed satisfied prior to the commencement of the exchange offer or the effectiveness of the shelf registration statement described in the Registration Rights Agreement (1) by the filing with the SEC of the exchange offer registration statement or shelf registration statement (or any other similar registration statement), and any amendments thereto, with such financial information that satisfies Regulation S-X, subject to exceptions consistent with the presentation of financial information in this prospectus, to the extent filed within the times specified above, or (2) by posting reports that would be required to be filed substantially in the form required by the SEC on the Companys website (or that of any of its parent companies) or providing such reports to the Trustee within 15 days after the time the Company would be required to file such information with the SEC if it were subject to Section 13 or 15(d) of the Exchange Act, the financial information (including a Managements discussion and analysis of results of operations and financial condition section) that would be required to be included in such reports, subject to exceptions consistent with the presentation of financial information in this prospectus, to the extent filed within the times specified above.
Notwithstanding anything herein to the contrary, the Company will not be deemed to have failed to comply with any of its agreements hereunder for purposes of clause (3) under Events of Default and remedies until 120 days after the date any report hereunder is required to be filed with the SEC (or posted on the Companys website) pursuant to this covenant.
Events of Default and remedies
The following events constitute Events of Default under the Indenture:
(1) default in payment when due and payable, upon redemption, acceleration or otherwise, of payments of principal of, or premium, if any, on the Notes issued under the Indenture;
(2) default for 30 days or more in the payment when due of interest on or with respect to the Notes issued under the Indenture;
(3) failure by the Company or any Guarantor for 60 days after receipt of written notice given by the Trustee or the Holders of at least 30% in principal amount of the then outstanding Notes issued under the Indenture to comply with any of its agreements (other than a default referred to in clauses (1) and (2) above) in the Indenture or the Notes;
(4) default under any mortgage, indenture or instrument under which there is issued or by which there is secured or evidenced any Indebtedness for money borrowed by the Company or any Restricted Subsidiary or the payment of which is guaranteed by the Company or any Restricted Subsidiary, other than Indebtedness owed to the Company or a Restricted Subsidiary, whether such Indebtedness or guarantee now exists or is created after the issuance of the Notes, if both:
(A) such default either:
(i) results from the failure to pay any principal of such Indebtedness at its stated final maturity (after giving effect to any applicable grace periods), or
(ii) relates to an obligation other than the obligation to pay principal of any such Indebtedness at its stated final maturity and results in the holder or holders of such Indebtedness causing such Indebtedness to become due prior to its stated maturity; and
(B) the principal amount of such Indebtedness, together with the principal amount of any other such Indebtedness in default for failure to pay principal at stated final maturity (after giving effect to any applicable grace periods), or the maturity of which has been so accelerated, aggregate $100.0 million or more at any one time outstanding;
197
(5) failure by the Company or any Significant Subsidiary (or any group of Subsidiaries that together would constitute a Significant Subsidiary) to pay final judgments or orders for the payment of money in an aggregate amount exceeding $100.0 million (to the extent not covered by independent third-party insurance as to which the insurer has been notified of such judgment or order and has not denied coverage, it being understood for purposes of the Indenture that the issuance of reservation of rights letter will not be considered a denial of coverage) and such judgment or order shall not have been satisfied, vacated, discharged or stayed or bonded pending an appeal for a period of sixty (60) consecutive days;
(6) certain events of bankruptcy or insolvency with respect to the Company or any Significant Subsidiary (or any group of Subsidiaries that together would constitute a Significant Subsidiary); or
(7) the Guarantee of any Significant Subsidiary (or any group of Subsidiaries that together would constitute a Significant Subsidiary) shall for any reason cease to be in full force and effect or be declared null and void or any responsible officer of any Guarantor that is a Significant Subsidiary (or the responsible officers of any group of Subsidiaries that together would constitute a Significant Subsidiary), as the case may be, denies that it has any further liability under its Guarantee or gives notice to such effect, other than by reason of the termination of the Indenture or the release of any such Guarantee in accordance with the Indenture.
If any Event of Default (other than of a type specified in clause (6) above) occurs and is continuing under the Indenture, the Trustee or the Holders of at least 30% in principal amount of the then outstanding Notes issued under the Indenture may declare the principal, premium, if any, interest and any other monetary obligations on all the then outstanding Notes issued under the Indenture to be due and payable immediately.
Upon the effectiveness of such declaration, such principal of and premium, if any, and interest on the Notes will be due and payable immediately. Notwithstanding the foregoing, in the case of an Event of Default arising under clause (6) of the first paragraph of this section, all outstanding Notes will become due and payable without further action or notice. The Indenture provides that the Trustee may withhold from Holders notice of any continuing Default, except a Default relating to the payment of principal of and premium, if any, and interest on the Notes if it determines that withholding notice is in their interest. In addition, the Trustee will have no obligation to accelerate the Notes if in the best judgment of the Trustee acceleration is not in the best interests of the Holders of such Notes.
The Indenture provides that the Holders of a majority in aggregate principal amount of the then outstanding Notes issued thereunder by notice to the Trustee may, on behalf of the Holders of all of such Notes, waive any existing Default and its consequences under the Indenture, except a continuing Default in the payment of principal of and premium, if any, or interest on any such Notes held by a non-consenting Holder. In the event of any Event of Default specified in clause (4) above, such Event of Default and all consequences thereof (excluding any resulting payment default, other than as a result of acceleration of the Notes) shall be annulled, waived and rescinded automatically and without any action by the Trustee or the Holders if, within 20 days after such Event of Default arose,
(x) the Indebtedness or guarantee that is the basis for such Event of Default has been discharged,
(y) the holders thereof have rescinded or waived the acceleration, notice or action (as the case may be) giving rise to such Event of Default, or
(z) the default that is the basis for such Event of Default has been cured.
Except to enforce the right to receive payments of principal of and premium, if any, and interest on the Notes when due, no Holder may pursue any remedy with respect to the Indenture or the Notes unless:
(1) such Holder has previously given the Trustee notice that an Event of Default is continuing;
198
(2) Holders of at least 30% in principal amount of the then outstanding Notes have requested the Trustee to pursue the remedy;
(3) such Holders have offered the Trustee security or indemnity reasonably satisfactory to the Trustee against any loss, liability or expense;
(4) the Trustee has not complied with such request within 60 days after the receipt thereof and the offer of security or indemnity; and
(5) Holders of a majority in principal amount of the outstanding Notes have not given the Trustee a direction inconsistent with such request within such 60-day period.
The Indenture provides that the Company will be required to deliver to the Trustee annually a statement regarding compliance with the Indenture, and the Company will be required, within five Business Days, upon becoming aware of any Default, to deliver to the Trustee a statement specifying such Default.
No personal liability of directors, officers, employees and stockholders
No director, officer, employee, incorporator or stockholder of the Company or any Guarantor (other than in the case of stockholders of any Guarantor, the Company or another Guarantor) or any of their parent companies shall have any liability for any obligations of the Company or the Guarantors under the Notes, the Guarantees and the Indenture or for any claim based on, in respect of, or by reason of such obligations or their creation. Each Holder by accepting a Note waives and releases all such liability. The waiver and release are part of the consideration for issuance of the Notes.
Legal Defeasance and Covenant Defeasance
The Company may, at its option and at any time, elect to have all of its obligations discharged with respect to the Notes issued under the Indenture and have each Guarantors obligation discharged with respect to its Guarantee (Legal Defeasance) and cure all then existing Events of Default except for:
(1) | the rights of Holders of Notes issued under the Indenture to receive payments in respect of the principal of, premium, if any, and interest on such Notes when such payments are due solely out of the trust created pursuant to the Indenture; |
(2) | the Companys obligations with respect to Notes issued under the Indenture concerning issuing temporary notes, registration of such Notes, mutilated, destroyed, lost or stolen notes and the maintenance of an office or agency for payment and money for security payments held in trust; |
(3) | the rights, powers, trusts, duties and immunities of the Trustee, and the Companys obligations in connection therewith; and |
(4) | the Legal Defeasance provisions of the Indenture. |
In addition, the Company may, at its option and at any time, elect to have its obligations and those of each Guarantor released with respect to certain covenants that are described in the Indenture (Covenant Defeasance) and thereafter any omission to comply with such obligations shall not constitute a Default with respect to the Notes. In the event Covenant Defeasance occurs, certain events (not including bankruptcy, receivership, rehabilitation and insolvency events pertaining to the Company) described under Events of Default and remedies will no longer constitute an Event of Default with respect to the Notes.
In order to exercise either Legal Defeasance or Covenant Defeasance with respect to the Notes issued under the Indenture:
(1) the Company must irrevocably deposit with the Trustee, in trust, for the benefit of the Holders, cash in U.S. dollars, Government Securities, or a combination thereof, in such amounts as will be
199
sufficient, in the opinion of a nationally recognized firm of independent public accountants, to pay the principal of, premium, if any, and interest due on the Notes issued under the Indenture on the stated maturity date or on the redemption date, as the case may be, of such principal, premium, if any, or interest on the Notes, and the Company must specify whether such Notes are being defeased to maturity or to a particular redemption date;
(2) in the case of Legal Defeasance, the Company shall have delivered to the Trustee an opinion of counsel in the United States of America reasonably acceptable to the Trustee confirming that, subject to customary assumptions and exclusions,
(A) the Company has received from, or there has been published by, the United States Internal Revenue Service a ruling, or
(B) since the original issuance of the Notes, there has been a change in the applicable U.S. Federal income tax law,
in either case to the effect that, and based thereon such opinion of counsel in the United States of America shall confirm that, subject to customary assumptions and exclusions, the Holders will not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such Legal Defeasance and will be subject to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such Legal Defeasance had not occurred;
(3) in the case of Covenant Defeasance, the Company shall have delivered to the Trustee an opinion of counsel in the United States of America reasonably acceptable to the Trustee confirming that, subject to customary assumptions and exclusions, the Holders will not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such Covenant Defeasance and will be subject to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such Covenant Defeasance had not occurred;
(4) no Default (other than that resulting from borrowing funds to be applied to make such deposit and any similar and simultaneous deposit relating to other Indebtedness and, in each case, the granting of Liens in connection therewith) shall have occurred and be continuing on the date of such deposit;
(5) such Legal Defeasance or Covenant Defeasance shall not result in a breach or violation of, or constitute a default under any of the Senior Credit Facilities or any other material agreement or instrument (other than the Indenture) to which, the Company or any Guarantor is a party or by which the Company or any Guarantor is bound;
(6) the Company shall have delivered to the Trustee an opinion of counsel in the United States of America and reasonably acceptable to the Trustee to the effect that, as of the date of such opinion and subject to customary assumptions and exclusions, following the deposit, the trust funds will not be subject to the effect of any applicable bankruptcy, insolvency, reorganization or similar laws affecting creditors rights generally under any applicable U.S. Federal or state law, and that the Trustee has a perfected security interest in such trust funds for the ratable benefit of the Holders;
(7) the Company shall have delivered to the Trustee an Officers Certificate stating that the deposit was not made by the Company with the intent of defeating, hindering, delaying or defrauding any creditors of the Company, or any Guarantor or others; and
(8) the Company shall have delivered to the Trustee an Officers Certificate and an opinion of counsel in the United States of America and reasonably acceptable to the Trustee (which opinion of counsel may be subject to customary assumptions and exclusions) each stating that all conditions precedent provided for or relating to the Legal Defeasance or the Covenant Defeasance, as the case may be, have been complied with.
200
Satisfaction and discharge
The Indenture will be discharged and will cease to be of further effect as to all Notes issued thereunder, when either:
(a) all such Notes theretofore authenticated and delivered, except lost, stolen or destroyed Notes which have been replaced or paid and Notes for whose payment money has theretofore been deposited in trust, have been delivered to the Trustee for cancellation; or
(b) (1) all such Notes not theretofore delivered to such Trustee for cancellation have become due and payable by reason of the making of a notice of redemption or otherwise, will become due and payable within one year or are to be called for redemption within one year under arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the expense, of the Company and the Company or any Guarantor has irrevocably deposited or caused to be deposited with such Trustee as trust funds in trust solely for the benefit of the Holders, cash in U.S. dollars, Government Securities, or a combination thereof, in such amounts as will be sufficient without consideration of any reinvestment of interest to pay and discharge the entire indebtedness on such Notes not theretofore delivered to the Trustee for cancellation for principal, premium, if any, and accrued interest to the date of maturity or redemption, as the case may be;
(2) no Default (other than that resulting from borrowing funds to be applied to make such deposit and any similar and simultaneous deposit relating to other Indebtedness and, in each case, the granting of Liens in connection therewith) with respect to the Indenture or the Notes issued thereunder shall have occurred and be continuing on the date of such deposit or shall occur as a result of such deposit and such deposit will not result in a breach or violation of, or constitute a default under, the Senior Credit Facilities or any other agreement or instrument to which the Company or any Guarantor is a party or by which the Company or any Guarantor is bound;
(3) the Company has paid or caused to be paid all sums payable by it under the Indenture; and
(4) the Company has delivered irrevocable instructions to the Trustee under the Indenture to apply the deposited money toward the payment of such Notes at maturity or the redemption date, as the case may be.
In addition, the Company must deliver an Officers Certificate and an opinion of counsel to the Trustee stating that all conditions precedent to satisfaction and discharge have been satisfied.
Transfer and exchange
A Holder may transfer or exchange Notes in accordance with the Indenture. The registrar and the Trustee may require a Holder, among other things, to furnish appropriate endorsements and transfer documents and the Company may require a Holder to pay any taxes and fees required by law or permitted by the Indenture. The Company is not required to transfer or exchange any Note selected for redemption. Also, the Company is not required to transfer or exchange any Note for a period of 15 days before a selection of Notes to be redeemed.
The registered Holder of a Note may be treated as the owner of the Note for all purposes.
Amendment, supplement and waiver
Except as provided in the next two succeeding paragraphs, the Indenture, any related Guarantee and the Notes issued thereunder may be amended or supplemented with the consent of the Holders of at least a majority in principal amount of the Notes then outstanding and issued under the Indenture, including consents obtained in connection with a purchase of, or tender offer or exchange offer for, Notes, and any existing Default or compliance with any provision of the Indenture or the Notes issued thereunder may be waived with the consent of the Holders of a majority in principal amount of the then outstanding Notes issued under the Indenture, including consents obtained in connection with a purchase of, or tender offer or exchange offer for, Notes, in each case other than Notes beneficially owned by the Company or its Affiliates.
201
The Indenture provides that, without the consent of each Holder affected, an amendment or waiver may not, with respect to any Notes issued under the Indenture and held by a non-consenting Holder:
(1) reduce the principal amount of Notes whose Holders must consent to an amendment, supplement or waiver;
(2) reduce the principal of or change the fixed final maturity of any such Note or alter or waive the provisions with respect to the redemption of the Notes (other than provisions relating to the covenants described above under Repurchase at the option of Holders);
(3) reduce the rate of or change the time for payment of interest on any Note;
(4) waive a Default in the payment of principal of or premium, if any, or interest on the Notes issued under the Indenture, except a rescission of acceleration of the Notes by the Holders of at least a majority in aggregate principal amount of the then outstanding Notes and a waiver of the payment default that resulted from such acceleration, or in respect of a covenant or provision contained in the Indenture or any Guarantee that cannot be amended or modified without the consent of all Holders;
(5) make any Note payable in money other than that stated in the Notes;
(6) make any change in the provisions of the Indenture relating to waivers of past Defaults or the rights of Holders to receive payments of principal of or premium, if any, or interest on the Notes;
(7) make any change in the ranking of the Indenture or the Notes that would adversely affect the Holders;
(8) except as expressly permitted by the Indenture, modify the Guarantee of any Significant Subsidiary (or any group of Subsidiaries that together would constitute a Significant Subsidiary) in any manner adverse to the Holders;
(9) make any change in these amendment and waiver provisions; or
(10) impair the right of any Holder to receive payment of principal of, or interest on, such Holders Notes on or after the due dates therefor or to institute suit for the enforcement of any payment on or with respect to such Holders Notes.
Notwithstanding the foregoing, without the consent of any Holder, the Company, any Guarantor (with respect to a Guarantee or the Indenture) and the Trustee may amend or supplement the Indenture, any Guarantee or the Notes:
(1) to cure any ambiguity, omission, mistake, defect or inconsistency;
(2) to provide for uncertificated notes in addition to or in place of certificated notes;
(3) to comply with the covenant relating to mergers, consolidations and sales of assets and to provide for the assumption of the Companys, or any Guarantors obligations to Holders in connection therewith;
(4) to make any change that would provide any additional rights or benefits to the Holders or that does not adversely affect the legal rights under the Indenture of any such Holder;
(5) to add covenants for the benefit of the Holders or to surrender any right or power conferred upon the Company or a Guarantor;
(6) to comply with requirements of the SEC in order to effect or maintain the qualification of the Indenture under the Trust Indenture Act;
(7) to evidence and provide for the acceptance and appointment under the Indenture of a successor Trustee pursuant to the requirements thereof;
202
(8) to provide for the issuance of exchange notes or private exchange notes, which are identical to exchange notes except that they are not freely transferable;
(9) to add a Guarantor or other guarantor under the Indenture;
(10) to conform the text of the Indenture, the Guarantees or the Notes to any provision of this Description of Notes to the extent that such provision in this Description of Notes was intended to be a verbatim recitation of a provision of the Indenture, the Guarantees or the Notes; or
(11) to make any amendment to the provisions of the Indenture relating to the transfer and legending of Notes; provided, however, that (a) compliance with the Indenture as so amended would not result in Notes being transferred in violation of the Securities Act or any applicable securities law and (b) such amendment does not materially and adversely affect the rights of Holders to transfer Notes.
The consent of the Holders will not be necessary under the Indenture to approve the particular form of any proposed amendment. It is sufficient if such consent approves the substance of the proposed amendment.
Notices
Notices given by publication will be deemed given on the first date on which publication is made and notices given by first-class mail, postage prepaid, will be deemed given five calendar days after mailing.
Concerning the Trustee
The Indenture contains certain limitations on the rights of the Trustee, should it become a creditor of the Company, to obtain payment of claims in certain cases, or to realize on certain property received in respect of any such claim as security or otherwise. The Trustee is permitted to engage in other transactions; however, if it acquires any conflicting interest it must eliminate such conflict within 90 days, apply to the SEC for permission to continue or resign.
The Indenture provides that the Holders of a majority in principal amount of the outstanding Notes issued thereunder will have the right to direct the time, method and place of conducting any proceeding for exercising any remedy available to the Trustee, subject to certain exceptions. The Indenture provides that in case an Event of Default shall occur (which shall not be cured), the Trustee will be required, in the exercise of its power, to use the degree of care of a prudent person in the conduct of his own affairs. Subject to such provisions, the Trustee is under no obligation to exercise any of its rights or powers under the Indenture at the request of any Holder, unless such Holder shall have offered to the Trustee security and indemnity satisfactory to it against any loss, liability or expense.
Governing law
The Indenture, the Notes and any Guarantee are be governed by and construed in accordance with the laws of the State of New York.
Certain definitions
Set forth below are certain defined terms used in the Indenture. Reference is made to the Indenture for a full definition of all such terms, as well as any other capitalized terms used herein for which no definition is provided. For purposes of the Indenture, unless otherwise specifically indicated, (1) the term consolidated with respect to any Person refers to such Person consolidated with its Restricted Subsidiaries, and excludes from such consolidation any Unrestricted Subsidiary as if such Unrestricted Subsidiary were not an Affiliate of such Person and (2) the term including means including, without limitation.
203
Acquired Indebtedness means, with respect to any specified Person,
(1) Indebtedness of any other Person existing at the time such other Person is merged with or into or became a Restricted Subsidiary of such specified Person, including Indebtedness incurred in connection with, or in contemplation of, such other Person merging with or into, or becoming a Restricted Subsidiary of such specified Person, and
(2) Indebtedness secured by a Lien encumbering any asset acquired by such specified Person.
Additional Interest means all liquidated damages then owing pursuant to the Registration Rights Agreement.
Affiliate of any specified Person means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such specified Person. For purposes of this definition, control (including, with correlative meanings, the terms controlling, controlled by and under common control with), as used with respect to any Person, shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by agreement or otherwise.
Applicable Premium means, with respect to any Note on any redemption date, the greater of:
(1) 1.0% of the principal amount of the Note; and
(2) the excess, if any, of:
(a) the present value at such redemption date of (i) the redemption price of such Note at March 15, 2015 (such redemption price being set forth in the table appearing above under the caption Optional Redemption), plus (ii) all required interest payments due on such Note through March 15, 2015 (excluding accrued but unpaid interest to the redemption date), computed using a discount rate equal to the Treasury Rate as of such redemption date plus 50 basis points; over
(b) the principal amount of the Note.
Asset Sale means:
(1) the sale, conveyance, transfer or other disposition, whether in a single transaction or a series of related transactions, of property or assets (including by way of a Sale and Lease-Back Transaction) of the Company or any Restricted Subsidiary (each referred to in this definition as a disposition); and
(2) the issuance or sale of Equity Interests of any Restricted Subsidiary, whether in a single transaction or a series of related transactions (other than Preferred Stock of Restricted Subsidiaries issued in compliance with the covenant described under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock), in each case, other than:
(a) a disposition of cash, Cash Equivalents or Investment Grade Securities or obsolete or worn-out equipment, vehicles or other similar assets in the ordinary course of business or any disposition of inventory or goods held for sale in the ordinary course of business;
(b) the disposition of all or substantially all of the assets of the Company in a manner permitted pursuant to the provisions described above under Certain covenantsMerger, consolidation or sale of all or substantially all assets or any disposition that constitutes a Change of Control pursuant to the Indenture;
(c) the making of any Permitted Investment or the making of any Restricted Payment that is not prohibited by the covenant described under Certain covenantsLimitation on Restricted Payments;
(d) any disposition of assets or issuance or sale of Equity Interests of any Restricted Subsidiary in any transaction or series of transactions with an aggregate fair market value of less than $50.0 million;
204
(e) any disposition of property or assets or issuance of securities by a Restricted Subsidiary to the Company or by the Company or a Restricted Subsidiary to a Restricted Subsidiary (including through the dissolution of a Restricted Subsidiary);
(f) to the extent allowable under Section 1031 of the Internal Revenue Code of 1986 (or comparable or successor provision), any exchange of like property (excluding any boot thereon) for use in a Similar Business;
(g) the lease, assignment or sublease of any real or personal property in the ordinary course of business;
(h) any issuance or sale of Equity Interests in, or Indebtedness or other securities of, an Unrestricted Subsidiary;
(i) foreclosures on assets;
(j) sales of accounts receivable, or participations therein, in connection with any Receivables Facility;
(k) the unwinding of any Hedging Obligations;
(l) dispositions of assets in connection with Sale and Lease-Back Transactions to the extent that the Attributable Debt associated therewith outstanding at any one time does not exceed the greater of (x) $150.0 million and (y) 1.5% of Total Assets; and
(m) the disposition of assets comprising a Designated Business to any existing Subsidiary of the Company or any newly formed Subsidiary of the Company, prior to any disposition of such Designated Business, that are completed substantially concurrently with, or reasonably in advance of, the disposition of such Designated Business.
Attributable Debt in respect of a Sale and Lease-Back Transaction means, as at the time of determination, the present value (discounted at the interest rate borne by the Notes, compounded annually) of the total obligations of the lessee for rental payments during the remaining term of the lease included in such Sale and Lease-Back Transaction (including any period for which such lease has been extended); provided, however, that if such Sale and Lease-Back Transaction results in a Capitalized Lease Obligation, the amount of Indebtedness represented thereby will be determined in accordance with the definition of Capitalized Lease Obligation.
Board of Directors means:
(1) with respect to a corporation, the board of directors of the corporation;
(2) with respect to a partnership, the board of directors of the general partner of the partnership; and
(3) with respect to any other Person, the board or committee of such Person serving a similar function.
Board Resolution means, with respect to the Company, a duly adopted resolution of the Board of Directors of the Company or any committee thereof.
Business Day means each day that is not a Legal Holiday.
Capital Stock means:
(1) in the case of a corporation, corporate stock;
(2) in the case of an association or business entity, any and all shares, interests, participations, rights or other equivalents (however designated) of corporate stock;
205
(3) in the case of a partnership or limited liability company, partnership or membership interests (whether general or limited); and
(4) any other interest or participation that confers on a Person the right to receive a share of the profits and losses of, or distributions of assets of, the issuing Person.
Capitalized Lease Obligation means, at the time any determination thereof is to be made, the amount of the liability in respect of a capital lease that would at such time be required to be capitalized and reflected as a liability on a balance sheet (excluding the footnotes thereto) in accordance with GAAP.
Cash Equivalents means:
(1) United States of America dollars;
(2)(a) Canadian dollars;
(b) euro;
(c) yen;
(d) sterling; or
(e) in the case of any Foreign Subsidiary that is a Restricted Subsidiary, such local currencies held by it from time to time in the ordinary course of business;
(3) securities issued or directly and fully and unconditionally guaranteed or insured by the government of the United States of America or any agency or instrumentality thereof the securities of which are unconditionally guaranteed as a full faith and credit obligation of such government with maturities of 24 months or less from the date of acquisition;
(4) certificates of deposit, time deposits and eurodollar time deposits with maturities of one year or less from the date of acquisition, bankers acceptances with maturities not exceeding one year and overnight bank deposits, in each case with any commercial bank having capital and surplus in excess of $250.0 million;
(5) repurchase obligations for underlying securities of the types described in clauses (3) and (4) entered into with any financial institution meeting the qualifications specified in clause (4) above;
(6) commercial paper rated at least P-1 by Moodys or at least A-1 by S&P and in each case maturing within 12 months after the date of issuance thereof;
(7) investment funds investing at least 95% of their assets in securities of the types described in clauses (1) through (6) above;
(8) readily marketable direct obligations issued by any state of the United States of America or any political subdivision thereof having one of the two highest rating categories obtainable from either Moodys or S&P with maturities of 24 months or less from the date of acquisition; and
(9) Indebtedness or Preferred Stock issued by Persons with a rating of A or higher from S&P or A2 or higher from Moodys with maturities of 12 months or less from the date of acquisition.
Notwithstanding the foregoing, Cash Equivalents shall include amounts denominated in currencies other than those set forth in clauses (1) and (2) above; provided that such amounts are converted into one or more of the currencies set forth in clauses (1) and (2) above as promptly as practicable and in any event within ten Business Days following the receipt of such amounts.
Change of Control means the occurrence of any of the following:
(1) the sale, lease or transfer, in one or a series of related transactions, of all or substantially all of the assets of the Company and its Subsidiaries, taken as a whole, to any Person other than a Permitted
206
Holder; provided that the disposition of a Designated Business pursuant to either (a) clause (18) of the covenant described under Certain covenantsLimitation on Restricted Payments or (b) the covenant described under Asset Sales, will not constitute a sale of all or substantially all of the assets of the Company and its Subsidiaries, taken as a whole, for purposes of this clause, so long as the Consolidated Leverage Ratio of the Company would be no greater than 6.00 to 1.00 after giving pro forma effect to such sale (including the application of the net proceeds therefrom);
(2) the Company becomes aware of (by way of a report or any other filing pursuant to Section 13(d) of the Exchange Act, proxy, vote, written notice or otherwise) the acquisition by any Person or group (within the meaning of Section 13(d)(3) or Section 14(d)(2) of the Exchange Act, or any successor provision), including any group acting for the purpose of acquiring, holding or disposing of securities (within the meaning of Rule 13d-5(b)(1) under the Exchange Act, or any successor provision), other than the Permitted Holders, in a single transaction or in a series of related transactions, by way of merger, consolidation or other business combination or purchase of beneficial ownership (within the meaning of Rule 13d-3 under the Exchange Act, or any successor provision) of 50% or more of the total voting power of the Voting Stock of the Company or any of its direct or indirect parent companies.
Co-Investors means Joseph Neubauer and his Controlled Investment Affiliates.
Company has the meaning set forth in the second paragraph under General; provided that when used in the context of determining the fair market value of an asset or liability under the Indenture, Company shall, unless otherwise expressly stated, be deemed to mean the Board of Directors of the Company when the fair market value of such asset or liability is equal to or in excess of $100.0 million.
Consolidated Depreciation and Amortization Expense means, with respect to any Person for any period, the total amount of depreciation and amortization expense, of such Person and its Restricted Subsidiaries for such period on a consolidated basis and otherwise determined in accordance with GAAP.
Consolidated Interest Expense means, with respect to any Person for any period, the sum, without duplication, of:
(a) consolidated interest expense of such Person and its Restricted Subsidiaries for such period to the extent such expense was deducted (and not added back) in computing Consolidated Net Income (including (a) amortization of original issue discount resulting from the issuance of Indebtedness at less than par, (b) all commissions, discounts and other fees and charges owed with respect to letters of credit or bankers acceptances, (c) noncash interest payments (but excluding any noncash interest expense attributable to the movement in the mark-to-market valuation of Hedging Obligations or other derivative instruments pursuant to GAAP), (d) the interest component of Capitalized Lease Obligations, (e) net payments, if any, pursuant to interest rate Hedging Obligations with respect to Indebtedness and (f) commissions, discounts, yield and other fees and charges in the nature of interest expense related to any Receivables Facility, and excluding (i) Additional Interest, (ii) amortization of deferred financing fees, debt issuance costs, commissions, fees and expenses, (iii) any expensing of bridge, commitment and other financing fees and (iv) any redemption premiums paid in connection with the redemption of the Existing Other Notes), plus
(b) consolidated capitalized interest of such Person and its Restricted Subsidiaries for such period, whether paid or accrued, less
(c) interest income for such period, plus
(d) to the extent that 50% of the EBITDA attributable to AIM Services Co., Ltd. is included in EBITDA of the Company and its Restricted Subsidiaries pursuant to clause (3)(c) of the definition thereof, the amount of consolidated interest expense added back to calculate such 50% of EBITDA of AIM Services Co., Ltd.
207
For purposes of this definition, interest on a Capitalized Lease Obligation shall be deemed to accrue at an interest rate reasonably determined by such Person to be the rate of interest implicit in such Capitalized Lease Obligation in accordance with GAAP.
Consolidated Leverage Ratio means, as of any date of determination, the ratio of (a) Consolidated Total Indebtedness of the Company and the Restricted Subsidiaries as of the end of the most recent fiscal quarter for which financial statements have been delivered pursuant to the covenant described under Certain CovenantsReports and Other Information immediately preceding the date on which such event for which such calculation is being made shall occur to (b) the consolidated amount of EBITDA of the Company and the Restricted Subsidiaries for the period of the most recently ended consecutive four full fiscal quarters for which financial statements have been delivered pursuant to the covenant described under Certain CovenantsReports and Other Information immediately preceding the date on which such event for which such calculation is being made shall occur, in each case with such pro forma adjustments to Consolidated Total Indebtedness and EBITDA as are appropriate and consistent with the pro forma adjustment provisions set forth in the definition of Fixed Charge Coverage Ratio.
Consolidated Net Income means, with respect to any Person for any period, the aggregate of the Net Income of such Person and its Restricted Subsidiaries for such period, on a consolidated basis, and otherwise determined in accordance with GAAP; provided that, without duplication,
(1) any net after-tax extraordinary, non-recurring or unusual gains or losses (less all fees and expenses relating thereto) or expenses (including relating to severance, relocation, unusual contract terminations, one time compensation charges, warrants or options to purchase Capital Stock of a direct or indirect parent of the Company and the Transactions) shall be excluded,
(2) the Net Income for such period shall not include the cumulative effect of a change in accounting principles during such period, in accordance with GAAP,
(3) any net after-tax income (loss) from disposed or discontinued operations and any net after-tax gains or losses on disposal of disposed or discontinued operations shall be excluded,
(4) any net after-tax gains or losses (less all fees and expenses relating thereto) attributable to asset dispositions or the sale or other disposition of any Capital Stock of any Person other than in the ordinary course of business, as determined in good faith by the Company, shall be excluded,
(5) the Net Income for such period of any Person that is not a Subsidiary, or is an Unrestricted Subsidiary, or that is accounted for by the equity method of accounting, shall be excluded; provided that Consolidated Net Income of the Company shall be increased by the amount of dividends or distributions or other payments that are actually paid in cash (or to the extent converted into cash) to the referent Person or a Restricted Subsidiary thereof in respect of such period (subject in the case of dividends, distributions or other payments made to a Restricted Subsidiary to the limitations contained in clause (6) below),
(6) solely for the purpose of determining the amount available for Restricted Payments under clause (c)(1) of the first paragraph of Certain covenantsLimitation on Restricted Payments, the Net Income for such period of any Restricted Subsidiary (other than any Guarantor) shall be excluded if the declaration or payment of dividends or similar distributions by that Restricted Subsidiary of its Net Income is not at the date of determination wholly permitted without any prior governmental approval (which has not been obtained) or, directly or indirectly, by the operation of the terms of its charter or any agreement, instrument, judgment, decree, order, statute, rule, or governmental regulation applicable to that Restricted Subsidiary or its stockholders, unless such restriction with respect to the payment of dividends or similar distributions has been legally waived; provided that Consolidated Net Income of the Company will be increased by the amount of dividends or other distributions or other payments actually paid in cash (or to the extent converted into cash) to the Company or a Restricted Subsidiary thereof in respect of such period, to the extent not already included therein,
208
(7) any increase in amortization or depreciation or other noncash charges resulting from the application of purchase accounting in relation to the Merger Transactions or any acquisition that is consummated after January 26, 2007, net of taxes, shall be excluded,
(8) any net after-tax income (loss) from the early extinguishment of Indebtedness or Hedging Obligations or other derivative instruments shall be excluded,
(9) any impairment charge or asset write-off, in each case pursuant to GAAP, and the amortization of intangibles arising pursuant to GAAP shall be excluded, and
(10) any noncash compensation expense resulting from the application of Accounting Standards Codification 718 shall be excluded.
Notwithstanding the foregoing, for the purpose of the covenant described under Certain covenantsLimitation on Restricted Payments only (other than clause (c)(4) thereof), there shall be excluded from Consolidated Net Income any income arising from any sale or other disposition of Restricted Investments made by the Company and the Restricted Subsidiaries, any repurchases and redemptions of Restricted Investments from the Company and the Restricted Subsidiaries, any repayments of loans and advances that constitute Restricted Investments by the Company or any Restricted Subsidiary, any sale of the stock of an Unrestricted Subsidiary or any distribution or dividend from an Unrestricted Subsidiary, in each case only to the extent such amounts increase the amount of Restricted Payments permitted under such covenant pursuant to clause (c)(4) thereof.
Consolidated Secured Debt Ratio means, as of any date of determination, the ratio of (a) Consolidated Total Indebtedness of the Company and the Restricted Subsidiaries that is secured by Liens as of the end of the most recent fiscal quarter for which internal financial statements are available immediately preceding the date on which such event for which such calculation is being made shall occur to (b) the consolidated amount of EBITDA of the Company and the Restricted Subsidiaries for the period of the most recently ended consecutive four full fiscal quarters for which internal financial statements are available immediately preceding the date on which such event for which such calculation is being made shall occur, in each case with such pro forma adjustments to Consolidated Total Indebtedness and EBITDA as are appropriate and consistent with the pro forma adjustment provisions set forth in the definition of Fixed Charge Coverage Ratio; provided that, for purposes of the foregoing calculation, in the event that the Company shall classify Liens incurred on the date of determination as incurred in part pursuant to clause (28) of Permitted Liens and in part pursuant to one or more other clauses of Permitted Liens, Consolidated Total Indebtedness shall not include any such Indebtedness incurred pursuant to one or more such other clauses of such second paragraph, and shall not give effect to any repayment, repurchase, redemption, defeasance or other acquisition, retirement or discharge of Indebtedness from the proceeds thereof.
Consolidated Total Indebtedness means, as at any date of determination, an amount equal to the sum (without duplication) of (1) the aggregate amount of all outstanding Indebtedness of the Company and the Restricted Subsidiaries on a consolidated basis consisting of Indebtedness for borrowed money, Obligations in respect of Capitalized Lease Obligations, Attributable Debt in respect of Sale and Lease-Back Transactions and debt obligations evidenced by bonds, notes, debentures or similar instruments or letters of credit or bankers acceptances (excluding any undrawn letters of credit), in each case determined on a consolidated basis in accordance with GAAP, (2) the aggregate amount of all outstanding Disqualified Stock of the Company and all Disqualified Stock and Preferred Stock of the Restricted Subsidiaries on a consolidated basis, with the amount of such Disqualified Stock and Preferred Stock equal to the greater of their respective voluntary or involuntary liquidation preferences and Maximum Fixed Repurchase Prices, in each case determined on a consolidated basis in accordance with GAAP and (3) the aggregate outstanding amount of advances relating to any Receivables Facility.
For purposes hereof, the Maximum Fixed Repurchase Price of any Disqualified Stock or Preferred Stock that does not have a fixed repurchase price shall be calculated in accordance with the terms of such Disqualified
209
Stock or Preferred Stock as if such Disqualified Stock or Preferred Stock were purchased on any date on which Consolidated Total Indebtedness shall be required to be determined pursuant to the Indenture, and if such price is based upon, or measured by, the fair market value of such Disqualified Stock or Preferred Stock, such fair market value shall be determined reasonably and in good faith by the Company.
Contingent Obligations means, with respect to any Person, any obligation of such Person guaranteeing any leases, dividends or other obligations that do not constitute Indebtedness (the primary obligations) of any other Person (the primary obligor) in any manner, whether directly or indirectly, including any obligation of such Person, whether or not contingent,
(1) to purchase any such primary obligation or any property constituting direct or indirect security therefor,
(2) to advance or supply funds:
(A) for the purchase or payment of any such primary obligation, or
(B) to maintain working capital or equity capital of the primary obligor or otherwise to maintain the net worth or solvency of the primary obligor, or
(3) to purchase property, securities or services primarily for the purpose of assuring the owner of any such primary obligation of the ability of the primary obligor to make payment of such primary obligation against loss in respect thereof.
Controlled Investment Affiliate means, as to any Person, any other Person which directly or indirectly is in control of, is controlled by, or is under common control with such Person and is organized by such Person (or any Person controlling such Person) primarily for making direct or indirect equity or debt investments in the Company and/or other companies.
Default means any event that is, or with the passage of time or the giving of notice or both would be, an Event of Default.
Designated Business means the operations and/or assets comprising one or more lines of business or similar internal business unit of the Company and/or its Subsidiaries (including but not limited to all assets used in or reasonably related to such business, Equity Interests of any Subsidiary owning or operating any such business and cash and Cash Equivalents that are incidental to such business but excluding any other cash and Cash Equivalents) designated in writing by the Company in an Officers Certificate as a Designated Business so long as the sum of the Designated Business EBITDA of such Designated Business plus the Designated Business EBITDA of each other Designated Business previously disposed of pursuant to clause (18) of the second paragraph of the covenant described under Certain CovenantsLimitation on Restricted Payments does not account for more than 25% (plus, solely to the extent not included in the EBITDA of the Company and its Restricted Subsidiaries, the Designated Business EBITDA of each Designated Business previously disposed of pursuant to clause (18) of the second paragraph of the covenant described under Certain CovenantsLimitation on Restricted Payments) of the EBITDA of the Company and its Restricted Subsidiaries for the period of four consecutive fiscal quarters most recently ended for which financial statements have been delivered pursuant to the covenant described under Reports and Other Information.
Designated Business EBITDA means, with respect to any Designated Business disposed of pursuant to clause (18) of the second paragraph of the covenant described under Certain CovenantsLimitation on Restricted Payments, the amount of EBITDA of the Company and its Restricted Subsidiaries for the period of four consecutive fiscal quarters most recently ended for which financial statements have been delivered pursuant to the covenant described under Certain CovenantsReports and Other Information prior to the date of such disposition that is derived from or otherwise attributable to such Designated Business.
210
Designated Noncash Consideration means the fair market value of noncash consideration received by the Company or a Restricted Subsidiary in connection with an Asset Sale that is so designated as Designated Noncash Consideration pursuant to an Officers Certificate, setting forth the basis of such valuation, executed by an executive vice president and the principal financial officer of the Company, less the amount of cash or Cash Equivalents received in connection with a subsequent sale of such Designated Noncash Consideration.
Designated Preferred Stock means Preferred Stock of the Company or any parent company thereof (in each case other than Disqualified Stock) that is issued for cash (other than to a Restricted Subsidiary or an employee stock ownership plan or trust established by the Company or any of its Subsidiaries) and is so designated as Designated Preferred Stock pursuant to an Officers Certificate executed by an executive vice president and the principal financial officer of the Company or the applicable parent company thereof, as the case may be, on the issuance date thereof, the cash proceeds of which are excluded from the calculation set forth in clause (c) of the first paragraph under Certain covenantsLimitation on Restricted Payments.
Disqualified Stock means, with respect to any Person, any Capital Stock of such Person which, by its terms, or by the terms of any security into which it is convertible or for which it is convertible or exchangeable, or upon the happening of any event, matures or is mandatorily redeemable (other than solely for Capital Stock that is not Disqualified Stock), other than as a result of a change of control or asset sale, pursuant to a sinking fund obligation or otherwise, or is redeemable at the option of the holder thereof, other than as a result of a change of control or asset sale, in whole or in part, in each case prior to the date that is 91 days after the earlier of the maturity date of the Notes and the date the Notes are no longer outstanding; provided that if such Capital Stock is issued to any plan for the benefit of employees of the Company or its Subsidiaries or by any such plan to such employees, such Capital Stock shall not constitute Disqualified Stock solely because it may be required to be repurchased by the Company or its Subsidiaries in order to satisfy applicable statutory or regulatory obligations; provided, further, that any Capital Stock held by any future, current or former employee, director, manager or consultant (or their respective trusts, estates, investment funds, investment vehicles or Immediate Family Members), of the Company, any of its subsidiaries, any of its direct or indirect parent companies or any other entity in which the Company or a Restricted Subsidiary has an Investment and is designated in good faith as an affiliate by the Board of Directors of the Company (or the Compensation Committee thereof), in each case pursuant to any stockholders agreement management equity plan or stock option plan or any other management or employee benefit plan or agreement shall not constitute Disqualified Stock solely because it may be required to be repurchased by the Company or its subsidiaries.
Domestic Subsidiary means, with respect to any Person, any Restricted Subsidiary of such Person other than (i) a Foreign Subsidiary or (ii) a Subsidiary of a Foreign Subsidiary.
EBITDA means, with respect to any Person for any period, the Consolidated Net Income of such Person for such period;
(1) increased by (without duplication):
(a) provision for taxes based on income or profits, plus franchise or similar taxes, of such Person for such period deducted (and not added back) in computing Consolidated Net Income in such period; plus
(b) consolidated Fixed Charges of such Person for such period to the extent the same was deducted (and not added back) in calculating Consolidated Net Income in such period; plus
(c) Consolidated Depreciation and Amortization Expense of such Person for such period to the extent such depreciation and amortization were deducted (and not added back) in computing Consolidated Net Income in such period; plus
(d) any expenses or charges related to any Equity Offering, Permitted Investment, acquisition, disposition, recapitalization or the incurrence of indebtedness permitted to be incurred by the Indenture including a refinancing thereof (whether or not successful) and any amendment
211
or modification to the terms of any such transactions, including such fees, expenses or charges related to the Transactions, in each case, deducted (and not added back) in computing Consolidated Net Income in such period; plus
(e) the amount of any restructuring charge or reserve deducted (and not added back) in computing Consolidated Net Income in such period, including any one-time costs incurred in connection with (x) acquisitions after the Issue Date or (y) the closing or consolidation of facilities after the Issue Date; plus
(f) any write-offs, write-downs or other noncash charges reducing Consolidated Net Income for such period, excluding any such charge that represents an accrual or reserve for a cash expenditure for a future period; plus
(g) the amount of any minority interest expense deducted (and not added back) in calculating Consolidated Net Income for such period; plus
(h) the amount of management, monitoring, consulting and advisory fees and related expenses paid (or any accruals related to such fees or related expenses) during such period to the Sponsors to the extent permitted under Certain covenantsTransactions with Affiliates; plus
(i) the amount of net cost savings projected by the Company in good faith to be realized during such period (calculated on a pro forma basis as though such cost savings had been realized on the first day of such period) in connection with any acquisition or disposition by the Company or a Restricted Subsidiary, net of the amount of actual benefits realized during such period from such actions; provided that (x) such cost savings are reasonably identifiable and factually supportable, (y) such actions are taken within 18 months after the Closing Date or the date of such acquisition or disposition and (z) the aggregate amount of cost savings added pursuant to this clause (i) shall not exceed the greater of (A) an amount equal to 5% of EBITDA of the Company and its Restricted Subsidiaries for the period of four consecutive fiscal quarters most recently ended prior to the determination date (without giving effect to any adjustments pursuant to this clause (i)) and (B) $50.0 million for any four consecutive quarter period (which adjustments may be incremental to pro forma adjustments made pursuant to the second paragraph of the definition of Fixed Charge Coverage Ratio); plus
(j) any costs or expenses incurred by the Company or a Restricted Subsidiary pursuant to any management equity plan or stock option plan or any other management or employee benefit plan or agreement or any stock subscription or stockholders agreement, to the extent that such costs or expenses are funded with cash proceeds contributed to the capital of the Company or net cash proceeds of issuance of Equity Interests of the Company (other than Disqualified Stock that is Preferred Stock) in each case, solely to the extent that such cash proceeds are excluded from the calculation set forth in clause (c) of the first paragraph under Certain covenantsLimitation on Restricted Payments; plus
(k) to the extent covered by insurance and actually reimbursed, or, so long as the Company has made a determination that there exists reasonable evidence that such amount will in fact be reimbursed by the insurer and only to the extent that such amount is (A) not denied by the applicable carrier in writing within 180 days and (B) in fact reimbursed within 365 days of the date of such evidence (with a deduction for any amount so added back to the extent not so reimbursed within such 365 days), expenses with respect to liability or casualty events or business interruption;
(2) decreased by (without duplication) noncash gains increasing Consolidated Net Income of such Person for such period, excluding any noncash gains that represent the reversal of any accrual of, or cash reserve for, anticipated cash charges in any prior period (other than such cash charges that have been added back to Consolidated Net Income in calculating EBITDA in accordance with this definition); and
212
(3) increased (by losses) or decreased (by gains) by (without duplication):
(a) any net noncash gain or loss resulting in such period from Hedging Obligations and the application of Accounting Standards Codification 718;
(b) any net noncash gain or loss resulting in such period from currency translation gains or losses related to currency remeasurements of Indebtedness; and
(c) 50% of the EBITDA of AIM Services Co., Ltd. (calculated without reference to this clause (3)(c) and including a deduction for any unusual gain on any sales of real estate by such entities consummated prior to the Issue Date).
EMU means the economic and monetary union contemplated by the Treaty of the European Union.
Equity Interests means Capital Stock and all warrants, options or other rights to acquire Capital Stock, but excluding any debt security that is convertible into, or exchangeable for, Capital Stock.
Equity Offering means any public or private sale of common stock or Preferred Stock of the Company or any of its direct or indirect parent companies to the extent contributed to the Company (excluding Disqualified Stock), other than
(a) public offerings with respect to the Companys or any direct or indirect parent companys common stock registered on Form S-4 or Form S-8;
(b) any such public or private sale that constitutes an Excluded Contribution; and
(c) an issuance to any Subsidiary of the Company.
euro means the single currency of participating member states of the EMU.
Exchange Act means the Securities Exchange Act of 1934, as amended, and the rules and regulations of the SEC promulgated thereunder.
Excluded Contribution means net cash proceeds, marketable securities or Qualified Proceeds received by the Company after the Issue Date from:
(a) contributions to its common equity capital (other than from the proceeds of Designated Preferred Stock); and
(b) the sale (other than to a Subsidiary of the Company or to any management equity plan or stock option plan or any other management or employee benefit plan or agreement of the Company) of Capital Stock (other than Disqualified Stock and Designated Preferred Stock) of the Company,
in each case designated as Excluded Contributions pursuant to an Officers Certificate executed by an executive vice president and the principal financial officer of the Company on the date such capital contributions are made or the date such Equity Interests are sold, as the case may be, which are excluded from the calculation set forth in clause
(c) of the first paragraph under Certain covenantsLimitation on Restricted Payments.
Existing Indebtedness means all Indebtedness of the Company and its Restricted Subsidiaries (other than Indebtedness under the Credit Agreement) in existence on the Issue Date.
Fixed Charge Coverage Ratio means, with respect to any Person for any period, the ratio of EBITDA of such Person for such period to the Fixed Charges of such Person for such period. In the event that the Company or any Restricted Subsidiary incurs, assumes, guarantees, redeems, retires or extinguishes any Indebtedness (other than Indebtedness incurred under any revolving credit facility that has been permanently repaid and has
213
not been replaced) or issues or redeems Disqualified Stock or Preferred Stock subsequent to the commencement of the period for which the Fixed Charge Coverage Ratio is being calculated but prior to or simultaneously with the event for which the calculation of the Fixed Charge Coverage Ratio is made (the Calculation Date), then the Fixed Charge Coverage Ratio shall be calculated giving pro forma effect to such incurrence, assumption, guarantee, redemption, retirement or extinguishing of Indebtedness, or such issuance or redemption of Disqualified Stock or Preferred Stock, as if the same had occurred at the beginning of the applicable four-quarter period (the reference period); provided that, for purposes of the foregoing calculation, in the event that the Company shall classify Indebtedness Incurred on the date of determination as incurred in part pursuant to the first paragraph of the covenant described under Limitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock and/or clause (p) of such covenant (other than by reason of subclause (1)(B) of the proviso to such clause (p)) and in part pursuant to one or more other clauses of the second paragraph of such covenant (as provided in the third paragraph of such covenant), Fixed Charges shall exclude any Fixed Charges attributable to any such Indebtedness incurred pursuant to one or more such other clauses of such second paragraph, and shall not give effect to any repayment, repurchase, redemption, defeasance or other acquisition, retirement or discharge of Indebtedness from the proceeds thereof.
For purposes of making the computation referred to above, Investments, acquisitions, dispositions, mergers, consolidations and disposed operations (as determined in accordance with GAAP) that have been made by the Company or any Restricted Subsidiary during the four-quarter reference period or subsequent to such reference period and on or prior to or simultaneously with the Calculation Date shall be calculated on a pro forma basis assuming that all such Investments, acquisitions, dispositions, mergers, consolidations and disposed operations (and the change in any associated fixed charges and the change in EBITDA resulting therefrom) had occurred on the first day of the reference period. If since the beginning of such period any Person (that subsequently became a Restricted Subsidiary or was merged with or into the Company or any Restricted Subsidiary since the beginning of such period) shall have made any Investment, acquisition, disposition, merger, consolidation or disposed operation that would have required adjustment pursuant to this definition, then the Fixed Charge Coverage Ratio shall be calculated giving pro forma effect thereto for such period as if such Investment, acquisition, disposition, merger, consolidation or disposed operation had occurred at the beginning of the reference period.
For purposes of this definition, whenever pro forma effect is to be given to a transaction, the pro forma calculations shall be made in good faith by a responsible financial or accounting officer of the Company. If any Indebtedness bears a floating rate of interest and is being given pro forma effect, the interest on such Indebtedness shall be calculated as if the rate in effect on the Calculation Date had been the applicable rate for the entire period (taking into account any Hedging Obligations applicable to such Indebtedness). Interest on a Capitalized Lease Obligation shall be deemed to accrue at an interest rate reasonably determined by a responsible financial or accounting officer of the Company to be the rate of interest implicit in such Capitalized Lease Obligation in accordance with GAAP. For purposes of making the computation referred to above, interest on any Indebtedness under a revolving credit facility computed on a pro forma basis shall be computed based upon the average daily balance of such Indebtedness during the applicable period. Interest on Indebtedness that may optionally be determined at an interest rate based upon a factor of a prime or similar rate, a eurocurrency interbank offered rate, or other rate, shall be deemed to have been based upon the rate actually chosen, or, if none, then based upon such optional rate chosen as the Company may designate.
Fixed Charges means, with respect to any Person for any period, the sum of:
(a) Consolidated Interest Expense of such Person for such period;
(b) all cash dividend payments or other distributions (excluding items eliminated in consolidation) on any series of Preferred Stock (including any dividends paid to any direct or indirect parent company of the Company in order to permit the payment of dividends by such parent company on its Designated Preferred Stock) during such period; and
(c) all cash dividend payments or other distributions (excluding items eliminated in consolidation) on any series of Disqualified Stock made during such period.
214
Foreign Subsidiary means, with respect to any Person, any Restricted Subsidiary of such Person that is not organized or existing under the laws of the United States of America, any state thereof or the District of Columbia.
Foreign Subsidiary Total Assets means the total amount of all assets of Foreign Subsidiaries of the Company and the Restricted Subsidiaries, determined on a consolidated basis in accordance with GAAP as shown on the most recent balance sheet of the Company.
GAAP means generally accepted accounting principles in the United States of America that are in effect on the Issue Date.
Government Securities means securities that are:
(a) direct obligations of the United States of America for the timely payment of which its full faith and credit is pledged; or
(b) obligations of a Person controlled or supervised by and acting as an agency or instrumentality of the United States of America the timely payment of which is unconditionally guaranteed as a full faith and credit obligation by the United States of America,
which, in either case, are not callable or redeemable at the option of the issuers thereof, and shall also include a depository receipt issued by a bank (as defined in Section 3(a)(2) of the Securities Act), as custodian with respect to any such Government Securities or a specific payment of principal of or interest on any such Government Securities held by such custodian for the account of the holder of such depository receipt; provided that (except as required by law) such custodian is not authorized to make any deduction from the amount payable to the holder of such depository receipt from any amount received by the custodian in respect of the Government Securities or the specific payment of principal of or interest on the Government Securities evidenced by such depository receipt.
guarantee means a guarantee (other than by endorsement of negotiable instruments for collection in the ordinary course of business), direct or indirect, in any manner (including letters of credit and reimbursement agreements in respect thereof), of all or any part of any Indebtedness or other obligations, and, when used as a verb, shall have a corresponding meaning.
Guarantee means the guarantee by any Guarantor of the Companys Obligations under the Indenture and the Notes.
Guarantor means each Restricted Subsidiary of the Company that executes the Indenture as a guarantor on the Issue Date and each other Restricted Subsidiary of the Company that thereafter guarantees the Notes pursuant to the terms of the Indenture.
Hedging Obligations means, with respect to any Person, the obligations of such Person under currency exchange, interest rate or commodity swap agreements, currency exchange, interest rate or commodity cap agreements and currency exchange, interest rate or commodity collar agreements and other agreements or arrangements, in each case designed to protect such Person against fluctuations in currency exchange, interest rates or commodity prices.
Holdco Notes mean the 8.625%/9.375% senior notes due 2016 issued by ARAMARK Holdings Corporation.
Holder means the Person in whose name a Note is registered on the registrars books.
Immediate Family Members means with respect to any individual, such individuals child, stepchild, grandchild or more remote descendant, parent, stepparent, grandparent, spouse, former spouse, qualified
215
domestic partner, sibling, mother-in-law, father-in-law, son-in-law and daughter-in-law (including adoptive relationships) and any trust, partnership or other bona fide estate-planning vehicle the only beneficiaries of which are any of the foregoing individuals or any private foundation or fund that is controlled by any of the foregoing individuals or any donor-advised fund of which any such individual is the donor.
Indebtedness means, with respect to any Person,
(a) any indebtedness (including principal and premium) of such Person, whether or not contingent:
(1) in respect of borrowed money;
(2) evidenced by bonds, notes, debentures or similar instruments or letters of credit or bankers acceptances (or, without double counting, reimbursement agreements in respect thereof);
(3) representing the balance deferred and unpaid of the purchase price of any property (including Capitalized Lease Obligations), except any such balance that constitutes a trade payable or similar obligation to a trade creditor, in each case accrued in the ordinary course of business; or
(4) representing any Hedging Obligations,
if and to the extent that any of the foregoing Indebtedness (other than letters of credit and Hedging Obligations) would appear as a liability upon a balance sheet (excluding the footnotes thereto) of such Person prepared in accordance with GAAP;
(b) to the extent not otherwise included, any obligation by such Person to be liable for, or to pay, as obligor, guarantor or otherwise, on the obligations of the type referred to in clause (a) of a third Person (whether or not such items would appear upon the balance sheet of such obligor or guarantor), other than by endorsement of negotiable instruments for collection in the ordinary course of business;
(c) to the extent not otherwise included, the obligations of the type referred to in clause (a) of a third Person secured by a Lien on any asset owned by such first Person, whether or not such obligations are assumed by such first Person and whether or not such obligations would appear upon the balance sheet of such Person; provided that the amount of such Indebtedness will be the lesser of the fair market value of such asset at the date of determination and the amount of Indebtedness so secured; and
(d) Attributable Debt in respect of Sale and Lease-Back Transactions;
provided, however, that notwithstanding the foregoing, Indebtedness will be deemed not to include (A) Contingent Obligations incurred in the ordinary course of business and (B) Obligations under, or in respect of, Receivables Facility.
Independent Financial Advisor means an accounting, appraisal, investment banking firm or consultant to Persons engaged in Similar Businesses of nationally recognized standing that is, in the good faith judgment of the Company, qualified to perform the task for which it has been engaged and that is independent from the Company and its Affiliates.
Initial Purchasers means Goldman, Sachs & Co., J.P. Morgan Securities LLC, Barclays Capital Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Wells Fargo Securities, LLC, PNC Capital Markets LLC, Rabo Securities USA Inc., Santander Investment Securities Inc. and SMBC Nikko Capital Markets Limited.
Investment Grade Rating means a rating equal to or higher than Baa3 (or the equivalent) by Moodys and BBB- (or the equivalent) by S&P, or an equivalent rating by any other Rating Agency.
Investment Grade Securities means:
(1) securities issued or directly and fully guaranteed or insured by the government of the United States of America or any agency or instrumentality thereof (other than Cash Equivalents);
216
(2) debt securities or debt instruments with a rating of BBB- or higher by S&P or Baa3 or higher by Moodys or the equivalent of such rating by such rating organization, or, if no rating of S&P or Moodys then exists, the equivalent of such rating by any other nationally recognized securities rating agency, but excluding any debt securities or instruments constituting loans or advances among the Company and its Subsidiaries;
(3) investments in any fund that invests exclusively in investments of the type described in clauses (1) and (2), which fund may also hold immaterial amounts of cash pending investment or distribution; and
(4) corresponding instruments in countries other than the United States of America customarily utilized for high quality investments.
Investments means, with respect to any Person, all investments by such Person in other Persons (including Affiliates) in the form of loans (including guarantees), advances or capital contributions (including by means of any transfer of cash or other property to others or any payment for property or services for the account or use of others, but excluding accounts receivable, trade credit, advances to customers, commission, travel and similar advances to officers and employees, in each case made in the ordinary course of business), purchases or other acquisitions for consideration of Indebtedness, Equity Interests or other securities issued by any other Person and investments that are required by GAAP to be classified on the balance sheet (excluding the footnotes) of such Person in the same manner as the other investments included in this definition to the extent such transactions involve the transfer of cash or other property. For purposes of the definition of Unrestricted Subsidiary and the covenant described under Certain covenantsLimitation on Restricted Payments:
(1) Investments shall include the portion (proportionate to the Companys equity interest in such Subsidiary) of the fair market value of the net assets of a Subsidiary of the Company at the time that such Subsidiary is designated an Unrestricted Subsidiary; provided that upon a redesignation of such Subsidiary as a Restricted Subsidiary, the Company shall be deemed to continue to have a permanent Investment in an Unrestricted Subsidiary in an amount (if positive) equal to:
(x) the Companys Investment in such Subsidiary at the time of such redesignation, less
(y) the portion (proportionate to the Companys equity interest in such Subsidiary) of the fair market value of the net assets of such Subsidiary at the time of such redesignation; and
(2) any property transferred to or from an Unrestricted Subsidiary shall be valued at its fair market value at the time of such transfer, in each case as determined in good faith by the Company.
For the avoidance of doubt, a guarantee by a specified Person of the obligations of another Person (the primary obligor) shall be deemed to be an Investment by such specified Person in the primary obligor to the extent of such guarantee except that any guarantee by the Company or any Guarantor of the obligations of a primary obligor in favor of the Company or any Guarantor shall be deemed to be an Investment by the Company or any Guarantor in the Company or any Guarantor.
Issue Date means March 7, 2013.
Legal Holiday means a Saturday, a Sunday or a day on which commercial banking institutions are not required to be open in the State of New York.
Lien means, with respect to any asset, any mortgage, lien (statutory or otherwise), pledge, hypothecation, charge, security interest, preference, priority or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise perfected under applicable law, including any conditional sale or other title retention agreement, any lease in the nature thereof, any option or other agreement to sell or give a security interest in and any filing of or agreement to give any financing statement under the Uniform Commercial Code (or equivalent statutes) of any jurisdiction; provided that in no event shall an operating lease be deemed to constitute a Lien.
217
Management Stockholders means the members of management (and their Controlled Investment Affiliates and Immediate Family Members) of the Company (or its direct parent) who are holders of Equity Interests of any direct or indirect parent companies of the Company on the Issue Date.
Merger means the merger of RMK Acquisition Corporation with and into the Company pursuant to the Merger Agreement.
Merger Agreement means the Agreement and Plan of Merger by and among RMK Acquisition Corporation, RMK Finance LLC and ARAMARK Corporation, dated August 8, 2006.
Merger Transactions means the Merger, together with the financing and other transactions incidental thereto.
Moodys means Moodys Investors Service, Inc. and any successor to its rating agency business.
Net Income means, with respect to any Person, the net income (loss) attributable to such Person, determined in accordance with GAAP and before any reduction in respect of Preferred Stock dividends.
Net Proceeds means the aggregate cash proceeds received by the Company or any Restricted Subsidiary in respect of any Asset Sale, including any cash received upon the sale or other disposition of any Designated Noncash Consideration received in any Asset Sale, net of the direct costs relating to such Asset Sale and the sale or disposition of such Designated Noncash Consideration, including legal, accounting and investment banking fees, and brokerage and sales commissions, any relocation expenses incurred as a result thereof, taxes paid or payable as a result thereof (after taking into account any available tax credits or deductions and any tax sharing arrangements), amounts required to be applied to the repayment of principal, premium, if any, and interest on Indebtedness required (other than by clause (1) of the second paragraph of Repurchase at the option of HoldersAsset Sales) to be paid as a result of such transaction and any deduction of appropriate amounts to be provided by the Company as a reserve in accordance with GAAP against any liabilities associated with the asset disposed of in such transaction and retained by the Company after such sale or other disposition thereof, including pension and other post-employment benefit liabilities and liabilities related to environmental matters or against any indemnification obligations associated with such transaction.
Notes means the Notes.
Obligations means any principal (including reimbursement obligations with respect to letters of credit whether or not drawn), interest (including, to the extent legally permitted, all interest accrued thereon after the commencement of any insolvency or liquidation proceeding at the rate, including any applicable post-default rate, specified in the applicable agreement), premium (if any), guarantees of payment, penalties, fees, indemnifications, reimbursements, expenses, damages and other liabilities payable under the documentation governing any Indebtedness; provided that Obligations with respect to the Notes shall not include fees or indemnification in favor of the Trustee and any other third parties other than the Holders.
Officer means the Chairman of the Board, the Chief Executive Officer, the Chief Financial Officer, the President, any Executive Vice President, Senior Vice President or Vice President, the Treasurer or the Secretary of the Company.
Officers Certificate means a certificate signed on behalf of the Company by two Officers of the Company, one of whom must be the principal executive officer, the principal financial officer, the treasurer or the principal accounting officer of the Company, that meets the requirements set forth in the Indenture.
Permitted Asset Swap means the concurrent purchase and sale or exchange of Related Business Assets or a combination of Related Business Assets and cash or Cash Equivalents between the Company or any of its
218
Restricted Subsidiaries and another Person that is not the Company or any of its Restricted Subsidiaries; provided that any cash or Cash Equivalents received must be applied in accordance with the covenant described under Repurchase at the option of HoldersAsset Sales.
Permitted Holders means each of the Sponsors, the Co-Investors and Management Stockholders and any group (within the meaning of Section 13(d)(3) or Section 14(d)(2) of the Exchange Act, or any successor provision) of which any of the foregoing are members; provided that, in the case of such group and without giving effect to the existence of such group or any other group, the Sponsors, the Co-Investors and Management Stockholders, collectively, have beneficial ownership of more than 50% of the total voting power of the Voting Stock of the Company or any of its direct or indirect parent companies. Any Person or group whose acquisition of beneficial ownership constitutes a Change of Control in respect of which a Change of Control Offer is made in accordance with the requirements of the Indenture will thereafter, together with its Affiliates, constitute an additional Permitted Holder.
Permitted Investments means:
(a) any Investment in the Company or any Restricted Subsidiary;
(b) any Investment in cash and Cash Equivalents or Investment Grade Securities;
(c) (i) any Investment by the Company or any Restricted Subsidiary of the Company in a Person that is engaged in a Similar Business if as a result of such Investment:
(1) such Person becomes a Restricted Subsidiary of the Company, or
(2) such Person, in one transaction or a series of related transactions, is merged, consolidated or amalgamated with or into, or transfers or conveys substantially all of its assets to, or is liquidated into, the Company or a Restricted Subsidiary of the Company, and
(ii) any Investment held by such Person; provided that such Investment was not acquired by such Person in contemplation of such acquisition, merger, consolidation or transfer;
(d) any Investment in securities or other assets not constituting cash, Cash Equivalents or Investment Grade Securities and received in connection with an Asset Sale made pursuant to the provisions of the covenant described under Repurchase at the option of HoldersAsset Sales or any other disposition of assets not constituting an Asset Sale;
(e) any Investment existing on the Issue Date or made pursuant to legally binding written commitments in existence on the Issue Date;
(f) loans and advances to, and guarantees of Indebtedness of, employees not in excess of $15.0 million outstanding at any one time, in the aggregate;
(g) any Investment acquired by the Company or any Restricted Subsidiary:
(1) in exchange for any other Investment or accounts receivable held by the Company or any such Restricted Subsidiary in connection with or as a result of a bankruptcy, workout, reorganization or recapitalization of the Person in which such other Investment is made or which is the obligor with respect to such accounts receivable,
(2) in satisfaction of judgments against other Persons, or
(3) as a result of a foreclosure by the Company or any Restricted Subsidiary with respect to any secured Investment or other transfer of title with respect to any secured Investment in default;
(h) Hedging Obligations permitted under clause (l) of the covenant described in Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock;
219
(i) loans and advances to officers, directors and employees for business-related travel expenses, moving expenses and other similar expenses, in each case incurred in the ordinary course of business or consistent with past practice or to fund such Persons purchase of Equity Interests of the Company or any direct or indirect parent company thereof under compensation plans approved by the Board of Directors of the Company (or the Compensation Committee thereof) in good faith; provided that to the extent that the net proceeds of any such purchase are made to any direct or indirect parent of the Company, such net proceeds are contributed to the Company;
(j) Investments the payment for which consists of Equity Interests of the Company, or any of its direct or indirect parent companies (exclusive of Disqualified Stock); provided that such Equity Interests will not increase the amount available for Restricted Payments under clause (c) of the first paragraph under the covenant described in Certain covenantsLimitation on Restricted Payments;
(k) guarantees of Indebtedness permitted under the covenant described in Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock, performance guarantees in the ordinary course of business and guarantees of the Company or any Restricted Subsidiary to any employee benefit plan of the Company and its Restricted Subsidiaries and any Person acting in its capacity as trustee, agent or other fiduciary of any such plan;
(l) any transaction to the extent it constitutes an investment that is permitted and made in accordance with the provisions of the second paragraph of the covenant described under Certain covenantsTransactions with Affiliates (except transactions described in clauses (2), (6) and (11) of such paragraph);
(m) Investments consisting of purchases and acquisitions of inventory, supplies, material or equipment or the licensing or contribution of intellectual property pursuant to joint marketing arrangements with other Persons;
(n) Investments having an aggregate fair market value, taken together with all other Investments made pursuant to this clause (n) that are at that time outstanding (without giving effect to the sale of an Unrestricted Subsidiary to the extent the proceeds of such sale do not consist of cash or marketable securities), not to exceed the greater of (x) $500.0 million and (y) 5.0% of Total Assets at the time of such Investment (with the fair market value of each Investment being measured at the time made and without giving effect to subsequent changes in value); provided that the aggregate fair market value of Investments (with the fair market value of each Investment being measured at the time made and without giving effect to subsequent changes in value) in Unrestricted Subsidiaries under this clause (n) shall not exceed the greater of (x) $250.0 million and (y) 2.5% of Total Assets;
(o) Investments relating to a Receivables Facility;
(p) Investments in, and solely to the extent contemplated by the organizational documents (as in existence on the Issue Date) of, joint ventures to which the Company or its Restricted Subsidiaries is a party on the Issue Date;
(q) Investments consisting of purchases and acquisition of assets or services in the ordinary course of business; and
(r) Investments made in the ordinary course of business in connection with obtaining, maintaining or renewing client contracts.
Permitted Liens means, with respect to any Person:
(1) Liens to secure Indebtedness incurred under clause (a) of the second paragraph of the covenant described under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock (and any related Obligations);
(2) pledges or deposits by such Person under workmens compensation laws, unemployment insurance laws or similar legislation, or good faith deposits to secure bids, tenders, contracts (other than
220
for the payment of Indebtedness) or leases to which such Person is a party, or deposits to secure public or statutory obligations of such Person or deposits of cash or U.S. government bonds to secure surety or appeal bonds to which such Person is a party, or deposits as security for contested taxes or import duties or for the payment of rent, in each case incurred in the ordinary course of business;
(3) Liens imposed by law, such as carriers, warehousemens and mechanics Liens and other similar Liens, in each case, for sums not yet overdue for a period of more than 30 days or being contested in good faith by appropriate proceedings or other Liens arising out of judgments or awards against such Person with respect to which such Person shall then be proceeding with an appeal or other proceedings for review, if adequate reserves with respect thereto are maintained on the books of such Person in accordance with GAAP;
(4) Liens for taxes, assessments or other governmental charges or claims not yet overdue for a period of more than 30 days or payable or subject to penalties for nonpayment or which are being contested in good faith by appropriate proceedings diligently conducted, if adequate reserves with respect thereto are maintained on the books of such Person in accordance with GAAP;
(5) Liens in favor of issuers of performance and surety bonds or bid bonds or with respect to other regulatory requirements or letters of credit issued pursuant to the request of and for the account of such Person in the ordinary course of its business;
(6) minor survey exceptions, minor encumbrances, easements or reservations of, or rights of others for, licenses, rights-of-way, sewers, electric lines, telegraph and telephone lines and other similar purposes, or zoning or other restrictions as to the use of real properties or Liens incidental to the conduct of the business of such Person or to the ownership of its properties, in each case, which were not incurred in connection with Indebtedness and which do not in the aggregate materially adversely affect the value of said properties or materially impair their use in the operation of the business of such Person;
(7) Liens existing on the Issue Date;
(8) Liens on property or shares of stock of a Person at the time such Person becomes a Subsidiary; provided that such Liens are not created or incurred in connection with, or in contemplation of, such other Person becoming such a Subsidiary; provided, further, that such Liens may not extend to any other property owned by the Company or any Restricted Subsidiary;
(9) Liens on property at the time the Company or a Restricted Subsidiary acquired the property, including any acquisition by means of a merger or consolidation with or into the Company or any Restricted Subsidiary; provided that such Liens are not created or incurred in connection with, or in contemplation of, such acquisition; provided, further, that the Liens may not extend to any other property owned by the Company or any Restricted Subsidiary;
(10) Liens securing Indebtedness or other obligations of a Restricted Subsidiary owing to the Company or another Restricted Subsidiary permitted to be incurred in accordance with the covenant described under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock;
(11) Liens on specific items of inventory or other goods and proceeds of any Person securing such Persons obligations in respect of bankers acceptances issued or created for the account of such Person to facilitate the purchase, shipment or storage of such inventory or other goods;
(12) leases, subleases, licenses or sublicenses granted to others in the ordinary course of business which do not materially interfere with the ordinary conduct of the business of the Company or any of the Restricted Subsidiaries and do not secure any Indebtedness;
(13) Liens arising from financing statement filings under the Uniform Commercial Code or similar state laws regarding operating leases entered into by the Company and its Restricted Subsidiaries in the ordinary course of business;
221
(14) Liens in favor of the Company or any Guarantor;
(15) Liens on inventory or equipment of the Company or any Restricted Subsidiary granted in the ordinary course of business to the Companys client at which such inventory or equipment is located;
(16) Liens on accounts receivable and related assets incurred in connection with a Receivables Facility;
(17) Liens to secure any refinancing, refunding, extension, renewal or replacement (or successive refinancing, refunding, extensions, renewals or replacements) as a whole, or in part, of any Indebtedness secured by any Lien referred to in the foregoing clauses (7), (8) and (9) and the following clause (18); provided that (x) such new Lien shall be limited to all or part of the same property that secured the original Lien (plus improvements on such property), and (y) the Indebtedness secured by such Lien at such time is not increased to any amount greater than the sum of (A) the outstanding principal amount or, if greater, committed amount of the Indebtedness described under clauses (7), (8), (9) and the following clause (18) at the time the original Lien became a Permitted Lien under the Indenture, and (B) an amount necessary to pay any fees and expenses, including premiums, related to such refinancing, refunding, extension, renewal or replacement;
(18) Liens securing Indebtedness permitted to be incurred pursuant to clauses (f), (s), (t) and (v)(i) of the second paragraph under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock; provided that (A) Liens securing Indebtedness permitted to be incurred pursuant to clause (s) are solely on acquired property or the assets of the acquired entity, as the case may be, and (B) Liens securing Indebtedness permitted to be incurred pursuant to clause (t) extend only to the assets of Foreign Subsidiaries;
(19) deposits in the ordinary course of business to secure liability to insurance carriers;
(20) Liens securing judgments for the payment of money not constituting an Event of Default under clause (5) under the caption Events of Default and remedies, so long as such Liens are adequately bonded and any appropriate legal proceedings that may have been duly initiated for the review of such judgment have not been finally terminated or the period within which such proceedings may be initiated has not expired;
(21) Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation of goods in the ordinary course of business;
(22) Liens (i) of a collection bank arising under Section 4-210 of the Uniform Commercial Code or any comparable or successor provision, on items in the course of collection, (ii) attaching to commodity trading accounts or other commodity brokerage accounts incurred in the ordinary course of business and (iii) in favor of banking institutions arising as a matter of law encumbering deposits (including the right of set-off) and which are within the general parameters customary in the banking industry;
(23) Liens that are contractual rights of set-off (i) relating to the establishment of depository relations with banks not given in connection with the issuance of Indebtedness, (ii) relating to pooled deposit or sweep accounts of the Company or any of its Restricted Subsidiaries to permit satisfaction of overdraft or similar obligations incurred in the ordinary course of business of the Company and its Restricted Subsidiaries or (iii) relating to purchase orders and other agreements entered into with customers of the Company or any of its Restricted Subsidiaries in the ordinary course of business;
(24) Liens encumbering reasonable customary initial deposits and margin deposits and similar Liens attaching to commodity trading accounts or other brokerage accounts incurred in the ordinary course of business and not for speculative purposes;
(25) Liens deemed to exist in connection with Investments in repurchase agreements permitted under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock; provided that such Liens do not extend to any assets other than those assets that are the subject of such repurchase agreements;
222
(26) other Liens securing obligations incurred in the ordinary course of business which obligations do not exceed the greater of (x) $100.0 million and (y) 1.0% of Total Assets at any one time outstanding;
(27) Liens securing Hedging Obligations; provided that to the extent any such Hedging Obligation is related to any Indebtedness, such related Indebtedness is, and is permitted to be under the Indenture, secured by a Lien on the same property securing such Hedging Obligation;
(28) Liens incurred to secure Obligations in respect of any Indebtedness permitted to be incurred pursuant to the covenant described under Certain covenantsLimitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock; provided that, at the time of incurrence and after giving pro forma effect thereto, the Consolidated Secured Debt Ratio would be no greater than 4.50:1.0; provided further that, for purposes of calculating the Consolidated Secured Debt Ratio pursuant to this clause, the total amount of Indebtedness permitted to be incurred pursuant to clause (1) of the second paragraph under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock shall be deemed to be outstanding and secured by Liens;
(29) Liens securing the Notes and the Guarantees; and
(30) Liens securing Indebtedness permitted by clause (y) of the second paragraph of the covenant described under Limitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock encumbering the assets of a Designated Business, which Liens do not attach to the assets of the Company or any of its Restricted Subsidiaries other than those of any Restricted Subsidiary included in such Designated Business.
Person means any individual, corporation, limited liability company, partnership, joint venture, association, joint stock company, trust, unincorporated organization, government or any agency or political subdivision thereof or any other entity.
Preferred Stock means any Equity Interest with preferential rights of payment of dividends or upon liquidation, dissolution, or winding up.
Qualified Proceeds means assets that are used or useful in, or Capital Stock of any Person engaged in, a Similar Business; provided that the fair market value of any such assets or Capital Stock shall be determined by the Company in good faith.
Rating Agencies means Moodys and S&P or if Moodys or S&P or both shall not make a rating on the Notes publicly available, a nationally recognized statistical rating agency or agencies, as the case may be, selected by the Company which shall be substituted for Moodys or S&P or both, as the case may be.
Receivables Facility means the receivables facility established for ARAMARK Receivables, LLC pursuant to the amended and restated Receivables Purchase Agreement dated as of the January 26, 2007 among ARAMARK Receivables, LLC and the other parties thereto, as amended, supplemented, modified, extended, renewed, restated, refunded, replaced or refinanced from time to time, the Indebtedness of which is non-recourse (except for standard representations, warranties, covenants and indemnities made in connection with such facilities) to the Company and its Restricted Subsidiaries pursuant to which the Company or any of its Restricted Subsidiaries (other than Receivables Subsidiaries) sells its accounts receivable to either (a) a Person that is not a Restricted Subsidiary or (b) a Receivables Subsidiary that in turn sells its accounts receivable to a Person that is not a Restricted Subsidiary.
Receivables Fees means distributions or payments made directly or by means of discounts with respect to any participation interest issued or sold in connection with, and other fees paid to a Person that is not a Restricted Subsidiary in connection with, any Receivables Facility.
223
Receivables Subsidiary means any Subsidiary formed solely for the purpose of engaging, and that engages only, in one or more Receivables Facilities.
Registration Rights Agreement means the Registration Rights Agreement dated as of the Issue Date, among the Company, the Guarantors and the Initial Purchasers.
Related Business Assets means assets (other than cash or Cash Equivalents) used or useful in a Similar Business; provided that any assets received by the Company or a Restricted Subsidiary in exchange for assets transferred by the Company or a Restricted Subsidiary shall not be deemed to be Related Business Assets if they consist of securities of a Person, unless upon receipt of the securities of such Person, such Person would become a Restricted Subsidiary.
Restricted Investment means an Investment other than a Permitted Investment.
Restricted Subsidiary means, at any time, any direct or indirect Subsidiary of the Company (including any Foreign Subsidiary) that is not then an Unrestricted Subsidiary; provided that upon the occurrence of an Unrestricted Subsidiary ceasing to be an Unrestricted Subsidiary, such Subsidiary shall be included in the definition of Restricted Subsidiary.
S&P means Standard and Poors, a division of the McGraw-Hill Companies, Inc., and any successor to its rating agency business.
Sale and Lease-Back Transaction means any arrangement with any Person providing for the leasing by the Company or any Restricted Subsidiary of any real or tangible personal property, which property has been or is to be sold or transferred by the Company or such Restricted Subsidiary to such Person in contemplation of such leasing.
SEC means the Securities and Exchange Commission.
Secured Indebtedness means any Indebtedness secured by a Lien.
Securities Act means the Securities Act of 1933, as amended, and the rules and regulations of the SEC promulgated thereunder.
Senior Credit Facilities means the credit facilities provided under the senior secured credit agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, as amended by Amendment Agreement No. 1 dated as of April 18, 2011, as amended by Amendment Agreement No. 2 dated as of February 29, 2012, as amended by Amendment Agreement No. 3 dated as of December 20, 2012 and as may be further amended pursuant to the Transactions, among the Company, the other borrowers party thereto, the guarantors party thereto, the lenders party thereto in their capacity as lenders and JPMorgan Chase Bank, N.A., as Administrative Agent, including any guarantees, collateral documents, instruments and agreements executed in connection therewith, and any amendments, supplements, modifications, extensions, replacements, renewals, restatements, refundings or refinancings thereof and any indentures or credit facilities or commercial paper facilities with banks or other institutional lenders or investors that extend, replace, refund, refinance, renew or defease any part of the loans, notes, other credit facilities or commitments thereunder, including any such replacement, refunding or refinancing facility or indenture that increases the amount borrowable thereunder or alters the maturity thereof (provided that such increase in borrowings is permitted under Certain covenantsLimitation on incurrence of Indebtedness and issuance of Disqualified Stock and Preferred Stock above).
Senior Indebtedness means with respect to any Person:
(1) all Indebtedness of such Person, whether outstanding on the Issue Date or thereafter incurred; and
224
(2) all other Obligations of such Person (including interest accruing on or after the filing of any petition in bankruptcy or for reorganization relating to such Person whether or not post-filing interest is allowed in such proceeding) in respect of Indebtedness described in clause (1) above
unless, in the case of clauses (1) and (2), the instrument creating or evidencing the same or pursuant to which the same is outstanding expressly provides that such Indebtedness or other Obligations are subordinate in right of payment to the Notes or the Guarantee of such Person, as the case may be; provided that Senior Indebtedness shall not include:
(1) any obligation of such Person to the Company or any Subsidiary or to any joint venture in which the Company or any Restricted Subsidiary has an interest;
(2) any liability for Federal, state, local or other taxes owed or owing by such Person;
(3) any accounts payable or other liability to trade creditors in the ordinary course of business (including guarantees thereof as instruments evidencing such liabilities);
(4) any Indebtedness or other Obligations of such Person that is subordinate or junior in any respect to any other Indebtedness or other Obligation of such Person; or
(5) that portion of any Indebtedness that at the time of incurrence is incurred in violation of the Indenture.
Significant Subsidiary means any Restricted Subsidiary of the Company that would be a significant subsidiary as defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act, as such regulation is in effect on the date hereof.
Similar Business means any business conducted by the Company and its Restricted Subsidiaries on the Issue Date or any business that is similar, reasonably related, incidental or ancillary thereto.
Sponsors means GS Capital Partners V Fund, L.P., CCMP Capital Advisors, LLC, J.P. Morgan Partners, LLC, Thomas H. Lee Partners, L.P. and Warburg Pincus LLC and their respective Affiliates.
Subordinated Indebtedness means,
(a) with respect to the Company, any Indebtedness of the Company that is by its terms subordinated in right of payment to the Notes,
(b) with respect to any Guarantor, any Indebtedness of such Guarantor that is by its terms subordinated in right of payment to the Guarantee of such Guarantor, and
(c) solely with respect to the covenant described under Certain covenantsRestricted Payments, the Existing Notes.
Subsidiary means, with respect to any Person,
(1) any corporation, association, or other business entity (other than a partnership, joint venture, limited liability company or similar entity) of which more than 50% of the total voting power of shares of Capital Stock entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof is at the time of determination owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof, and
(2) any partnership, joint venture, limited liability company or similar entity of which
(x) more than 50% of the capital accounts, distribution rights, total equity and voting interests or general or limited partnership interests, as applicable, are owned or controlled, directly or
225
indirectly, by such Person or one or more of the other Subsidiaries of that Person or a combination thereof whether in the form of membership, general, special or limited partnership or otherwise, and
(y) such Person or any Restricted Subsidiary of such Person is a controlling general partner or otherwise controls such entity.
Total Assets means the total amount of all assets of the Company and the Restricted Subsidiaries, determined on a consolidated basis in accordance with GAAP as shown on the most recent balance sheet of the Company.
Transactions means the issuance of the Notes on the Issue Date and the transactions contemplated in respect of the Senior Credit Facilities by Amendment No. 4 to the Senior Credit Facilities dated as of the Issue Date and the application of proceeds therefrom.
Treasury Rate means, as of any redemption date, the yield to maturity as of such redemption date of United States Treasury securities with a constant maturity (as compiled and published in the most recent Federal Reserve Statistical Release H.15 (519) that has become publicly available at least two Business Days prior to the redemption date (or, if such Statistical Release is no longer published, any publicly available source of similar market data)) most nearly equal to the period from the redemption date to March 15, 2015; provided, however, that if the period from the redemption date to March 15, 2015, is less than one year, the weekly average yield on actually traded United States Treasury securities adjusted to a constant maturity of one year will be used.
Trustee means The Bank of New York Mellon until a successor replaces it and, thereafter, means the successor.
Unrestricted Subsidiary means:
(1) any Subsidiary of the Company that at the time of determination is an Unrestricted Subsidiary (as designated by the Company, as provided below), and
(2) any Subsidiary of an Unrestricted Subsidiary.
The Company may designate any Subsidiary of the Company (including any existing Subsidiary and any newly acquired or newly formed Subsidiary) to be an Unrestricted Subsidiary unless such Subsidiary or any of its Subsidiaries owns any Equity Interests or Indebtedness of, or owns or holds any Lien on, any property of, the Company or any Subsidiary of the Company (other than any Subsidiary of the Subsidiary to be so designated); provided that
(a) any Unrestricted Subsidiary must be an entity of which shares of the capital stock or other equity interests (including partnership interests) entitled to cast at least a majority of the votes that may be cast by all shares or equity interests having ordinary voting power for the election of directors or other governing body are owned, directly or indirectly, by the Company,
(b) such designation complies with the covenant described under Certain covenantsLimitation on Restricted Payments, and
(c) each of:
(1) the Subsidiary to be so designated, and
(2) its Subsidiaries
has not at the time of designation, and does not thereafter, create, incur, issue, assume, guarantee or otherwise become directly or indirectly liable with respect to any Indebtedness pursuant to which the lender has recourse to any of the assets of the Company or any Restricted Subsidiary.
226
The Company may designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided that, immediately after giving effect to such designation no Default shall have occurred and be continuing and either:
(1) the Company could incur at least $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test described in the first paragraph under Certain CovenantsLimitation on Incurrence of Indebtedness and Issuance of Disqualified Stock and Preferred Stock, or
(2) the Fixed Charge Coverage Ratio for the Company and its Restricted Subsidiaries would be greater than such ratio for the Company and its Restricted Subsidiaries immediately prior to such designation, in each case on a pro forma basis taking into account such designation.
Any such designation by the Company shall be notified by the Company to the Trustee by promptly filing with the Trustee a copy of any applicable Board Resolution giving effect to such designation and an Officers Certificate certifying that such designation complied with the foregoing provisions.
Voting Stock of any Person as of any date means the Capital Stock of such Person that is at the time entitled to vote in the election of the Board of Directors of such Person.
Weighted Average Life to Maturity means, when applied to any Indebtedness, Disqualified Stock or Preferred Stock, as the case may be, at any date, the quotient obtained by dividing
(1) the sum of the products of the number of years from the date of determination to the date of each successive scheduled principal payment of such Indebtedness or redemption or similar payment with respect to such Disqualified Stock or Preferred Stock multiplied by the amount of such payment, by
(2) the sum of all such payments.
Wholly Owned Subsidiary of any Person means a Subsidiary of such Person, 100% of the outstanding Capital Stock or other ownership interests of which (other than directors qualifying shares) shall at the time be owned by such Person or by one or more Wholly-Owned Subsidiaries of such Person.
227
In this section, we, us, and our refer to ARAMARK Corporation and not to Holdings.
We have entered into a registration rights agreement with the initial purchasers obligating us to use commercially reasonable efforts to file with the SEC and cause to become effective a registration statement relating to an offer to exchange the outstanding notes for the exchange notes evidencing the same continuing indebtedness and with substantially identical terms except that the exchange notes will not be subject to registration on transfer, registration rights or interest rate increases as described herein.
When the exchange offer registration statement becomes effective, we will offer the exchange notes in exchange for the outstanding notes. The exchange offer will remain open for at least 20 business days after the date we mail notice of the exchange offer to Holders. For each outstanding note surrendered to us under the exchange offer, the Holder will receive an exchange note having a principal amount at maturity equal to that of the surrendered note. Interest on each exchange note will accrue from the last interest payment date on which interest was paid on the note surrendered in exchange therefor or, if no interest has been paid on such note, from the original issue date of the notes.
Under existing interpretations of the Securities Act by the SEC contained in several no action letters to third parties, and subject to the immediately following sentence, we believe that the exchange notes would generally be freely transferable by Holders thereof after the exchange offer without further registration under the Securities Act (subject to certain representations required to be made by each Holder, as set forth below). However, any purchaser of notes who is an affiliate of us or any guarantor and any purchaser of notes who intends to participate in the exchange offer for the purpose of distributing the exchange notes (i) will not be able to rely on the interpretation of the staff of the SEC, (ii) will not be able to tender its notes in the exchange offer and (iii) must comply with the registration and prospectus delivery requirements of the Securities Act in connection with any sale or transfer of the notes unless such sale or transfer is made pursuant to an exemption from such requirements.
In addition, in connection with any resales of exchange notes, any broker dealer, which we refer to as a participating broker dealer (a Participating Broker Dealer), which acquired the notes for its own account as a result of market making or other trading activities must deliver a prospectus meeting the requirements of the Securities Act. The SEC has taken the position that Participating Broker Dealers may fulfill their prospectus delivery requirements with respect to the exchange notes (other than a resale of an unsold allotment from this offering) with the prospectus contained in the exchange offer registration statement. We will agree to make available for a period of up to 90 days after consummation of the exchange offer a prospectus meeting the requirements of the Securities Act to any Participating Broker Dealer and any other persons with similar prospectus delivery requirements for use in connection with any resale of exchange notes. A Participating Broker Dealer or any other person that delivers such a prospectus to purchasers in connection with such resales will be subject to certain of the civil liability provisions under the Securities Act and will be bound by the provisions of the registration rights agreement (including certain indemnification rights and obligations thereunder).
Each Holder (other than certain specified Holders) who wishes to exchange the outstanding notes for exchange notes in the exchange offer will be required to make certain representations, including representations that (i) any exchange notes to be received by it will be acquired in the ordinary course of its business, (ii) it has no arrangement or understanding with any person to participate in the distribution (within the meaning of the Securities Act) of the exchange notes, (iii) it is not an affiliate (as defined in Rule 405 under the Securities Act) of us or any guarantor, and (iv) if such Holder is a broker dealer that will receive exchange notes for its own account in exchange for notes that were acquired as a result of market making or other trading activities, then such Holder will comply with the prospectus delivery requirements of the Securities Act, to the extent applicable, in connection with any resale of the exchange notes.
228
In the event that (i) any changes in law or the applicable interpretations of the staff of the SEC do not permit us to effect the exchange offer, (ii) for any other reason the exchange offer is not consummated within the time period required by the last paragraph of this Registration Rights section, (iii) under certain circumstances, the initial purchasers shall so request or (iv) any Holder (other than the initial purchasers) is not eligible to participate in the exchange offer, we will, at our expense, (a) as promptly as practicable, file with the SEC a shelf registration statement covering resales of the outstanding notes and use commercially reasonable efforts to cause the shelf registration statement to be declared effective and (b) use commercially reasonable efforts to keep the shelf registration statement effective until the earlier of the second anniversary of the original issue date of the outstanding notes and the date all outstanding notes covered by the shelf registration statement have been sold as contemplated in the shelf registration statement. We will, in the event of the filing of the shelf registration statement, provide to each Holder copies of the prospectus which is a part of the shelf registration statement, notify each such Holder when the shelf registration statement has become effective and take certain other actions as are required to permit unrestricted resales of the outstanding notes. A Holder that sells its outstanding notes pursuant to the shelf registration statement generally (1) will be required to be named as a selling security Holder in the related prospectus and to deliver a prospectus to purchasers, (2) will be subject to certain of the civil liability provisions under the Securities Act in connection with such sales and (3) will be bound by the provisions of the registration rights agreement that are applicable to such a Holder (including certain indemnification rights and obligations thereunder). In addition, each Holder will be required to deliver information to be used in connection with the shelf registration statement and to provide comments on the shelf registration statement within the time periods set forth in the registration rights agreement to have their outstanding notes included in the shelf registration statement and to benefit from the provisions regarding liquidated damages described in the following paragraph.
If (i) the exchange offer is not completed within 390 calendar days after the original issue date of the outstanding notes, (ii) an effective shelf registration statement is not made available by the 390th calendar day after the date on which the requirement to make such shelf registration statement available arises, but in no event earlier than the 390th calendar day after the original issue date of the outstanding notes, or (iii) following effectiveness of the shelf registration statement, subject to limited exceptions, it ceases to remain effective or otherwise available for more than 90 calendar days in any 12-month period, the annual interest rate borne by the outstanding notes will be increased by 0.25% per annum (the Additional Interest) with respect to each 90-day period that passes, up to a maximum of 1% per annum, in each case, until the exchange offer is filed or completed, an effective shelf registration statement becomes available or again becomes available, as applicable. In the event that any registration default described in the preceding sentence take place, we will pay Additional Interest on the outstanding notes.
229
The exchange notes issued in exchange for outstanding notes will be represented by a global note in definitive, fully registered form without interest coupons (collectively, the Global Notes). The Global Notes will be deposited with the Trustee as custodian for The Depository Trust Company (DTC) and registered in the name of a nominee of DTC.
Except in the limited circumstances described below, owners of beneficial interests in Global Notes will not be entitled to receive physical delivery of certificated notes. Transfers of beneficial interests in the Global Notes will be subject to the applicable rules and procedures of DTC, Euroclear and Clearstream, Luxembourg and their respective direct or indirect participants, which rules and procedures may change from time to time.
Global Notes
The following description of DTC, Euroclear and Clearstream, Luxembourg is based on our understanding of their current operations and procedures. These operations and procedures are solely within the control of the respective settlement systems and are subject to changes by them from time to time. We take no responsibility for these operations and procedures and urge investors to contact the systems or their participants directly to discuss these matters.
Upon the issuance of the notes, DTC will credit, on its internal system, the respective principal amount of the individual beneficial interests represented by such Global Notes to the accounts of persons who have accounts with such depositary. Ownership of beneficial interests in a Global Note will be limited to DTCs participants or persons who hold interests through its participants. Ownership of beneficial interests in the Global Notes will be shown on, and the transfer of that ownership will be effected only through, records maintained by DTC or its nominee (with respect to interests of participants) and the records of participants (with respect to interests of persons other than participants).
As long as DTC, or its nominee, is the registered holder of a Global Note, DTC or such nominee, as the case may be, will be considered the sole owner and holder of the notes represented by such Global Note for all purposes under the indenture and the notes. Unless DTC notifies us that it is unwilling or unable to continue as depositary for such Global Note or ceases to be a clearing agency registered under the Exchange Act or (2) an event of default has occurred and is continuing with respect to such note, owners of beneficial interests in such Global Note will not be entitled to have any portions of such Global Note registered in their names, will not receive or be entitled to receive physical delivery of notes in certificated form and will not be considered the owners or holders of such Global Note (or any notes represented thereby) under the indenture or the notes. In addition, no beneficial owners of an interest in a Global Note will be able to transfer that interest except in accordance with DTCs applicable procedures (in addition to those under the indenture).
Investors may hold their interests in the Global Notes directly through DTC, if they are participants in such system, or indirectly through organizations (including Euroclear and Clearstream, Luxembourg) which are participants in such system. All interests in a Global Note may be subject to the procedures and requirements of DTC and/or Euroclear and Clearstream, Luxembourg.
Payments of the principal of and interest on Global Notes will be made to DTC or its nominee as the registered owner thereof. Neither we, the Trustee, DTC nor any of their respective agents will have any responsibility or liability for any aspect of the records relating to or payments made on account of beneficial ownership interests in the Global Notes or for maintaining, supervising or reviewing any records relating to such beneficial ownership interests.
We expect that DTC or its nominee, upon receipt of any payment of principal or interest in respect of a Global Note representing any notes held by it or its nominee, will immediately credit participants accounts with payments in amounts proportionate to their respective beneficial interests in the principal amount of such Global
230
Note for such notes as shown on the records of DTC or its nominee. We also expect that payments by participants to owners of beneficial interests in such Global Note held through such participants will be governed by standing instructions and customary practices, as is now the case with securities held for the accounts of customers registered in street name. Such payments will be the responsibility of such participants.
Because DTC can only act on behalf of its participants, who in turn act on behalf of indirect participants and certain banks, the ability of a holder of a beneficial interest in Global Notes to pledge such interest to persons or entities that do not participate in the DTC system, or otherwise take actions in respect of such interest, may be limited by the lack of a definitive certificate for such interest. The laws of some countries and some U.S. states require that certain persons take physical delivery of securities in certificated form. Consequently, the ability to transfer beneficial interests in a Global Note to such persons may be limited. Because DTC can act only on behalf of participants, which in turn, act on behalf of indirect participants and certain banks, the ability of a person having a beneficial interest in a Global Note to pledge such interest to persons or entities that do not participate in the DTC system, or otherwise take actions in respect of such interest, may be affected by the lack of a physical certificate evidencing such interest.
Except for trades involving only Euroclear and Clearstream, Luxembourg participants, interests in the Global Notes will trade in DTCs Same-Day Funds Settlement System and secondary market trading activity in such interests will therefore settle in immediately available funds, subject in all cases to the rules and procedures of DTC and its participants. Transfers of interests in Global Notes between participants in DTC will be effected in accordance with DTCs procedures, and will be settled in same-day funds.
Subject to compliance with the transfer restrictions applicable to the notes described above, cross-market transfers of beneficial interests in Global Notes between DTC participants, on the one hand, and Euroclear or Clearstream, Luxembourg participants, on the other hand, will be effected through DTC in accordance with DTCs rules on behalf of Euroclear or Clearstream, Luxembourg, as the case may be, by its respective depositary; however, such cross-market transactions will require delivery of instructions to Euroclear or Clearstream, Luxembourg, as the case may be, by the counterparty in such system in accordance with the rules and procedures and within the established deadlines (Brussels time) of such system. Euroclear or Clearstream, Luxembourg, as the case may be, will, if the transaction meets its settlement requirements deliver instructions to its respective depositary to take action to effect final settlement on its behalf by delivering or receiving interests in the relevant Global Note in DTC and making or receiving payment in accordance with normal procedures for same-day funds settlement applicable to DTC. Euroclear participants and Clearstream, Luxembourg participants may not deliver instructions directly to the depositories for Euroclear or Clearstream, Luxembourg.
Because of time zone differences, the securities account of a Euroclear or Clearstream, Luxembourg participant purchasing an interest in a Global Note from a DTC participant will be credited, and any such crediting will be reported to the relevant Euroclear or Clearstream, Luxembourg participant, during the securities settlement processing day (which must be a business day for Euroclear and Clearstream, Luxembourg immediately following the DTC settlement date). Cash received in Euroclear or Clearstream, Luxembourg as a result of sales of interests in a Global Note by or through a Euroclear or Clearstream, Luxembourg participant to a DTC participant will be received with value on the DTC settlement date but will be available in the relevant Euroclear or Clearstream, Luxembourg cash account only as of the business day for Euroclear or Clearstream, Luxembourg following the DTC settlement date.
DTC, Euroclear and Clearstream, Luxembourg have advised us that they will take any action permitted to be taken by a holder of notes (including the presentation of notes for exchange as described below) only at the direction of one or more participants to whose account with DTC or Euroclear or Clearstream, Luxembourg, as the case may be, interests in the Global Notes are credited and only in respect of such portion of the aggregate principal amount of the notes as to which such participant or participants has or have given such direction. However, if there is an event of default under the notes, DTC, Euroclear and Clearstream, Luxembourg reserve the right to exchange the Global Notes for legended notes in certificated form, and to distribute such notes to their respective participants.
231
DTC has advised us as follows: DTC is a limited purpose trust company organized under the laws of the State of New York, a member of the Federal Reserve system, a clearing corporation within the meaning of the Uniform Commercial Code and a clearing agency registered pursuant to the provisions of Section 17A of the Exchange Act. DTC was created to hold securities for its participants and facilitate the clearance and settlement of securities transactions between participants through electronic book-entry changes in accounts of its participants, thereby eliminating the need for physical transfer and delivery of certificates. Participants include securities brokers and dealers, banks, trust companies and clearing corporations and may include certain other organizations. Indirect access to the DTC system is available to other entities such as banks, brokers, dealers and trust companies that clear through or maintain a custodial relationship with a participant, either directly or indirectly (indirect participants).
Euroclear and Clearstream, Luxembourg have advised us as follows: Euroclear and Clearstream, Luxembourg each hold securities for their account holders and facilitate the clearance and settlement of securities transactions by electronic book-entry transfer between their respective account holders, thereby eliminating the need for physical movements of certificates and any risk from lack of simultaneous transfers of securities.
Euroclear and Clearstream, Luxembourg each provide various services, including safekeeping, administration, clearance and settlement of internationally traded securities and securities lending and borrowing. Euroclear and Clearstream, Luxembourg each also deal with domestic securities markets in several countries through established depository and custodial relationships. The respective systems of Euroclear and Clearstream, Luxembourg have established an electronic bridge between their two systems across which their respective account holders may settle trades with each other.
Account holders in both Euroclear and Clearstream, Luxembourg are worldwide financial institutions including underwriters, securities brokers and dealers, trust companies and clearing corporations. Indirect access to both Euroclear and Clearstream, Luxembourg is available to other institutions that clear through or maintain a custodial relationship with an account holder of either system.
An account holders overall contractual relations with either Euroclear or Clearstream, Luxembourg are governed by the respective rules and operating procedures of Euroclear or Clearstream, Luxembourg and any applicable laws. Both Euroclear and Clearstream, Luxembourg act under such rules and operating procedures only on behalf of their respective account holders, and have no record of or relationship with persons holding through their respective account holders.
Although DTC, Euroclear and Clearstream, Luxembourg currently follow the foregoing procedures to facilitate transfers of interests in global notes among participants of DTC, Euroclear and Clearstream, Luxembourg, they are under no obligation to do so, and such procedures may be discontinued or modified at any time. Neither we nor the Trustee will have any responsibility for the performance by DTC, Euroclear or Clearstream, Luxembourg or their respective participants or indirect participants of their respective obligations under the rules and procedures governing their operations.
Certificated Notes
If any depositary is at any time unwilling or unable to continue as a depositary for notes for the reasons set forth above under Global Notes, the Company will issue certificates for such notes in definitive, fully registered, non-global form without interest coupons in exchange for the applicable Global Notes. Certificates for notes delivered in exchange for any Global Note or beneficial interests therein will be registered in the names, and issued in any approved denominations, requested by DTC, Euroclear, Clearstream, Luxembourg or the Common Depositary (in accordance with their customary procedures).
The holder of a non-global note may transfer such note, subject to compliance with the provisions of the applicable legend, by surrendering it at the office or agency maintained by us for such purpose in The City and State of New York, which initially will be the office of the Trustee. Upon the transfer, change or replacement of
232
any note bearing a legend, or upon specific request for removal of a legend on a note, we will deliver only notes that bear such legend, or will refuse to remove such legend, as the case may be, unless there is delivered to us such satisfactory evidence, which may include an opinion of counsel, as may reasonably be required by us that neither such legend nor any restrictions on transfer set forth therein are required to ensure compliance with the provisions of the Securities Act. Before any note in non-global form may be transferred to a person who takes delivery in the form of an interest in any Global Note, the transferor will be required to provide the Trustee with a Restricted Global Note Certificate or a Regulation S Global Note Certificate, as the case may be. Upon transfer or partial redemption of any note, new certificates may be obtained from the Trustee.
Notwithstanding any statement herein, we and the Trustee reserve the right to impose such transfer, certification, exchange or other requirements, and to require such restrictive legends on certificates evidencing notes, as they may determine are necessary to ensure compliance with the securities laws of the United States and any State therein and any other applicable laws or as DTC, Euroclear or Clearstream, Luxembourg may require.
233
UNITED STATES FEDERAL INCOME TAX CONSEQUENCES OF THE EXCHANGE OFFER
The exchange of outstanding notes for exchange notes in the exchange offer will not constitute a taxable event to holders for United States federal income tax purposes. Consequently, no gain or loss will be recognized by a holder upon receipt of an exchange note, the holding period of the exchange note will include the holding period of the outstanding note exchanged therefore and the basis of the exchange note will be the same as the basis of the outstanding note immediately before the exchange.
In any event, persons considering the exchange of outstanding notes for exchange notes should consult their own tax advisors concerning the United States federal income tax consequences in light of their particular situations as well as any consequences arising under the laws of any other taxing jurisdiction.
234
The outstanding notes or the exchange notes may be purchased and held by an employee benefit plan subject to Title I of the Employee Retirement Income Security Act of 1974, as amended (ERISA), or by an individual retirement account or other plan subject to Section 4975 of the Internal Revenue Code of 1986, as amended (Code). A fiduciary of an employee benefit plan subject to ERISA must, however, determine that the purchase and holding of a note is consistent with its fiduciary duties under ERISA. The fiduciary of an ERISA plan, as well as any other prospective investor subject to Section 4975 of the Code or any similar law, must also determine that the purchase and holding of notes does not result in a non-exempt prohibited transaction as defined in Section 406 of ERISA or Section 4975 of the Code or any similar transaction under any similar law. Each purchaser and transferee of a note who is subject to Section 406 of ERISA and/or Section 4975 of the Code or any similar law (Plan Investor) will be deemed to have represented to us, by its acquisition and holding of the note, that its acquisition and holding of the notes does not constitute or give rise to a non-exempt prohibited transaction under Section 406 of ERISA, Section 4975 of the Code or any similar transaction under any similar law. The sale of any notes to any Plan Investor is in no respect a representation by us or any of our affiliates or representatives that such an investment meets all relevant legal requirements with respect to investments by Plan Investors generally or any particular Plan Investor, or that such an investment is appropriate for Plan Investors generally of any particular Plan Investor (including, without limitation, as to whether such sale is or is not a non-exempt prohibited transaction).
235
Each broker-dealer that receives exchange notes for its own account pursuant to the exchange offer must acknowledge that it will deliver a prospectus in connection with any resale of the exchange notes. This prospectus, as it may be amended or supplemented from time to time, may be used by a broker-dealer in connection with resales of exchange notes received in exchange for outstanding notes where the outstanding notes are acquired as a result of market-making activities or other trading activities. To the extent any such broker-dealer participates in the exchange offer, we have agreed that for a period of up to 90 days, we will use our reasonable best efforts to make this prospectus, as amended or supplemented, available to such broker-dealer for use in connection with any such resale, and will deliver as many additional copies of this prospectus and each amendment or supplement to this prospectus and any documents incorporated by reference in this prospectus as such broker-dealer may reasonably request.
We will not receive any proceeds from any sale of exchange notes by broker-dealers. Exchange notes received by broker-dealers for their own accounts pursuant to the exchange offer may be sold from time to time in one or more transactions in the over-the-counter market, in negotiated transactions, through the writing of options on the exchange notes or a combination of these methods of resale, at market prices prevailing at the time of resale, at prices related to the prevailing market prices or negotiated prices. Any resale may be made directly to purchasers or to through brokers or dealers who may receive compensation in the form of commissions or concessions from any broker-dealer or the purchasers of any exchange notes. Any broker-dealer that resells exchange notes that were received by it for its own account pursuant to the exchange offer and any broker or dealer that participates in a distribution of the exchange notes may be deemed to be an underwriter within the meaning of the Securities Act and any profit on any resale of exchange notes and any commissions or concessions received by these persons may be deemed to be underwriting compensation under the Securities Act. The letter of transmittal states that by acknowledging that it will deliver and by delivering a prospectus, a broker-dealer will not be deemed to admit that it is an underwriter within the meaning of the Securities Act.
We have agreed to pay all expenses incident to the exchange offer and will indemnify the holders of outstanding notes, including any broker-dealers, against certain liabilities, including liabilities under the Securities Act.
The validity of the exchange notes and related guarantees offered hereby will be passed upon by Simpson Thacher & Bartlett LLP, New York, New York and Stephen R. Reynolds, Executive Vice President, General Counsel and Secretary of ARAMARK Holdings Corporation.
The consolidated financial statements and financial statement schedule of ARAMARK Holdings Corporation and subsidiaries as of September 27, 2013 and September 28, 2012, and for each of the fiscal years in the three-year period ended September 27, 2013 have been included herein and in the registration statement in reliance upon the report of KPMG LLP, independent registered public accounting firm, appearing elsewhere herein, and upon the authority of said firm as experts in accounting and auditing.
The consolidated financial statements of AIM SERVICES Co., Ltd. and subsidiaries as of March 31, 2013 and March 31, 2012 and for each of the three years in the period ended March 31, 2013 included in this Prospectus have been audited by Deloitte Touche Tohmatsu LLC, independent auditors, as stated in their report (which report expresses an unqualified opinion and includes explanatory paragraphs relating to (1) that accounting principles generally accepted in Japan vary in certain significant respects from accounting principles
236
generally accepted in the United States of America as discussed in Note 14 to the consolidated financial statements and (2) that the audits also comprehended the translation of Japanese yen amounts into U.S. dollar amounts and such translation has been made in conformity with the basis stated in Note 1 to the consolidated financial statements) appearing herein and are included in reliance upon the report of such firm given upon their authority as experts in accounting and auditing.
We have filed with the SEC a registration statement on Form S-4 under the Securities Act with respect to the exchange notes being offered hereby. This prospectus, which forms a part of the registration statement, does not contain all of the information set forth in the registration statement. For further information with respect to us and the exchange notes, reference is made to the registration statement. Statements contained in this prospectus as to the contents of any contract or other document are not necessarily complete, and, where such contract or other document is an exhibit to the registration statement, each such statement is qualified by the provisions in such exhibit to which reference is hereby made. We file reports and other information with the SEC. The registration statement, historical information about ARAMARK Holdings Corporation and other information can be inspected and copied at the Public Reference Room of the SEC located at Room 1580, 100 F Street, N.E., Washington D.C. 20549. Copies of such materials, including copies of any portion of the registration statement, can be obtained from the Public Reference Room of the SEC at prescribed rates. You can call the SEC at 1-800-SEC-0330 to obtain information on the operation of the Public Reference Room. Such materials may also be accessed electronically by means of the SECs home page on the Internet (http://www.sec.gov).
237
INDEX TO CONSOLIDATED FINANCIAL STATEMENTS
Page | ||||
Audited Consolidated Financial Statements and Schedule of ARAMARK Holdings Corporation |
||||
F-2 | ||||
Consolidated Balance Sheets as of September 27, 2013 and September 28, 2012 |
F-3 | |||
F-4 | ||||
F-5 | ||||
F-6 | ||||
F-7 | ||||
F-9 | ||||
F-57 | ||||
Audited Financial Statements of AIM Services Co., Ltd. |
||||
F-58 | ||||
F-60 | ||||
Consolidated Statements of IncomeYears Ended March 31, 2013, 2012 and 2011 |
F-62 | |||
Consolidated Statements of Comprehensive IncomeYears Ended March 31, 2013, 2012 and 2011 |
F-63 | |||
Consolidated Statements of Changes in EquityYears Ended March 31, 2013, 2012 and 2011 |
F-64 | |||
Consolidated Statements of Cash FlowsYears Ended March 31, 2013, 2012 and 2011 |
F-65 | |||
F-68 |
F-1
Report of Independent Registered Public Accounting Firm
The Board of Directors and Stockholders
ARAMARK Holdings Corporation:
We have audited the accompanying consolidated balance sheets of ARAMARK Holdings Corporation and subsidiaries (the Company) as of September 27, 2013 and September 28, 2012, and the related consolidated statements of income, comprehensive income, cash flows, and equity for each of the fiscal years ended September 27, 2013, September 28, 2012 and September 30, 2011. In connection with our audits of the consolidated financial statements, we also have audited the financial statement schedule as listed in the accompanying index. These consolidated financial statements and financial statement schedule are the responsibility of the Companys management. Our responsibility is to express an opinion on these consolidated financial statements and financial statement schedule based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of ARAMARK Holdings Corporation and subsidiaries as of September 27, 2013 and September 28, 2012, and the results of their operations and their cash flows for each of the fiscal years ended September 27, 2013, September 28, 2012 and September 30, 2011, in conformity with U.S. generally accepted accounting principles. Also in our opinion, the related financial statement schedule, when considered in relation to the basic consolidated financial statements taken as a whole, presents fairly, in all material respects, the information set forth therein.
/s/ KPMG LLP
Philadelphia, Pennsylvania
November 18, 2013, except for Note 18 as to which the date is December 17, 2013
F-2
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
SEPTEMBER 27, 2013 AND SEPTEMBER 28, 2012
(in thousands, except share amounts)
September 27, 2013 | September 28, 2012 | |||||||
ASSETS | ||||||||
Current Assets: |
||||||||
Cash and cash equivalents |
$ | 110,998 | $ | 136,748 | ||||
Receivables (less allowances: 2013$34,676; 2012$41,212) |
1,405,843 | 1,315,997 | ||||||
Inventories |
541,972 | 508,416 | ||||||
Prepayments and other current assets |
228,352 | 224,340 | ||||||
|
|
|
|
|||||
Total current assets |
2,287,165 | 2,185,501 | ||||||
|
|
|
|
|||||
Property and Equipment, at cost: |
||||||||
Land, buildings and improvements |
611,591 | 567,972 | ||||||
Service equipment and fixtures |
1,642,395 | 1,524,702 | ||||||
|
|
|
|
|||||
2,253,986 | 2,092,674 | |||||||
LessAccumulated depreciation |
(1,276,663 | ) | (1,116,365 | ) | ||||
|
|
|
|
|||||
977,323 | 976,309 | |||||||
|
|
|
|
|||||
Goodwill |
4,619,987 | 4,729,474 | ||||||
Other Intangible Assets |
1,408,764 | 1,595,149 | ||||||
Other Assets |
973,867 | 1,000,921 | ||||||
|
|
|
|
|||||
$ | 10,267,106 | $ | 10,487,354 | |||||
|
|
|
|
|||||
LIABILITIES AND EQUITY | ||||||||
Current Liabilities: |
||||||||
Current maturities of long-term borrowings |
$ | 65,841 | $ | 37,462 | ||||
Accounts payable |
888,969 | 873,345 | ||||||
Accrued payroll and related expenses |
555,894 | 468,622 | ||||||
Accrued expenses and other current liabilities |
878,549 | 784,245 | ||||||
|
|
|
|
|||||
Total current liabilities |
2,389,253 | 2,163,674 | ||||||
|
|
|
|
|||||
Long-Term Borrowings |
5,758,229 | 5,971,305 | ||||||
Deferred Income Taxes and Other Noncurrent Liabilities |
1,047,002 | 1,207,585 | ||||||
Common Stock Subject to Repurchase and Other |
168,915 | 177,926 | ||||||
Equity: |
||||||||
ARAMARK Holdings Stockholders Equity: |
||||||||
Common stock, par value $.01 (authorized: 600,000,000 shares; issued: 2013219,585,247 shares and 2012216,050,523; and outstanding: 2013201,798,518 and 2012202,573,022) |
2,194 | 2,159 | ||||||
Capital surplus |
1,693,663 | 1,636,128 | ||||||
Accumulated deficit |
(479,233 | ) | (444,479 | ) | ||||
Accumulated other comprehensive loss |
(59,225 | ) | (73,745 | ) | ||||
Treasury stock (shares held in treasury: 201317,786,729 shares and 201213,477,501) |
(253,692 | ) | (187,046 | ) | ||||
|
|
|
|
|||||
Total ARAMARK Holdings stockholders equity |
903,707 | 933,017 | ||||||
Noncontrolling interest |
| 33,847 | ||||||
|
|
|
|
|||||
Total equity |
903,707 | 966,864 | ||||||
|
|
|
|
|||||
$ | 10,267,106 | $ | 10,487,354 | |||||
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements.
F-3
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
FOR THE FISCAL YEARS ENDED SEPTEMBER 27, 2013, SEPTEMBER 28, 2012 AND SEPTEMBER 30, 2011
(in thousands, except per share data)
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Sales |
$ | 13,945,657 | $ | 13,505,426 | $ | 13,082,377 | ||||||
|
|
|
|
|
|
|||||||
Costs and Expenses: |
||||||||||||
Cost of services provided |
12,661,145 | 12,191,419 | 11,836,780 | |||||||||
Depreciation and amortization |
542,136 | 529,213 | 510,516 | |||||||||
Selling and general corporate expenses |
227,902 | 203,019 | 187,992 | |||||||||
|
|
|
|
|
|
|||||||
13,431,183 | 12,923,651 | 12,535,288 | ||||||||||
|
|
|
|
|
|
|||||||
Operating income |
514,474 | 581,775 | 547,089 | |||||||||
Interest and Other Financing Costs, net |
423,845 | 456,807 | 451,120 | |||||||||
|
|
|
|
|
|
|||||||
Income from Continuing Operations Before Income Taxes |
90,629 | 124,968 | 95,969 | |||||||||
Provision (Benefit) for Income Taxes |
19,233 | 18,066 | (734 | ) | ||||||||
|
|
|
|
|
|
|||||||
Income from Continuing Operations |
71,396 | 106,902 | 96,703 | |||||||||
Income (loss) from Discontinued Operations, net of tax |
(1,030 | ) | 297 | (11,732 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income |
70,366 | 107,199 | 84,971 | |||||||||
Less: Net income attributable to noncontrolling interest |
1,010 | 3,648 | 1,125 | |||||||||
|
|
|
|
|
|
|||||||
Net income attributable to ARAMARK Holdings stockholders |
$ | 69,356 | $ | 103,551 | $ | 83,846 | ||||||
|
|
|
|
|
|
|||||||
Earnings per share attributable to ARAMARK Holdings stockholders: |
||||||||||||
Basic: |
||||||||||||
Income from Continuing Operations |
$ | 0.35 | $ | 0.51 | $ | 0.47 | ||||||
Income (loss) from Discontinued Operations |
(0.01 | ) | | (0.06 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income |
$ | 0.34 | $ | 0.51 | $ | 0.41 | ||||||
|
|
|
|
|
|
|||||||
Diluted: |
||||||||||||
Income from Continuing Operations |
$ | 0.34 | $ | 0.49 | $ | 0.46 | ||||||
Income (loss) from Discontinued Operations |
$ | (0.01 | ) | $ | | $ | (0.06 | ) | ||||
|
|
|
|
|
|
|||||||
Net income |
$ | 0.33 | $ | 0.49 | $ | 0.40 | ||||||
|
|
|
|
|
|
|||||||
Weighted Average Shares Outstanding: |
||||||||||||
Basic |
201,916 | 203,211 | 203,525 | |||||||||
Diluted |
209,370 | 209,707 | 209,999 |
The accompanying notes are an integral part of these consolidated financial statements.
F-4
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
FOR THE FISCAL YEARS ENDED SEPTEMBER 27, 2013, SEPTEMBER 28, 2012 AND SEPTEMBER 30, 2011
(in thousands)
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Net income |
$ | 70,366 | $ | 107,199 | $ | 84,971 | ||||||
Other comprehensive income (loss), net of tax: |
||||||||||||
Pension plan adjustments |
19,745 | (16,208 | ) | (4,058 | ) | |||||||
Foreign currency translation adjustments |
(17,142 | ) | (4,368 | ) | 366 | |||||||
Fair value of cash flow hedges |
9,112 | 34,976 | 54,873 | |||||||||
Share of equity investees comprehensive income (loss) |
2,805 | (10,800 | ) | | ||||||||
|
|
|
|
|
|
|||||||
Other comprehensive income (loss), net of tax |
14,520 | 3,600 | 51,181 | |||||||||
|
|
|
|
|
|
|||||||
Comprehensive income |
84,886 | 110,799 | 136,152 | |||||||||
Less: Net income attributable to noncontrolling interests |
1,010 | 3,648 | 1,125 | |||||||||
|
|
|
|
|
|
|||||||
Comprehensive income attributable to ARAMARK Holdings stockholders |
$ | 83,876 | $ | 107,151 | $ | 135,027 | ||||||
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements.
F-5
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE FISCAL YEARS ENDED SEPTEMBER 27, 2013, SEPTEMBER 28, 2012 AND SEPTEMBER 30, 2011
(in thousands)
Fiscal
Year Ended September 27, 2013 |
Fiscal
Year Ended September 28, 2012 |
Fiscal
Year Ended September 30, 2011 |
||||||||||
Cash flows from operating activities: |
||||||||||||
Net income |
$ | 70,366 | $ | 107,199 | $ | 84,971 | ||||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||||||
Depreciation and amortization |
542,136 | 529,213 | 516,290 | |||||||||
Income taxes deferred |
(17,791 | ) | (66,613 | ) | (39,890 | ) | ||||||
Share-based compensation expense |
19,417 | 15,678 | 17,317 | |||||||||
Loss on sale of Galls |
| | 11,998 | |||||||||
Changes in noncash working capital: |
||||||||||||
Receivables |
(108,583 | ) | (45,190 | ) | (111,862 | ) | ||||||
Inventories |
(34,950 | ) | (50,324 | ) | (26,000 | ) | ||||||
Prepayments |
(49,224 | ) | 38,267 | (3,096 | ) | |||||||
Accounts payable |
74,462 | 83,981 | 27,012 | |||||||||
Accrued expenses |
161,441 | 16,495 | 34,450 | |||||||||
Net change in proceeds from sale of receivables |
| | (220,855 | ) | ||||||||
Changes in other noncurrent liabilities |
(26,506 | ) | 4,569 | 9,391 | ||||||||
Changes in other assets |
30,581 | 43,038 | 12,311 | |||||||||
Other operating activities |
34,558 | 15,448 | (8,429 | ) | ||||||||
|
|
|
|
|
|
|||||||
Net cash provided by operating activities |
695,907 | 691,761 | 303,608 | |||||||||
|
|
|
|
|
|
|||||||
Cash flows from investing activities: |
||||||||||||
Purchases of property and equipment, client contract investments and other |
(392,932 | ) | (354,542 | ) | (293,776 | ) | ||||||
Disposals of property and equipment |
11,298 | 11,666 | 21,499 | |||||||||
Proceeds from divestitures |
919 | 6,479 | 83,078 | |||||||||
Acquisition of certain businesses: |
||||||||||||
Working capital other than cash acquired |
(547 | ) | (8,415 | ) | 5,128 | |||||||
Property and equipment |
(183 | ) | (18,905 | ) | (6,386 | ) | ||||||
Additions to goodwill, other intangible assets and other assets, net |
(21,836 | ) | (124,427 | ) | (155,697 | ) | ||||||
Other investing activities |
17,893 | 6,568 | (16,993 | ) | ||||||||
|
|
|
|
|
|
|||||||
Net cash used in investing activities |
(385,388 | ) | (481,576 | ) | (363,147 | ) | ||||||
|
|
|
|
|
|
|||||||
Cash flows from financing activities: |
||||||||||||
Proceeds from long-term borrowings |
3,080,464 | 3,449 | 616,252 | |||||||||
Payments of long-term borrowings |
(3,314,853 | ) | (288,940 | ) | (31,236 | ) | ||||||
Net change in funding under the Receivables Facility |
36,200 | 37,895 | 225,905 | |||||||||
Dividends paid |
| | (711,172 | ) | ||||||||
Net proceeds from sale of subsidiary shares to noncontrolling interest |
| | 48,369 | |||||||||
Proceeds from issuance of common stock |
5,597 | 11,258 | 4,593 | |||||||||
Repurchase of common stock |
(42,399 | ) | (37,704 | ) | (16,149 | ) | ||||||
Distribution in connection with spin-off of Seamless |
(47,352 | ) | | | ||||||||
Other financing activities |
(53,926 | ) | (12,785 | ) | (24,562 | ) | ||||||
|
|
|
|
|
|
|||||||
Net cash (used in) provided by financing activities |
(336,269 | ) | (286,827 | ) | 112,000 | |||||||
|
|
|
|
|
|
|||||||
Increase (decrease) in cash and cash equivalents |
(25,750 | ) | (76,642 | ) | 52,461 | |||||||
Cash and cash equivalents, beginning of period |
136,748 | 213,390 | 160,929 | |||||||||
|
|
|
|
|
|
|||||||
Cash and cash equivalents, end of period |
$ | 110,998 | $ | 136,748 | $ | 213,390 | ||||||
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements.
F-6
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EQUITY
FOR THE FISCAL YEARS ENDED SEPTEMBER 27, 2013, SEPTEMBER 28, 2012 AND SEPTEMBER 30, 2011
(In thousands)
Total | Total ARAMARK Holdings Stockholders Equity |
Common Stock |
Capital Surplus |
Accumulated Deficit |
Accumulated Other Comprehensive Loss |
Treasury Stock |
Noncontrolling Interest |
|||||||||||||||||||||||||
Balance, October 1, 2010 |
$ | 1,396,957 | $ | 1,396,957 | $ | 2,094 | $ | 1,523,110 | $ | 79,296 | $ | (128,526 | ) | $ | (79,017 | ) | $ | | ||||||||||||||
Net income |
84,971 | 83,846 | 83,846 | 1,125 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) |
51,181 | 51,181 | 51,181 | |||||||||||||||||||||||||||||
Capital contributions from issuance of common stock |
25,252 | 25,252 | 29 | 25,223 | ||||||||||||||||||||||||||||
Compensation expense related to stock incentive plans |
17,317 | 17,317 | 17,317 | |||||||||||||||||||||||||||||
Tax benefits related to stock incentive plans |
651 | 651 | 651 | |||||||||||||||||||||||||||||
Decrease in common stock subject to repurchase obligation, net |
26,675 | 26,675 | 26,675 | |||||||||||||||||||||||||||||
Repurchases of common stock |
(40,756 | ) | (40,756 | ) | (40,756 | ) | ||||||||||||||||||||||||||
Dividends paid |
(711,172 | ) | (711,172 | ) | (711,172 | ) | ||||||||||||||||||||||||||
Sale of subsidiary shares to noncontrolling interest |
31,677 | 735 | 735 | 30,942 | ||||||||||||||||||||||||||||
Distributions to noncontrolling interest |
(288 | ) | | (288 | ) | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Balance, September 30, 2011 |
$ | 882,465 | $ | 850,686 | $ | 2,123 | $ | 1,593,711 | $ | (548,030 | ) | $ | (77,345 | ) | $ | (119,773 | ) | $ | 31,779 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Net income |
106,076 | 103,551 | 103,551 | 2,525 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) |
3,600 | 3,600 | 3,600 | |||||||||||||||||||||||||||||
Capital contributions from issuance of common stock |
31,636 | 31,636 | 36 | 31,600 | ||||||||||||||||||||||||||||
Compensation expense related to stock incentive plans |
15,678 | 15,678 | 15,678 | |||||||||||||||||||||||||||||
Tax benefits related to stock incentive plans |
4,539 | 4,539 | 4,539 | |||||||||||||||||||||||||||||
Increase in common stock subject to repurchase obligation, net |
(9,400 | ) | (9,400 | ) | (9,400 | ) | ||||||||||||||||||||||||||
Repurchases of common stock |
(67,273 | ) | (67,273 | ) | (67,273 | ) | ||||||||||||||||||||||||||
Distributions to noncontrolling interest |
(457 | ) | | (457 | ) | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Balance, September 28, 2012 |
$ | 966,864 | $ | 933,017 | $ | 2,159 | $ | 1,636,128 | $ | (444,479 | ) | $ | (73,745 | ) | $ | (187,046 | ) | $ | 33,847 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements.
F-7
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EQUITY
FOR THE FISCAL YEARS ENDED SEPTEMBER 27, 2013, SEPTEMBER 28, 2012 AND SEPTEMBER 30, 2011
(In thousands)
Total | Total ARAMARK Holdings Stockholders Equity |
Common Stock |
Capital Surplus |
Accumulated Deficit |
Accumulated Other Comprehensive Loss |
Treasury Stock |
Noncontrolling Interest |
|||||||||||||||||||||||||
Balance, September 28, 2012 |
$ | 966,864 | $ | 933,017 | $ | 2,159 | $ | 1,636,128 | $ | (444,479 | ) | $ | (73,745 | ) | $ | (187,046 | ) | $ | 33,847 | |||||||||||||
Net income |
69,572 | 69,356 | 69,356 | 216 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) |
14,520 | 14,520 | 14,520 | |||||||||||||||||||||||||||||
Capital contributions from issuance of common stock |
24,559 | 24,559 | 35 | 24,524 | ||||||||||||||||||||||||||||
Compensation expense related to stock incentive plans |
19,417 | 19,417 | 19,417 | |||||||||||||||||||||||||||||
Tax benefits related to stock incentive plans |
4,841 | 4,841 | 4,841 | |||||||||||||||||||||||||||||
Decrease in common stock subject to repurchase obligation, net |
8,753 | 8,753 | 8,753 | |||||||||||||||||||||||||||||
Repurchases of common stock |
(66,646 | ) | (66,646 | ) | (66,646 | ) | ||||||||||||||||||||||||||
Distribution of Seamless Holdings |
(138,173 | ) | (104,110 | ) | (104,110 | ) | (34,063 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Balance, September 27, 2013 |
$ | 903,707 | $ | 903,707 | $ | 2,194 | $ | 1,693,663 | $ | (479,233 | ) | $ | (59,225 | ) | $ | (253,692 | ) | $ | | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements.
F-8
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
On January 26, 2007, ARAMARK Holdings Corporation (the Company or Holdings), a Delaware corporation controlled by investment funds associated with GS Capital Partners, CCMP Capital Advisors, J.P. Morgan Partners, Thomas H. Lee Partners and Warburg Pincus LLC (collectively, the Sponsors), Joseph Neubauer, Chairman and former Chief Executive Officer of ARAMARK Corporation, and certain other members of the Companys management, acquired all of the outstanding shares of ARAMARK Corporation.
The consolidated financial statements include the accounts of the Company and all of its subsidiaries in which a controlling financial interest is maintained. For those material consolidated subsidiaries in which the Companys ownership is less than 100%, the outside stockholders interests are shown as noncontrolling interest in the accompanying Consolidated Balance Sheets. All significant intercompany transactions and accounts have been eliminated. Certain amounts in the prior periods financial statements have been reclassified to conform with the current year classifications. The reclassifications had no effect on net income.
Fiscal Year
The Companys fiscal year is the fifty-two or fifty-three week period which ends on the Friday nearest September 30th. The fiscal years ended September 27, 2013, September 28, 2012 and September 30, 2011 were each fifty-two week periods.
New Accounting Standard Updates
In December 2011, the FASB issued an accounting standard update (ASU) that requires companies with financial instruments and derivative instruments that are offset on the balance sheet or subject to a master netting arrangement to provide additional disclosures regarding the instruments impact on a companys financial position. In January 2013, the FASB issued an accounting standard update to clarify the scope of this ASU. The guidance is effective for the Company beginning in the first quarter of fiscal 2014. The Company is currently evaluating the impact of this pronouncement.
In September 2011, the FASB issued an accounting standard update that simplifies how entities test goodwill for impairment. The amendment permits an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. The Company adopted the guidance beginning in fiscal 2013 which did not have a material impact on the consolidated financial statements.
In June 2011, the FASB issued an accounting standard update that modifies the presentation of comprehensive income in the financial statements. The standard requires an entity to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements. This standard eliminates the current option to report other comprehensive income and its components in the statement of changes in equity. The Company adopted the guidance retrospectively beginning in the first quarter of fiscal 2013 which only resulted in changes to the presentation of the consolidated financial statements.
In June 2012, the FASB issued an accounting standard update which amends the guidance on testing indefinite-lived intangible assets, other than goodwill, for impairment. The amendment permits an entity to perform a qualitative impairment assessment before proceeding to the two-step impairment test. The Company adopted the guidance beginning in fiscal 2013 which did not have a material impact on the consolidated financial statements.
F-9
In February 2013, the FASB issued an accounting standard update which requires companies to disclose information about reclassifications out of accumulated other comprehensive income (AOCI). Companies also are required to present reclassifications by component when reporting changes in AOCI balances. For significant items reclassified out of AOCI to net income in their entirety in the period, companies must report the effect of the reclassifications on the respective line items in the statement where net income is presented. The guidance is effective for the Company beginning in the first quarter of fiscal 2014. The Company is currently evaluating the impact of this pronouncement.
Revenue Recognition
The Company recognizes sales when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the fee is fixed and determinable and collectability is reasonably assured. In each of the Companys reportable segments, sales are recognized in the period in which services are provided pursuant to the terms of the Companys contractual relationships with its clients. The Company generally records sales on food and support services contracts (both profit and loss contracts and client interest contracts) on a gross basis as the Company is the primary obligor and service provider.
Certain profit and loss contracts include commissions paid to the client, typically calculated as a fixed or variable percentage of various categories of sales. In some cases these contracts require minimum guaranteed commissions. Commissions paid to clients are recorded in Cost of services provided.
Sales from client interest contracts are generally comprised of amounts billed to clients for food, labor and other costs that the Company incurs, controls and pays for. Sales from client interest contracts also include any associated management fees, client subsidies or incentive fees based upon the Companys performance under the contract. Sales from direct marketing activities are recognized upon shipment. All sales related taxes are presented on a net basis.
Vendor Consideration
Consideration received from vendors include rebates, allowances and volume discounts and are accounted for as an adjustment to the cost of the vendors products or services and are reported as a reduction of Cost of services provided, Inventory, or Property and Equipment. Income from rebates, allowances and volume discounts is recognized based on actual purchases in the fiscal period relative to total actual or forecasted purchases to be made over the contractual rebate period agreed to with the vendor. Rebates, allowances and volume discounts related to Inventory held at the balance sheet date are deducted from the carrying value of these inventories. Rebates, allowances and volume discounts related to Property and Equipment are deducted from the costs capitalized.
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of sales and expenses during the reporting period. Actual results could differ from those estimates.
Comprehensive Income
Comprehensive income includes all changes to stockholders equity during a period, except those resulting from investments by and distributions to stockholders. Components of comprehensive income include net income (loss), changes in foreign currency translation adjustments (net of tax), pension plan adjustments (net of tax), changes in the fair value of cash flow hedges (net of tax) and changes to the share of any equity investees comprehensive income (net of tax).
F-10
The tax effects on comprehensive income were as follows (in thousands):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Pension plan adjustments |
$ | (10,198 | ) | $ | 8,646 | $ | 2,207 | |||||
Foreign currency translation adjustments |
13,690 | 2,684 | (5,515 | ) | ||||||||
Fair value of cash flow hedges |
(5,776 | ) | (22,197 | ) | (36,050 | ) | ||||||
Share of equity investees comprehensive loss |
(1,510 | ) | 7,200 | |
Accumulated other comprehensive loss consists of the following (in thousands):
September 27, 2013 | September 28, 2012 | |||||||
Pension plan adjustments |
$ | (30,523 | ) | $ | (50,268 | ) | ||
Foreign currency translation adjustments |
3,287 | 20,429 | ||||||
Fair value of cash flow hedges |
(23,994 | ) | (33,106 | ) | ||||
Share of equity investees Accumulated Other Comprehensive loss |
(7,995 | ) | (10,800 | ) | ||||
|
|
|
|
|||||
$ | (59,225 | ) | $ | (73,745 | ) | |||
|
|
|
|
Currency Translation
Gains and losses resulting from the translation of financial statements of non-U.S. subsidiaries are reflected as a component of accumulated other comprehensive income (loss) in stockholders equity. Transaction gains and losses included in operating results for fiscal 2013, fiscal 2012 and fiscal 2011 were not material.
Current Assets
The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents.
Inventories are valued at the lower of cost (principally the first-in, first-out method) or market. Personalized work apparel, linens and other rental items in service are recorded at cost and are amortized over their estimated useful lives, which primarily range from one to four years. The amortization rates used are based on the Companys specific experience.
The components of inventories are as follows:
September 27, 2013 | September 28, 2012 | |||||||
Food |
40.4 | % | 39.5 | % | ||||
Career apparel and linens |
56.5 | % | 57.2 | % | ||||
Parts, supplies and novelties |
3.1 | % | 3.3 | % | ||||
|
|
|
|
|||||
100.0 | % | 100.0 | % | |||||
|
|
|
|
Property and Equipment
Property and equipment are stated at cost and are depreciated over their estimated useful lives on a straight-line basis. Gains and losses on dispositions are included in operating results. Maintenance and repairs are charged to current operations, and replacements and significant improvements that extend the useful life of the asset are capitalized. The estimated useful lives for the major categories of property and equipment are 10 to 40 years for buildings and improvements and 3 to 10 years for service equipment and fixtures. Depreciation expense during fiscal 2013, fiscal 2012 and fiscal 2011 was $239.1 million, $236.6 million, and $234.5 million, respectively.
F-11
Other Assets
Other assets consist primarily of investments in 50% or less owned entities, client contract investments, deferred financing costs, computer software costs and long-term receivables. Investments in which the Company owns more than 20% but less than a majority are accounted for using the equity method. Investments in which the Company owns less than 20% are accounted for under the cost method. Client contract investments generally represent a cash payment provided by the Company to help finance improvement or renovation at the facility from which the Company operates. These amounts are amortized over the contract period. If a contract is terminated prior to its maturity date, the Company is generally reimbursed for the unamortized client contract investment amount. Amortization expense for client contract investments was $100.9 million, $86.9 million and $76.7 million during fiscal 2013, fiscal 2012 and fiscal 2011, respectively.
The Companys principal equity method investment is its 50% ownership interest in AIM Services Co., Ltd., a Japanese food and support services company (approximately $190.7 million and $233.4 million at September 27, 2013 and September 28, 2012, respectively, which is included in Other Assets in the Consolidated Balance Sheets). Summarized financial information for AIM Services Co., Ltd. follows (in thousands):
September 27, 2013 | September 28, 2012 | |||||||
Current assets |
$ | 353,240 | $ | 433,584 | ||||
Noncurrent assets |
169,469 | 222,813 | ||||||
Current liabilities |
291,926 | 374,062 | ||||||
Noncurrent liabilities |
50,880 | 74,680 |
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Sales |
$ | 1,693,598 | $ | 1,916,620 | $ | 1,772,143 | ||||||
Gross profit |
192,857 | 222,033 | 222,970 | |||||||||
Net income |
29,236 | 39,174 | 41,949 |
The period to period comparisons of the summarized financial information for AIM Services Co., Ltd., presented in U.S. dollars above, is significantly impacted by currency translation. The Companys equity in undistributed earnings of AIM Services Co., Ltd., net of amortization related to purchase accounting for the 2007 going-private transaction (the 2007 Transaction), was $11.5 million, $14.7 million and $18.0 million for fiscal 2013, fiscal 2012 and fiscal 2011, respectively, and is recorded as a reduction of Cost of services provided in the Consolidated Statements of Income. During fiscal 2013, fiscal 2012 and fiscal 2011, the Company received $7.9 million, $34.9 million and $10.5 million of cash distributions from AIM Services Co., Ltd, respectively.
Other Accrued Expenses and Liabilities
Accrued expenses and other current liabilities consist principally of insurance accruals, advanced payments from clients, taxes, interest, fair value of interest rate swaps and accrued commissions. Advanced payments from clients as of September 27, 2013 and September 28, 2012 were $292.9 million and $278.5 million, respectively. The Company is self-insured for the risk retained under its health and welfare and general liability and workers compensation arrangements. Self-insurance reserves are recorded based on historical claims experience and actuarial analyses. As of September 27, 2013 and September 28, 2012, $93.2 million and $92.2 million of insurance accruals were included in accrued expenses and other current liabilities, respectively.
Noncurrent liabilities consist primarily of deferred compensation, insurance accruals, pension liabilities, environmental obligations, fair value of interest rate swaps and other hedging agreements and asset retirement obligations.
F-12
Share-Based Compensation
The Company recognizes compensation cost related to share-based payment transactions in the consolidated financial statements. The cost is measured at the grant date, based on the estimated fair value of the award, and is recognized as an expense over the employees requisite service period (generally the vesting period of the equity award). See Note 11 for additional information on share-based compensation.
Earnings Per Share
Basic earnings per share is computed using the weighted average number of common shares outstanding during the periods presented. Diluted earnings per share is computed using the weighted average number of common shares outstanding adjusted to include the potentially dilutive effect of stock awards.
The following table sets forth the computation of basic and diluted earnings per share attributable to ARAMARK Holdings stockholders (in thousands, except per share data):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Earnings: |
||||||||||||
Income from Continuing Operations attributable to ARAMARK Holdings stockholders |
$ | 70,386 | $ | 103,254 | $ | 95,578 | ||||||
Income (loss) from Discontinued Operations attributable to ARAMARK Holdings stockholders |
(1,030 | ) | 297 | (11,732 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income attributable to ARAMARK Holdings stockholders |
$ | 69,356 | $ | 103,551 | $ | 83,846 | ||||||
|
|
|
|
|
|
|||||||
Shares: |
||||||||||||
Basic weighted-averages shares outstanding |
201,916 | 203,211 | 203,525 | |||||||||
Effect of dilutive securities |
7,454 | 6,496 | 6,474 | |||||||||
|
|
|
|
|
|
|||||||
Basic weighted-averages shares outstanding |
209,370 | 209,707 | 209,999 | |||||||||
|
|
|
|
|
|
|||||||
Earnings Per Share attributable to ARAMARK Holdings stockholders: |
||||||||||||
Basic: |
||||||||||||
Income from Continuing Operations |
$ | 0.35 | $ | 0.51 | $ | 0.47 | ||||||
Income (loss) from Discontinued Operations |
(0.01 | ) | | (0.06 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income |
$ | 0.34 | $ | 0.51 | $ | 0.41 | ||||||
|
|
|
|
|
|
|||||||
Diluted: |
||||||||||||
Income from Continuing Operations |
$ | 0.34 | $ | 0.49 | $ | 0.46 | ||||||
Income (loss) from Discontinued Operations |
(0.01 | ) | | (0.06 | ) | |||||||
|
|
|
|
|
|
|||||||
Net income |
$ | 0.33 | $ | 0.49 | $ | 0.40 | ||||||
|
|
|
|
|
|
Share-based awards to purchase 6.0 million, 3.2 million and 7.2 million shares were outstanding at September 27, 2013, September 28, 2012 and September 30, 2011, respectively, but were not included in the computation of diluted earnings per share, as their effect would have been antidilutive. In addition, performance-based options to purchase 7.8 million, 8.7 million and 7.2 million shares were outstanding at September 27, 2013, September 28, 2012 and September 30, 2011, respectively, but were not included in the computation of diluted earnings per share, as the performance targets were not met.
F-13
Supplemental Cash Flow Information
(dollars in millions) | Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
|||||||||
Interest paid |
$ | 350.6 | $ | 422.5 | $ | 386.4 | ||||||
Income taxes paid |
$ | 74.8 | $ | 82.5 | $ | 64.9 |
Significant noncash activities follow:
| During fiscal 2013, fiscal 2012 and fiscal 2011, the Company executed capital lease transactions. The present value of the future rental obligations was approximately $16.1 million, $17.0 million and $16.2 million for the respective periods, which is included in property and equipment and long-term borrowings. |
| During fiscal 2013, fiscal 2012 and fiscal 2011, approximately $3.5 million, $6.7 million and $4.8 million of common stock of the Company was repurchased through the issuance of promissory notes, respectively. |
| During fiscal 2013, fiscal 2012 and fiscal 2011, cashless settlements of the exercise price and related employee minimum tax withholding liabilities of share-based payment awards were approximately $26.9 million, $27.0 million and $25.9 million, respectively. |
NOTE 2. DISCONTINUED OPERATIONS:
On September 30, 2011, the Company completed the sale of its wholly-owned subsidiary, Galls, LLC (Galls), for approximately $75.0 million in cash. The transaction resulted in a pretax loss of approximately $1.5 million (after-tax loss of approximately $12.0 million) during fiscal 2011. Galls is accounted for as a discontinued operation in the Consolidated Statements of Income. Galls results of operations have been removed from the Companys results of continuing operations for all periods presented. Galls was previously included in the Uniform and Career Apparel segment. All related disclosures have also been adjusted to reflect the discontinued operation.
The loss from discontinued operations in fiscal 2013 is related to a sales tax audit currently in process for Galls.
Summarized selected financial information of discontinued operations is as follows (in thousands):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Sales |
$ | | $ | | $ | 162,294 | ||||||
Income (loss) before income taxes |
(1,701 | ) | 491 | 441 | ||||||||
Income tax provision (benefit) |
(671 | ) | 194 | 175 | ||||||||
|
|
|
|
|
|
|||||||
(1,030 | ) | 297 | 266 | |||||||||
Loss on sale, net of tax |
| | (11,998 | ) | ||||||||
|
|
|
|
|
|
|||||||
Income (loss) from discontinued operations |
$ | (1,030 | ) | $ | 297 | $ | (11,732 | ) | ||||
|
|
|
|
|
|
NOTE 3. ACQUISITIONS AND DIVESTITURES:
Fiscal 2013
Spin-off of Seamless Holdings Corporation
On October 29, 2012, the Company completed the spin-off of its majority interest in Seamless North America, LLC (Seamless) to its stockholders.
F-14
In the spin-off, ARAMARK Corporation distributed all of the issued and outstanding shares of the common stock of Seamless Holdings Corporation (Seamless Holdings), an entity formed for the purpose of completing the spin-off and whose assets primarily consist of the Companys former interest in Seamless, to its parent company and sole stockholder, ARAMARK Intermediate. Thereafter, ARAMARK Intermediate distributed such shares to the Company, its parent company and sole stockholder, who then distributed all of the shares of Seamless Holdings on a pro rata basis to the holders of Holdings common stock as of October 26, 2012, the record date, through a tax-free stock dividend. Each ARAMARK Holdings stockholder received one share of Seamless Holdings common stock for each share of ARAMARK Holdings common stock held as of the record date.
Until October 29, 2012, Seamless Holdings and its subsidiaries were part of the Company and its assets, liabilities, results of operations, and cash flows are included in the amounts reported in these consolidated financial statements until that date.
Following the spin-off, Seamless Holdings is an independent company and the Company retains no ownership interest in Seamless Holdings or Seamless. The Companys proforma results of operations for fiscal 2013 and fiscal 2012 would not have been materially different than reported assuming the spin-off and related transactions had occurred at the beginning of the prior year period.
Fiscal 2012
Acquisitions
On October 3, 2011, ARAMARK Refreshment Services, LLC, a subsidiary of the Company, purchased all of the outstanding shares of capital stock of Van Houtte USA Holdings, Inc. (doing business as Filterfresh), a provider of office coffee services in the United States, for cash consideration of approximately $145.2 million. The acquisition was financed with cash on hand and borrowings under the Companys revolving credit facility. Under the terms of the purchase agreement, if a certain significant customer relationship was not maintained within a specific timeframe, the Company was entitled to a refund of a portion of the purchase price. During the second quarter of fiscal 2012, the Company received a refund of approximately $7.4 million related to the termination of this customer relationship.
As part of the acquisition of Filterfresh, the Company acquired a subsidiary with a redeemable noncontrolling interest. The Company classifies redeemable noncontrolling interests outside of stockholders equity in the Consolidated Balance Sheets in Common Stock Subject to Repurchase and Other. As of September 27, 2013 and September 28, 2012, the redeemable noncontrolling interest related to the subsidiary was approximately $10.2 million and $10.4 million, respectively. For fiscal 2013, net income attributable to the redeemable noncontrolling interest was $0.8 million. Distributions to the redeemable noncontrolling interest was $0.9 million for fiscal 2013. For fiscal 2012, net income attributable to the redeemable noncontrolling interest was $1.1 million. Distributions to the redeemable noncontrolling interest was $0.9 million for fiscal 2012.
For fiscal 2012, $108.0 million of sales and ($1.6) million of net loss, which includes transition and integration costs, were recorded in the Consolidated Statements of Income related to the acquisition. During fiscal 2011, approximately $0.7 million of pretax transaction-related costs related to the acquisition were recorded in earnings. The Companys proforma results of operations for fiscal 2012 and fiscal 2011 would not have been materially different than reported, assuming the acquisition had occurred at the beginning of fiscal 2011.
Fiscal 2011
Acquisitions
On March 18, 2011, ARAMARK Clinical Technology Services, LLC, a subsidiary of the Company, purchased the common stock of the ultimate parent company of Masterplan, a clinical technology management and medical equipment maintenance company, for cash consideration of approximately $154.2 million. Also
F-15
acquired in the transaction was ReMedPar, an independent provider of sourced and refurbished medical equipment parts. During the first quarter of fiscal 2012, the Company sold MESA, a wholly-owned subsidiary acquired as part of the Masterplan acquisition, for cash consideration of approximately $4.2 million. The sale resulted in a reduction to goodwill of approximately $1.7 million. The Companys proforma results of operations for fiscal 2011 would not have been materially different than reported.
During the third quarter of fiscal 2012, the Company received $5.5 million in cash related to the settlement of indemnity claims filed against the former owners of Masterplan. After applying a portion of the proceeds to agreed upon indemnification assets, and after adjusting for certain other exposures, the Company recorded a pretax gain of $1.0 million, which is included in Cost of services provided in the Consolidated Statements of Income.
The Company followed the acquisition method of accounting in accordance with the accounting standard related to business combinations. The following table summarizes the final fair values of the assets acquired and liabilities assumed from Masterplan (in thousands):
Purchase consideration |
$ | 154,154 | ||
|
|
|||
Current assets |
$ | 29,906 | ||
Current liabilities |
(31,396 | ) | ||
Property and equipment |
3,736 | |||
Other intangible assets |
42,800 | |||
Goodwill |
126,757 | |||
Other assets |
314 | |||
Long-term borrowings |
(767 | ) | ||
Deferred income taxes and other noncurrent liabilities |
(17,196 | ) | ||
|
|
|||
$ | 154,154 | |||
|
|
For fiscal 2012 and fiscal 2011, $107.3 million and $62.4 million of sales and ($0.2) million and ($4.7) million of net loss, respectively, were recorded in the Consolidated Statements of Income related to Masterplan.
Divestitures
During fiscal 2011, the Company completed the sale of its 67% ownership interest in the security business of its Chilean subsidiary for approximately $11.6 million in cash. The transaction resulted in a pretax gain of approximately $7.7 million (net of tax gain of approximately $5.8 million), which is included in Cost of services provided in the Consolidated Statements of Income. The results of operations and cash flows associated with the security business were not material to the Companys consolidated operations and cash flows.
During the third quarter of fiscal 2011, the Company sold a noncontrolling interest in Seamless, an online and mobile food ordering service, for consideration of $50.0 million in cash. During the fourth quarter of fiscal 2011, the Company completed the sale of its wholly-owned subsidiary, Galls, for approximately $75.0 million in cash (see Note 2).
NOTE 4. SEVERANCE AND ASSET WRITE-DOWNS:
During the second quarter of fiscal 2013, the Company initiated a series of actions and further developed its plans to drive efficiency through the consolidation and centralization of its operations. As a result, the Company recorded charges during fiscal 2013 of approximately $63.9 million for severance and related costs. As of September 27, 2013, the Company has an accrual of approximately $46.7 million related to the unpaid obligations for these costs. In addition, during the second quarter of fiscal 2013, the Company recorded charges of approximately $11.7 million for goodwill impairments (see Note 5) and other asset write-downs of approximately $11.4 million primarily related to the write-offs of certain client contractual investments.
F-16
NOTE 5. GOODWILL AND OTHER INTANGIBLE ASSETS:
Goodwill represents the excess of the fair value of consideration paid for an acquired entity over the fair value of assets acquired and liabilities assumed in a business combination. Goodwill is not amortized and is subject to an impairment test that the Company conducts annually or more frequently if a change in circumstances or the occurrence of events indicates that potential impairment exists, using discounted cash flows. The Company performs its assessment of goodwill at the reporting unit level. Within the Food and Support ServicesInternational segment, each country is evaluated separately since such operating units are relatively autonomous and separate goodwill balances have been recorded for each entity. The Company has completed the annual goodwill impairment test, which did not result in an impairment charge. The Company performs its annual impairment test as of the end of fiscal August.
During the second quarter of fiscal 2013, the Company recorded an impairment charge of approximately $11.7 million in the Food and Support ServicesInternational segment to write-off all of the goodwill associated with its reporting units in Spain and Korea. The impairment charge is included in Cost of services provided in the Consolidated Statement of Income. The impairment charge resulted from continued economic weakness in Spain and reductions in government support for the healthcare and education sectors, two of the primary sectors of the Spanish reporting unit. In Korea, the Company undertook a strategic analysis of the Korean reporting unit, which prompted the impairment analysis in the second quarter. The completion of the step two impairment analyses confirmed that goodwill for both reporting units was impaired. During the second quarter of fiscal 2011, the Company recorded an impairment charge of $5.3 million in the Food and Support ServicesInternational segment in order to write off the goodwill (approximately $4.0 million) and other intangible assets (approximately $1.3 million) associated with its India operations. The impairment charge is included in Cost of services provided in the Consolidated Statements of Income. The impairment charge primarily resulted from a change in the strategic direction of the business and continuing operating losses due to competitive pressures. The completion of the step two impairment analyses confirmed that goodwill for the reporting unit was impaired. The Company estimated these nonrecurring fair value measurements using a discounted cash flow valuation methodology, a Level 3 measurement, which included making assumptions about the future profitability and cash flows of the business.
Goodwill, allocated by segment (see Note 14 for a description of segments), is as follows (in thousands):
Segment |
September 28, 2012 |
Acquisitions and Divestitures |
Impairment | Translation and Other |
September 27, 2013 |
|||||||||||||||
Food and Support ServicesNorth |
$ | 3,701,137 | $ | 7,398 | $ | | $ | (113,487 | ) | $ | 3,595,048 | |||||||||
Food and Support ServicesInternational |
454,552 | | (11,698 | ) | 8,300 | 451,154 | ||||||||||||||
Uniform and Career Apparel |
573,785 | | | | 573,785 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
$ | 4,729,474 | $ | 7,398 | $ | (11,698 | ) | $ | (105,187 | ) | $ | 4,619,987 | |||||||||
|
|
|
|
|
|
|
|
|
|
The amounts for acquisitions during fiscal 2013 may be revised upon final determination of the purchase price allocations. The other adjustments to the Food and Support ServicesNorth America segment primarily represents the goodwill related to the Seamless Holdings spin-off (see Note 3).
Other intangible assets consist of (in thousands):
September 27, 2013 | September 28, 2012 | |||||||||||||||||||||||
Gross Amount |
Accumulated Amortization |
Net Amount |
Gross Amount |
Accumulated Amortization |
Net Amount |
|||||||||||||||||||
Customer relationship assets |
$ | 1,892,484 | $ | (1,242,578 | ) | $ | 649,906 | $ | 1,897,933 | $ | (1,064,492 | ) | $ | 833,441 | ||||||||||
Trade names |
760,491 | (1,633 | ) | 758,858 | 763,127 | (1,419 | ) | 761,708 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
$ | 2,652,975 | $ | (1,244,211 | ) | $ | 1,408,764 | $ | 2,661,060 | $ | (1,065,911 | ) | $ | 1,595,149 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-17
Acquisition-related intangible assets consist of customer relationship assets, the ARAMARK trade name and other trade names. Customer relationship assets are being amortized principally on a straight-line basis over the expected period of benefit, 5 to 24 years, with a weighted average life of approximately 11 years. The ARAMARK trade name is an indefinite lived intangible asset and is not amortizable but is evaluated for impairment at least annually. The Company completed its annual trade name impairment test, which did not result in an impairment charge.
Intangible assets of approximately $21.4 million were acquired through business combinations during fiscal 2013. Amortization of intangible assets for fiscal 2013, fiscal 2012 and fiscal 2011 was approximately $192 million, $198 million and $193 million, respectively.
The estimated amortization expense of the amortizable intangible assets through 2018 reflects the 2007 Transaction and acquisitions since January 26, 2007. Based on the recorded balances at September 27, 2013, total estimated amortization of all acquisition-related intangible assets for fiscal years 2014 through 2018 follows (in thousands):
2014 |
$ | 156,302 | ||
2015 |
$ | 131,992 | ||
2016 |
$ | 95,454 | ||
2017 |
$ | 71,943 | ||
2018 |
$ | 48,874 |
NOTE 6. BORROWINGS:
As of September 27, 2013 and September 28, 2012, all of the Companys indebtedness was held by the Companys wholly-owned subsidiary, ARAMARK Corporation, except for the 8.625% / 9.375% Senior Notes due 2016 (the Holdings Notes). Long-term borrowings at September 27, 2013 and September 28, 2012 are summarized in the following table (in thousands):
September 27, 2013 |
September 28, 2012 |
|||||||
Senior secured revolving credit facility |
$ | 10,000 | $ | | ||||
8.625% / 9.375% Senior Notes, due April 2016 |
| 595,486 | ||||||
Senior secured term loan facility, due January 2014 |
| 650,913 | ||||||
Senior secured term loan facility, due July 2016 |
3,032,349 | 2,637,920 | ||||||
Senior secured term loan facility, due September 2019 |
1,393,559 | | ||||||
8.50% senior notes, due February 2015 |
| 1,280,000 | ||||||
Senior floating rate notes, due February 2015 |
| 500,000 | ||||||
5.75% senior notes, due March 2020 |
1,000,000 | | ||||||
Receivables Facility, due January 2015 |
300,000 | 263,800 | ||||||
Capital leases |
52,385 | 49,584 | ||||||
Other |
35,777 | 31,064 | ||||||
|
|
|
|
|||||
5,824,070 | 6,008,767 | |||||||
Lesscurrent portion |
(65,841 | ) | (37,462 | ) | ||||
|
|
|
|
|||||
$ | 5,758,229 | $ | 5,971,305 | |||||
|
|
|
|
On January 26, 2007, ARAMARK Corporation (i) entered into a $4.15 billion senior secured term loan facility with an original maturity date of January 26, 2014, (ii) issued $1.28 billion of 8.50% senior notes due 2015 (the Fixed Rate Notes) and $500 million of senior floating rate notes due 2015 (the Floating Rate Notes), (iii) entered into a $600 million senior secured revolving credit facility with an original six-year maturity, and (iv) entered into a synthetic letter of credit facility for up to $250 million (which was reduced to $200 million in January 2008).
F-18
In the second quarter of fiscal 2013, the Company completed a refinancing, repurchasing all of the Fixed Rate Notes, Floating Rate Notes and Holdings Notes. The Company refinanced that debt with borrowings of ARAMARK Corporation in the form of the new term loans and new notes as described herein.
Senior Secured Credit Agreement
The senior secured credit agreement is comprised of the senior secured term loan facility, the senior secured revolving credit facility and the synthetic letter of credit facility. The senior secured credit agreement provides that ARAMARK Corporation has the right at any time to request up to $750 million of incremental commitments in the aggregate (reduced to $630 million as of September 27, 2013) under one or more incremental term loan facilities and/or synthetic letter of credit facilities and/or revolving credit facilities and/or by increasing commitments under the revolving credit facility. ARAMARK Corporations ability to obtain extensions of credit under these incremental facilities or commitments will be subject to the same conditions as extensions of credit under the existing credit facilities. However, the lenders under the existing facilities will not be under any obligation to provide any such incremental facilities or commitments, and any such addition of or increase in facilities or commitments will be subject to pro forma compliance with an incurrence-based financial covenant and customary conditions precedent.
Borrowings under the senior secured credit agreement bear interest at a rate equal to an applicable margin plus, at ARAMARK Corporations option, either (a) a LIBOR rate determined by reference to the costs of funds for deposits in the currency of such borrowing for the interest period relevant to such borrowing adjusted for certain additional costs, (b) with respect to borrowings denominated in U.S. dollars, a base rate determined by reference to the higher of (1) the prime rate of the administrative agent, and (2) the federal funds rate plus 0.50% or (c) with respect to borrowings denominated in Canadian dollars, (1) a base rate determined by reference to the prime rate of Canadian banks or (2) a BA (bankers acceptance) rate determined by reference to the rate offered for bankers acceptances in Canadian dollars for the interest period relevant to such borrowing.
All obligations under the senior secured credit agreement are guaranteed by ARAMARK Intermediate Holdco Corporation and, subject to certain exceptions, substantially all existing and future domestic subsidiaries of ARAMARK Corporation (the U.S. Guarantors). All obligations of each foreign borrower under the senior secured credit facilities are unconditionally guaranteed by ARAMARK Corporation, the U.S. Guarantors and, subject to certain exceptions and qualifications, the respective other foreign borrowers. All obligations under the senior secured credit agreement are secured by a security interest in substantially all assets of ARAMARK Intermediate Holdco Corporation, ARAMARK Corporation and the U.S. Guarantors. The senior secured credit agreement obligations are also secured by pledges of 100% of the capital stock of ARAMARK Corporation and 100% of the capital stock held by ARAMARK Corporation or any of the U.S. Guarantors.
The senior secured credit agreement requires ARAMARK Corporation to prepay outstanding term loans, subject to certain exceptions, with (i) 50% of ARAMARK Corporations Excess Cash Flow if the Consolidated Capital Leverage Ratio is above 5.25x or 25% of ARAMARK Corporations Excess Cash Flow if the Consolidated Capital Leverage Ratio falls between 5.25x and 4.50x (as defined in the senior secured credit agreement) (the actual ratio at September 27, 2013 was 4.88x), (ii) 100% of the net cash proceeds of all nonordinary course asset sales or other dispositions of property subject to certain exceptions and customary reinvestment rights, and (iii) 100% of the net cash proceeds of any incurrence of debt, including debt incurred by any business securitization subsidiary in respect of any business securitization facility, but excluding proceeds from ARAMARK Corporations Receivables Facility and other debt permitted under the senior secured credit agreement. Any mandatory prepayments would be applied to the term loan facilities as directed by ARAMARK Corporation. Generally, ARAMARK Corporation is permitted to voluntarily repay outstanding loans under the senior secured credit agreement at any time without premium or penalty, other than customary breakage costs with respect to LIBOR loans.
The senior secured credit agreement contains a number of covenants that, among other things, restrict, subject to certain exceptions, ARAMARK Corporations ability to: incur additional indebtedness; issue preferred stock or provide guarantees; create liens on assets; engage in mergers or consolidations; sell assets; pay
F-19
dividends, make distributions or repurchase its capital stock; make investments, loans or advances; repay or repurchase any notes, except as scheduled or at maturity; create restrictions on the payment of dividends or other amounts to ARAMARK Corporation from its restricted subsidiaries; make certain acquisitions; engage in certain transactions with affiliates; amend material agreements governing ARAMARK Corporations outstanding notes (or any indebtedness that refinances the notes); and fundamentally change ARAMARK Corporations business. In addition, the senior secured revolving credit facility requires ARAMARK Corporation to maintain a maximum senior secured leverage ratio and imposes limitations on capital expenditures. The senior secured credit agreement also contains certain customary affirmative covenants, such as financial and other reporting, and certain events of default. At September 27, 2013, ARAMARK Corporation was in compliance with all of these covenants.
The senior secured credit agreement requires ARAMARK Corporation to maintain a maximum Consolidated Secured Debt Ratio, defined as consolidated total indebtedness secured by a lien to Covenant Adjusted EBITDA (as defined) of 5.875x, being reduced over time to 5.125x by the end of 2016 (as of September 27, 20135.75x). Consolidated total indebtedness secured by a lien is defined in the senior secured credit agreement as total indebtedness outstanding under the senior secured credit agreement, capital leases, advances under the Receivables Facility and any other indebtedness secured by a lien reduced by the lesser of the amount of cash and cash equivalents on the consolidated balance sheet that is free and clear of any lien and $75 million. Non-compliance with the maximum Consolidated Secured Debt Ratio could result in the requirement to immediately repay all amounts outstanding under such agreement, which, if ARAMARK Corporations revolving credit facility lenders failed to waive any such default, would also constitute a default under the indenture. The actual ratio at September 27, 2013 was 4.00x.
The senior secured credit agreement establishes an incurrence-based minimum Interest Coverage Ratio, defined as Adjusted EBITDA to consolidated interest expense, as a condition for ARAMARK Corporation to incur additional indebtedness and to make certain restricted payments. The minimum Interest Coverage Ratio is 2.00x for the term of the senior secured credit agreement. If ARAMARK Corporation does not maintain this minimum Interest Coverage Ratio calculated on a pro forma basis for any such additional indebtedness or restricted payments, it could be prohibited from being able to incur additional indebtedness, other than the additional funding provided for under the senior secured credit agreement and pursuant to specified exceptions, and make certain restricted payments, other than pursuant to certain exceptions. Consolidated interest expense is defined in the senior secured credit agreement as consolidated interest expense excluding interest income, adjusted for acquisitions and dispositions, further adjusted for certain non-cash or nonrecurring interest expense and ARAMARK Corporations estimated share of interest expense from one equity method investee. The actual ratio was 3.52x for the twelve months ended September 27, 2013.
Senior Secured Term Loan Facilities
The senior secured term loan facility consists of the following subfacilities as of September 27, 2013:
| A U.S. dollar denominated term loan to ARAMARK Corporation in the amount of $2,670.5 million (due 2016) and $1,400.0 million (due 2019); |
| A yen denominated term loan to ARAMARK Corporation in the amount of ¥5,056.0 million (due 2016); |
| A U.S. dollar denominated term loan to a Canadian subsidiary in the amount of $75.5 million (due 2016); |
| A Euro denominated term loan to an Irish subsidiary in an amount of 30.4 million (due 2016); |
| A sterling denominated term loan to a U.K. subsidiary in an amount of £82.3 million (due 2016); and |
| A Euro denominated term loan to German subsidiaries in the amount of 46.1 million (due 2016). |
F-20
ARAMARK Corporation is required to repay the senior secured term loan facilities in quarterly principal amounts of 0.25% of the funded total principal amount, with the remaining amount payable on July 26, 2016. In September 2013, ARAMARK Corporation made a payment of outstanding U.S. dollar term loan due 2016 of $265.0 million.
Amendment Agreement No. 4
On February 22, 2013, ARAMARK Corporation entered into Amendment Agreement No. 4 (Amendment Agreement No. 4) to the Amended and Restated Credit Agreement dated as of March 26, 2010 (as amended, the Credit Agreement) which provided for, among other things, additional term loans and the extension of a portion of the revolving credit facility. On March 7, 2013, ARAMARK Corporation borrowed $1,400 million of term loans pursuant to Amendment Agreement No. 4. The new term loans were borrowed by ARAMARK Corporation with an original issue discount of 0.50%. The term loans under Amendment Agreement No. 4 mature on September 7, 2019. These term loans have a Eurocurrency rate margin, with respect to the U.S. dollar denominated, Canadian dollar denominated and Euro denominated term loans, of 3.00% and base rate margin on U.S. dollar denominated base rate term loans of 2.00%. Eurocurrency rate borrowings have a minimum LIBOR rate of 1.00% and base rate borrowings have a minimum rate of 2.00%.
Amendment Agreement No. 4 also increased the applicable margins for ARAMARK Corporations existing term loans and the fee rates on letter of credit deposits with respect to the synthetic letter of credit facility. From and after the effective date of Amendment Agreement No. 4, (A) the Eurocurrency rate margin and letter of credit fees with respect to the U.S. dollar denominated, Canadian dollar denominated and Euro denominated term loans and extended maturity letter of credit deposits increased 0.25% to 3.50%, (B) the margin on U.S. dollar denominated base rate term loans increased 0.25% to 2.50% and (C) the margins on yen denominated term loans and sterling denominated term loans increased 0.125% to 3.50%.
Amendment Agreement No. 4 also provided for an increase in the maximum Consolidated Secured Debt Ratio to reflect the additional secured indebtedness associated with the new term loan borrowings and certain additional flexibility with respect to the restricted payments covenant.
During the second quarter of fiscal 2013, approximately $14.0 million of third-party costs directly attributable to the term loans borrowed pursuant to Amendment Agreement No. 4 were capitalized and are included in Other Assets in the Consolidated Balance Sheets, of which approximately $6.2 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
Amendment Agreement No. 3
On December 20, 2012, ARAMARK Corporation amended the senior secured credit agreement (Amendment Agreement No. 3) to, among other things, borrow $670 million of new term loans with a maturity date of July 26, 2016. The proceeds of the new term loans were used primarily to repay approximately $650 million of existing term loans with a maturity date of January 26, 2014 and to fund certain discounts, fees and costs associated with the amendment. The existing term loans repaid in connection with Amendment Agreement No. 3 included U.S. dollar denominated term loans as well as non-U.S. dollar term loans and consisted of the remaining balance of the term loans maturing in January 2014. The new term loans were borrowed by ARAMARK Corporation with an original issue discount of 0.25%.
During the first quarter of fiscal 2013, approximately $11.6 million of third-party costs directly attributable to Amendment Agreement No. 3 were expensed and are included in Interest and Other Financing Costs, net in the Consolidated Statements of Income. Approximately $4.6 million of the third-party costs were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
F-21
Amendment Agreement No. 2
On February 29, 2012, ARAMARK Corporation entered into Amendment Agreement No. 2 (Amendment Agreement No. 2) to the Credit Agreement. Amendment Agreement No. 2 extended the maturity date of an aggregate U.S. dollar equivalent of approximately $1,231.6 million of ARAMARK Corporations term loans and $66.7 million of letter of credit deposits securing ARAMARK Corporations synthetic letter of credit facility to July 26, 2016. Consenting lenders received a one-time amendment fee of approximately $3.2 million in the aggregate on their total loan commitments.
During the second quarter of fiscal 2012, approximately $7.5 million of third-party costs directly attributable to Amendment Agreement No. 2 were expensed and are included in Interest and Other Financing Costs, net in the Consolidated Statements of Income. Approximately $4.5 million of the third-party costs were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
Senior Secured Revolving Credit Facility
The senior secured revolving credit facility consists of the following subfacilities:
| A revolving credit facility available for loans in U.S. dollars to ARAMARK Corporation with aggregate commitments of $555 million ($515 million with a final maturity of January 26, 2017 and $40 million with a final maturity of January 26, 2015); and |
| A revolving credit facility available for loans in Canadian dollars or U.S. dollars to ARAMARK Corporation or a Canadian subsidiary with aggregate commitments of $50 million (due January 26, 2017). |
Amendment Agreement No. 1
On April 18, 2011, ARAMARK Corporation entered into an Amendment Agreement to the Restated Credit Agreement (the Amendment Agreement No. 1) that extended, from January 2013 to January 2015, the maturity of, and increased, from $435 million to $500 million, the U.S. dollar denominated portion of its existing revolving credit facility. Any commitments from existing lenders in the U.S. dollar facility that were not extended were terminated, which resulted in a write-off of deferred financing fees of $2.1 million in fiscal 2011. Existing lenders that extended the U.S. dollar denominated portion of their existing revolving credit facility include entities affiliated with GS Capital Partners and J.P. Morgan Partners. Commitment fees and third party costs directly attributable to the amendment were approximately $7.2 million in fiscal 2011, of which approximately $3.9 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
Amendment Agreement No. 4
Amendment Agreement No. 4 provided for the extension, from January 26, 2015 to January 26, 2017, of the maturity of $500 million in revolving lender commitments of the existing $550 million revolving credit facility, which extended portion was subsequently increased to $510 million. The maturity date of the extended revolving credit facilities would accelerate to April 26, 2016 if term loans under the Credit Agreement that are due on July 26, 2016 remain outstanding on April 26, 2016. Third party costs directly attributable to the revolving credit facility of approximately $2.8 million were capitalized and are included in Other Assets in the Consolidated Balance Sheets, of which approximately $0.6 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
Amendment Agreement No. 5
On March 22, 2013, ARAMARK Corporation entered into Amendment Agreement No. 5 (Amendment Agreement No. 5) to the Credit Agreement. Amendment Agreement No. 5 increased the aggregate revolving loan commitments made available to ARAMARK Corporation under the Credit Agreement by $55.0 million to $605.0 million.
F-22
The applicable margin spread for borrowings under the revolving credit facility are 3.25% with respect to Eurocurrency borrowings and 2.25% with respect to base-rate borrowings.
In addition to paying interest on outstanding principal under the senior secured credit agreement, ARAMARK Corporation is required to pay a commitment fee to the lenders under the revolving credit facility in respect of the unutilized commitments thereunder. The commitment fee rate is 0.50% per annum.
As of September 27, 2013, there was approximately $579.0 million available for borrowing on the credit facility.
8.625% / 9.375% Senior Notes due 2016
On April 18, 2011, the Company completed a private placement of $600 million, net of a 1% discount, in aggregate principal amount of 8.625% / 9.375% Senior Notes due 2016. Interest on the Holdings Notes accrues at the rate of 8.625% per annum with respect to interest payments made in cash and 9.375% per annum with respect to any payment in-kind interest. The Holdings Notes are obligations of the Company, are not guaranteed by ARAMARK Corporation and its subsidiaries and are structurally subordinated to all existing and future indebtedness and other liabilities of ARAMARK Corporation and its subsidiaries.
The Company used the net proceeds from the offering of the Holdings Notes, along with $132.7 million in borrowings by ARAMARK Corporation under the extended U.S. dollar revolving credit facility, to pay an approximately $711 million dividend ($3.50 per share) to the Companys stockholders and to pay fees and expenses related to the issuance of the Holdings Notes. Third party costs directly attributable to the Holdings Notes were approximately $14.6 million, of which approximately $8.3 million were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
5.75% Senior Notes due 2020
On March 7, 2013, ARAMARK Corporation issued $1,000 million of 5.75% Senior Notes due 2020 (the Senior Notes) pursuant to a new indenture, dated as of March 7, 2013 (the Indenture). The Senior Notes were issued at par. The Senior Notes were sold only to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the Securities Act), and to certain persons in offshore transactions in reliance on Regulation S, under the Securities Act. The Senior Notes are unsecured obligations of ARAMARK Corporation. The Senior Notes rank equal in right of payment to all of ARAMARK Corporations existing and future senior debt and senior in right of payment to all of ARAMARK Corporations existing and future debt that is expressly subordinated in right of payment to the Senior Notes. The Senior Notes are guaranteed on a senior, unsecured basis by substantially all of the domestic subsidiaries of ARAMARK Corporation. Interest on the Senior Notes is payable on March 15 and September 15 of each year, commencing on September 15, 2013. The Senior Notes and guarantees are structurally subordinated to all of the liabilities of any of ARAMARK Corporations subsidiaries that do not guarantee the Senior Notes. The Senior Notes mature on March 15, 2020.
Prior to March 15, 2015, ARAMARK Corporation may redeem up to 40% of the Senior Notes with the proceeds from one or more qualified equity offerings at a price equal to 105.750% of the principal amount of the Senior Notes redeemed, plus accrued and unpaid interest and additional interest, if any, to the date of redemption. In addition, at any time prior to March 15, 2015, ARAMARK Corporation may redeem all or a portion of the Senior Notes at a price equal to 100% of the principal amount of the Senior Notes redeemed plus a make whole premium and accrued and unpaid interest and additional interest, if any, to the date of redemption. Thereafter, ARAMARK Corporation has the option to redeem all or a portion of the Senior Notes at any time at the redemption prices set forth in the Indenture.
In the event of certain types of changes of control, the holders of the Senior Notes may require ARAMARK Corporation to purchase for cash all or a portion of their Senior Notes at a purchase price equal to 101% of the principal amount of such Senior Notes, plus accrued and unpaid interest, if any, to the date of repurchase.
F-23
The Indenture contains covenants limiting ARAMARK Corporations ability and the ability of its restricted subsidiaries to: incur additional indebtedness or issue certain preferred shares; pay dividends and make certain distributions, investments and other restricted payments; create certain liens; sell assets; enter into transactions with affiliates; limit the ability of restricted subsidiaries to make payments to ARAMARK Corporation; enter into sale and leaseback transactions; merge, consolidate, sell or otherwise dispose of all or substantially all of ARAMARK Corporations assets; and designate ARAMARK Corporations subsidiaries as unrestricted subsidiaries. The Indenture also provides for events of default which, if any of them occurs, would permit or require the principal of and accrued interest on the Senior Notes to become or to be declared due and payable.
During the second quarter of fiscal 2013, approximately $13.8 million of third-party costs directly attributable to the Senior Notes were capitalized and are included in Other Assets in the Consolidated Balance Sheets. Approximately $7.3 million of the third-party costs were paid to entities affiliated with GS Capital Partners and J.P. Morgan Partners.
Registration Rights Agreement
On March 7, 2013, ARAMARK Corporation entered into a registration rights agreement (the Registration Rights Agreement) among the guarantors named therein and Goldman, Sachs & Co. and J.P. Morgan Securities LLC, as representatives of the several initial purchasers, with respect to the Senior Notes. In the Registration Rights Agreement, ARAMARK Corporation agreed to, among other things, (1) file an exchange offer registration statement pursuant to which ARAMARK Corporation will offer exchange notes with terms identical in all material respects to, and evidencing the same indebtedness as, the Senior Notes, in exchange for such notes (but which exchange notes will not contain terms with respect to transfer restrictions or provide for the additional interest described below); and (2) use commercially reasonable efforts to cause the exchange offer registration statement to be declared effective under the Securities Act. ARAMARK Corporation has agreed to use commercially reasonable efforts to cause the exchange offer to be consummated or, if required, to have one or more shelf registration statements declared effective, within 390 days after the issue date of the Senior Notes.
If ARAMARK Corporation fails to satisfy this obligation (a registration default), the annual interest rate on the Senior Notes will increase by 0.25%. The annual interest rate on the Senior Notes will increase by an additional 0.25% for each subsequent 90-day period during which the registration default continues, up to a maximum additional interest rate of 1.00% per year over the applicable interest rate in the Indenture. If the registration default is corrected, the applicable interest rate on the Senior Notes will revert to the original level.
Repurchase of 8.50% Senior Notes due 2015, Senior Floating Rate Notes due 2015 and 8.625% / 9.375% Senior Notes due 2016
Tender Offer
In February 2013, ARAMARK Corporation and the Company commenced a tender offer to purchase for cash any and all of the Holdings Notes and the Fixed Rate Notes and the Floating Rate Notes (collectively, the Notes). On March 7, 2013, ARAMARK Corporation used a portion of the aggregate proceeds of the Senior Notes offering and the borrowings under the new term loans pursuant to Amendment Agreement No. 4 to purchase all Notes tendered by March 6, 2013, the early tender date. On March 7, 2013, ARAMARK Corporation issued redemption notices for the portions of ARAMARK Corporations Fixed Rate Notes and Floating Rate Notes that remained outstanding, including accrued and unpaid interest, as of March 7, 2013, which provided for the redemption of such notes on April 6, 2013 at prices of 100% of the principal amount thereof. On March 7, 2013, the Company issued a redemption notice for the portion of the Holdings Notes that remained outstanding as of March 7, 2013, including accrued and unpaid interest, which notices provided for the redemption of the Holdings Notes on May 1, 2013 at a price of 101% of the principal amount thereof.
On March 7, 2013, ARAMARK Corporation and the Company deposited sufficient funds in trust with the trustee under the indenture governing the Notes in full and complete satisfaction and discharge of the remaining aggregate principal amount of such notes, including accrued and unpaid interest (the Satisfaction and
F-24
Discharge). As a result of the Satisfaction and Discharge, the trustee became the primary obligor for payment of the remaining Notes on or about the redemption notice date of March 7, 2013. ARAMARK Corporation and the Company had a contingent obligation for payment of the Notes were the trustee to default on its payment obligations. The Company believed the risk of such default was remote and therefore did not record a related liability. The remaining Fixed Rate Notes and Floating Rate Notes were redeemed by the trustee on April 6, 2013. The remaining Holdings Notes were redeemed by the trustee on May 1, 2013.
During the second quarter of fiscal 2013, in connection with the tender offer and Satisfaction and Discharge, the Company recorded $39.8 million of charges to Interest and Other Financing Costs, net in the Consolidated Statements of Income, consisting of $12.9 million of third party costs for the tender offer premium and $26.9 million of non-cash charges for the write-off of deferred financing costs.
Future Maturities and Interest and Other Financing Costs, net
At September 27, 2013, annual maturities on long-term borrowings in the next five fiscal years and thereafter (excluding the $7.8 million discount on the senior secured term loan facilities and presumes repayment of the $2.6 billion U.S. and non-U.S. denominated term loans on July 26, 2016) are as follows (in thousands):
2014 |
$ | 65,841 | ||
2015 |
$ | 349,487 | ||
2016 |
$ | 3,025,340 | ||
2017 |
$ | 30,241 | ||
2018 |
$ | 19,788 | ||
Thereafter |
$ | 2,341,138 |
The components of interest and other financing costs, net, are summarized as follows (in thousands):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Interest expense |
$ | 425,625 | $ | 459,083 | $ | 466,140 | ||||||
Interest income |
(6,430 | ) | (5,477 | ) | (18,653 | ) | ||||||
Other financing costs |
4,650 | 3,201 | 3,633 | |||||||||
|
|
|
|
|
|
|||||||
Total |
$ | 423,845 | $ | 456,807 | $ | 451,120 | ||||||
|
|
|
|
|
|
NOTE 7. DERIVATIVE INSTRUMENTS:
The Company enters into contractual derivative arrangements to manage changes in market conditions related to interest on debt obligations, foreign currency exposures and exposure to fluctuating natural gas, gasoline and diesel fuel prices. Derivative instruments utilized during the period include interest rate swap agreements, foreign currency forward exchange contracts, and gasoline and diesel fuel agreements. All derivative instruments are recognized as either assets or liabilities on the balance sheet at fair value at the end of each quarter. The counterparties to the Companys contractual derivative agreements are all major international financial institutions. The Company is exposed to credit loss in the event of nonperformance by these counterparties. The Company continually monitors its positions and the credit ratings of its counterparties, and does not anticipate nonperformance by the counterparties. For designated hedging relationships, the Company formally documents the hedging relationship and its risk management objective and strategy for undertaking the hedge, the hedging instrument, the hedged item, the nature of the risk being hedged, how the hedging instruments effectiveness in offsetting the hedged risk will be assessed prospectively and retrospectively, and a description of the method of measuring ineffectiveness. The Company also formally assesses, both at the hedges inception and on an ongoing basis, whether the derivatives that are used in hedging transactions are highly effective in offsetting cash flows of hedged items.
F-25
Cash Flow Hedges
The Company previously entered into $1.0 billion of interest rate swap agreements, fixing the rate on a like amount of variable rate borrowings. During fiscal 2013, the Company entered into $1.3 billion of forward starting interest rate swap agreements to hedge the cash flow risk of variability in interest payments on variable rate borrowings. Subsequent to September 27, 2013, the Company entered into an additional $600 million notional amount of forward starting interest rate swap agreements to hedge the cash flow risk of variability in interest rate payments on variable rate borrowings. Changes in the fair value of a derivative that is designated as and meets all the required criteria for a cash flow hedge are recorded in accumulated other comprehensive income (loss) and reclassified into earnings as the underlying hedged item affects earnings. As of September 27, 2013 and September 28, 2012, approximately ($20.5) million and ($28.1) million of unrealized net of tax losses related to the interest rate swaps were included in Accumulated other comprehensive loss, respectively. The hedge ineffectiveness for these cash flow hedging instruments during fiscal 2013, fiscal 2012 and fiscal 2011 was not material.
The Company previously entered into a $160.0 million amortizing cross currency swap to mitigate the risk of variability in principal and interest payments on the Canadian subsidiarys variable rate debt denominated in U.S. dollars. The agreement fixes the rate on the variable rate borrowings and mitigates changes in the Canadian dollar/U.S. dollar exchange rate. In March 2012, the cross currency swap was amended to match the terms of the Canadian subsidiarys debt that was impacted by the Amendment Agreement No. 2. A portion of the swap was amended and extended to match the terms related to its variable rate debt denominated in U.S. dollars that was extended under Amendment Agreement No. 2. The Company has designated the swaps as cash flow hedges. During fiscal 2013 and fiscal 2012, approximately $1.0 million and ($8.1) million of unrealized net of tax gains (losses) related to the swap were added to Accumulated other comprehensive loss, respectively. Approximately ($4.0) million and $10.0 million were reclassified to offset net translation gains (losses) on the foreign currency denominated debt during fiscal 2013 and fiscal 2012, respectively. As of September 27, 2013 and September 28, 2012, unrealized net of tax losses of approximately ($3.5) million and ($5.0) million related to the cross currency swap were included in Accumulated other comprehensive loss, respectively. As a result of amending the cross currency swap, the hedge ineffectiveness for fiscal 2012 was approximately $3.6 million, which is recorded in Interest and Other Financing Costs, net. The hedge ineffectiveness for this cash flow hedging instrument during fiscal 2013 and fiscal 2011 was not material.
As a result of Amendment Agreement No. 3, the Company de-designated the cross currency swap that hedged the Canadian subsidiarys term loan with a maturity date of January 26, 2014. Prior to Amendment Agreement No. 3, these contracts met the required criteria to be designated as cash flow hedging instruments. As a result, approximately $3.2 million was reclassified from Accumulated other comprehensive loss in the Consolidated Balance Sheets to Interest and Other Financing Costs, net in the Consolidated Statements of Income during fiscal 2013.
The following table summarizes the net of tax effect of our derivatives designated as cash flow hedging instruments on Comprehensive Income (in thousands):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Interest rate swap agreements |
$ | 7,598 | $ | 28,147 | $ | 58,082 | ||||||
Cross currency swap agreements |
1,514 | 5,580 | (1,956 | ) | ||||||||
Natural gas hedge agreements |
| 113 | (21 | ) | ||||||||
Gasoline and diesel fuel agreements |
| | (1,232 | ) | ||||||||
|
|
|
|
|
|
|||||||
$ | 9,112 | $ | 33,840 | $ | 54,873 | |||||||
|
|
|
|
|
|
F-26
Derivatives not Designated in Hedging Relationships
The Company elected to de-designate the cross currency swaps that were hedged against the Canadian subsidiarys term loan with a maturity date of January 26, 2014 due to the repayment of the term loan as a result of Amendment Agreement No. 3. As a result, on a prospective basis, changes in the fair value of these swaps are recorded in earnings. For fiscal 2013, the Company recorded a pretax gain (loss) of approximately $3.0 million for the change in the fair value of these swaps in Interest and Other Financing Costs, net in the Consolidated Statements of Income. The changes in the fair value of these swaps are expected to offset future currency transaction gains and losses on a U.S. dollar denominated intercompany loan between the Company and its Canadian subsidiary.
The Company entered into a series of pay fixed/receive floating gasoline and diesel fuel agreements based on the Department of Energy weekly retail on-highway index in order to limit its exposure to price fluctuations for gasoline and diesel fuel. As of September 27, 2013, the Company has contracts for approximately 0.2 million gallons outstanding for fiscal 2014. Prior to October 1, 2011, all outstanding contracts were designated as cash flow hedging instruments; therefore, changes in the fair value of these contracts were recorded in accumulated other comprehensive income (loss) and reclassified into earnings as the underlying hedged item affects earnings. Beginning in first quarter of fiscal 2012, the Company no longer records its gasoline and diesel fuel agreements as hedges for accounting purposes. As a result, on a prospective basis, changes in the fair value of these contracts are recorded in earnings. Amounts previously recorded in accumulated other comprehensive income (loss) were reclassified into earnings as the underlying item affected earnings. During fiscal 2013 and fiscal 2012, the Company recorded a pretax gain (loss) of ($0.7) million and $0.7 million in the Consolidated Statements of Income for the change in the fair value on these agreements, respectively. The hedge ineffectiveness for the gasoline and diesel fuel hedging instruments for fiscal 2011 was immaterial.
As of September 27, 2013, the Company had foreign currency forward exchange contracts outstanding with notional amounts of 95.9 million, £45.8 million, kr.26.6 million and CAD16.0 million to mitigate the risk of changes in foreign currency exchange rates on short-term intercompany loans to certain international subsidiaries. Gains and losses on these foreign currency exchange contracts are recognized in income as the contracts were not designated as hedging instruments, substantially offsetting currency transaction gains and losses on the short term intercompany loans.
The following table summarizes the location and fair value, using Level 2 inputs, of the Companys derivatives designated and not designated as hedging instruments in the Consolidated Balance Sheets (in thousands):
Balance Sheet Location | September 27, 2013 | September 28, 2012 | ||||||||
ASSETS |
||||||||||
Not designated as hedging instruments: |
||||||||||
Foreign currency forward exchange contracts |
Prepayments | $ | | $ | 251 | |||||
Gasoline and diesel fuel agreements |
Prepayments | 37 | 696 | |||||||
|
|
|
|
|||||||
$ | 37 | $ | 947 | |||||||
|
|
|
|
|||||||
LIABILITIES |
||||||||||
Designated as hedging instruments: |
||||||||||
Interest rate swap agreements |
Accrued Expenses | $ | 3,494 | $ | | |||||
Interest rate swap agreements |
Other Noncurrent Liabilities | 30,431 | 46,484 | |||||||
Cross currency swap agreements |
Other Noncurrent Liabilities | 16,129 | 45,406 | |||||||
|
|
|
|
|||||||
50,054 | 91,890 | |||||||||
|
|
|
|
|||||||
Not designated as hedging instruments: |
||||||||||
Foreign currency forward exchange contracts |
Accounts Payable | 366 | | |||||||
Cross currency swap agreements |
Accrued Expenses | 12,818 | | |||||||
|
|
|
|
|||||||
$ | 63,238 | $ | 91,890 | |||||||
|
|
|
|
F-27
The following table summarizes the location of (gain) loss reclassified from Accumulated other comprehensive loss into earnings for derivatives designated as hedging instruments and the location of (gain) loss for our derivatives not designated as hedging instruments in the Consolidated Statements of Income (in thousands):
Account | Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
|||||||||||
Designated as hedging instruments: |
||||||||||||||
Interest rate swap agreements |
Interest Expense | $ | 23,479 | $ | 66,260 | $ | 123,739 | |||||||
Cross currency swap agreements |
Interest Expense | 4,090 | 8,077 | 8,960 | ||||||||||
Natural gas hedge agreements |
Cost of services provided | | 396 | 158 | ||||||||||
Gasoline and diesel fuel agreements |
Cost of services provided | | | (2,289 | ) | |||||||||
|
|
|
|
|
|
|||||||||
$ | 27,569 | $ | 74,733 | $ | 130,568 | |||||||||
|
|
|
|
|
|
|||||||||
Not designated as hedging instruments: |
||||||||||||||
Cross currency swap agreements |
Interest Expense | $ | 181 | $ | | $ | | |||||||
Gasoline and diesel fuel agreements |
Cost of services provided | 7 | 24 | | ||||||||||
Foreign currency forward exchange contracts |
Interest Expense | 2,697 | (265 | ) | (1,586 | ) | ||||||||
|
|
|
|
|
|
|||||||||
2,885 | (241 | ) | (1,586 | ) | ||||||||||
|
|
|
|
|
|
|||||||||
$ | 30,454 | $ | 74,492 | $ | 128,982 | |||||||||
|
|
|
|
|
|
As part of the 2007 Transaction, the Company entered into a Japanese yen denominated term loan in the amount of ¥5,422 million (see Note 6). The term loan was designated as a hedge of the Companys net Japanese currency exposure represented by the equity investment in our Japanese affiliate, AIM Services Co., Ltd.
At September 27, 2013, the net of tax loss expected to be reclassified from Accumulated other comprehensive loss into earnings over the next twelve months based on current market rates is approximately $17.0 million.
NOTE 8. EMPLOYEE PENSION AND PROFIT SHARING PLANS:
In the United States, the Company maintains qualified contributory and non-contributory defined contribution retirement plans for eligible employees, with Company contributions to the plans based on earnings performance or salary level. The Company also has a non-qualified retirement savings plan for certain employees. The total expense of the above plans for fiscal 2013, fiscal 2012 and fiscal 2011 was $32.4 million, $29.5 million and $31.5 million, respectively. The Company also maintains similar contributory and non-contributory defined contribution retirement plans at several of its international operations. The total expense of these international plans for fiscal 2013, fiscal 2012 and fiscal 2011 was $8.5 million, $5.0 million and $5.7 million, respectively. Additionally, the Company maintains several contributory and non-contributory defined benefit pension plans, primarily in Canada and the United Kingdom.
The following table sets forth the components of net periodic pension cost for the Companys single-employer defined benefit pension plans for fiscal 2013, fiscal 2012 and fiscal 2011 (in thousands):
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Service cost |
$ | 11,045 | $ | 9,961 | $ | 10,310 | ||||||
Interest cost |
12,693 | 13,001 | 13,086 | |||||||||
Expected return on plan assets |
(14,256 | ) | (12,521 | ) | (12,738 | ) | ||||||
Settlements |
308 | 467 | 704 | |||||||||
Amortization of prior service cost |
119 | 6 | 6 | |||||||||
Recognized net (gain) loss |
3,436 | 2,392 | 1,608 | |||||||||
|
|
|
|
|
|
|||||||
Net periodic pension cost |
$ | 13,345 | $ | 13,306 | $ | 12,976 | ||||||
|
|
|
|
|
|
F-28
The following table sets forth changes in the projected benefit obligation and the fair value of plan assets for these plans (in thousands):
September 27, 2013 | September 28, 2012 | |||||||
Change in benefit obligation: |
||||||||
Benefit obligation, beginning |
$ | 306,810 | $ | 244,754 | ||||
Foreign currency translation |
(7,641 | ) | 14,056 | |||||
Service cost |
11,045 | 9,961 | ||||||
Interest cost |
12,693 | 13,001 | ||||||
Employee contributions |
2,954 | 3,565 | ||||||
Actuarial loss (gain) |
(12,958 | ) | 34,227 | |||||
Benefits paid |
(15,172 | ) | (11,699 | ) | ||||
Settlements and curtailments |
(1,342 | ) | (1,055 | ) | ||||
|
|
|
|
|||||
Benefit obligation, end |
$ | 296,389 | $ | 306,810 | ||||
|
|
|
|
|||||
Change in plan assets: |
||||||||
Fair value of plan assets, beginning |
$ | 222,272 | $ | 178,587 | ||||
Foreign currency translation |
(5,359 | ) | 9,866 | |||||
Employer contributions |
19,731 | 20,558 | ||||||
Employee contributions |
2,954 | 3,565 | ||||||
Actual return on plan assets |
25,890 | 22,601 | ||||||
Benefits paid |
(15,172 | ) | (11,699 | ) | ||||
Settlements |
(1,637 | ) | (1,206 | ) | ||||
|
|
|
|
|||||
Fair value of plan assets, end |
$ | 248,679 | $ | 222,272 | ||||
|
|
|
|
|||||
|
|
|
|
|||||
Funded Status at end of year |
$ | (47,710 | ) | $ | (84,538 | ) | ||
|
|
|
|
Amounts recognized in the Consolidated Balance Sheets consist of the following (in thousands):
September 27, 2013 | September 28, 2012 | |||||||
Current benefit liability (included in Accrued expenses and other current liabilities) |
$ | (924 | ) | $ | (484 | ) | ||
Noncurrent benefit liability (included in Other Noncurrent Liabilities) |
$ | (46,786 | ) | $ | (84,054 | ) | ||
Net actuarial loss (gain) (included in Accumulated other comprehensive (income) loss before taxes) |
$ | 47,456 | $ | 77,391 | ||||
Prior service cost (included in Accumulated other comprehensive (income) loss before taxes) |
$ | 44 | $ | 52 |
The settlements in both fiscal years primarily relate to the lump sum payments made to employees in the Companys Korean pension plan.
The following weighted average assumptions were used to determine pension expense of the respective fiscal years:
September 27, 2013 | September 28, 2012 | |||||||
Discount rate |
4.2 | % | 5.0 | % | ||||
Rate of compensation increase |
3.4 | % | 3.5 | % | ||||
Long-term rate of return on assets |
6.7 | % | 6.6 | % |
F-29
The following weighted average assumptions were used to determine the funded status of the respective fiscal years:
September 27, 2013 | September 28, 2012 | |||||||
Discount rate |
4.6 | % | 4.2 | % | ||||
Rate of compensation increase |
3.3 | % | 3.4 | % |
Assumptions are adjusted annually, as necessary, based on prevailing market conditions and actual experience.
The accumulated benefit obligation as of September 27, 2013 was $273.8 million. During fiscal 2013, actuarial gains of approximately $24.2 million were recognized in other comprehensive income (loss) (before taxes) and $3.4 million of amortization of actuarial losses was recognized as net periodic pension cost during such period. The estimated portion of net actuarial loss included in accumulated other comprehensive loss as of September 27, 2013 expected to be recognized in net periodic pension cost during fiscal 2014 is approximately $1.0 million (before taxes).
The accumulated benefit obligation as of September 28, 2012 was $279.4 million. During fiscal 2012, actuarial losses of approximately $22.8 million and settlement gains of $0.3 million were recognized in other comprehensive income (loss) (before taxes) and $0.6 million of amortization of actuarial losses was recognized as net periodic pension cost during such period. The estimated portion of net actuarial loss included in accumulated other comprehensive loss as of September 28, 2012 expected to be recognized in net periodic pension cost during fiscal 2013 approximately $3.6 million (before taxes).
The following table sets forth information for the Companys single-employer pension plans with an accumulated benefit obligation in excess of plan assets as of September 27, 2013 and September 28, 2012 (in thousands):
September 27, 2013 | September 28, 2012 | |||||||
Projected benefit obligation |
$ | 166,798 | $ | 302,072 | ||||
Accumulated benefit obligation |
160,798 | 274,701 | ||||||
Fair value of plan assets |
131,392 | 217,044 |
Assets of the plans are invested with the goal of principal preservation and enhancement over the long-term. The primary goal is total return, consistent with prudent investment management. The Companys investment policies also require an appropriate level of diversification across the asset categories. The current overall capital structure and targeted ranges for asset classes are 50-70% invested in equity securities and 30-50% invested in debt securities. Performance of the plans is monitored on a regular basis and adjustments of the asset allocations are made when deemed necessary.
The weighted-average long-term rate of return on assets has been determined based on an estimated weighted-average of long-term returns of major asset classes, taking into account historical performance of plan assets, the current interest rate environment, plan demographics, acceptable risk levels and the estimated value of active asset management.
F-30
The fair value of plan assets for the Companys defined benefit pension plans as of September 27, 2013 and September 28, 2012 is as follows (see Note 15 for a description of the fair value levels) (in thousands):
September 27, 2013 | Quoted prices in active markets Level 1 |
Significant other observable inputs Level 2 |
Significant unobservable inputs Level 3 |
|||||||||||||
Cash and cash equivalents and other |
$ | 2,394 | $ | 2,394 | $ | | $ | | ||||||||
Investment funds: |
||||||||||||||||
Pooled fundsequity |
157,372 | | 157,372 | | ||||||||||||
Pooled fundsfixed income |
88,913 | | 88,913 | | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 248,679 | $ | 2,394 | $ | 246,285 | $ | | ||||||||
|
|
|
|
|
|
|
|
|||||||||
September 28, 2012 | Quoted prices in active markets Level 1 |
Significant
other observable inputs Level 2 |
Significant unobservable inputs Level 3 |
|||||||||||||
Cash and cash equivalents and other |
$ | 2,042 | $ | 2,042 | $ | | $ | | ||||||||
Investment funds: |
||||||||||||||||
Pooled fundsequity |
141,784 | | 141,784 | | ||||||||||||
Pooled fundsfixed income |
78,446 | | 78,446 | | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 222,272 | $ | 2,042 | $ | 220,230 | $ | | ||||||||
|
|
|
|
|
|
|
|
The fair value of the pooled separate accounts is based on the value of the underlying assets, as reported to the Plan by the trustees. The pooled separate account is comprised of a portfolio of underlying securities that can be valued on active markets. Fair value is calculated by applying the Plans percentage ownership in the pooled separate account to the total market value of the accounts underlying securities, and is therefore categorized as Level 2 as the Plan does not directly own shares in these underlying investments. Investments in equity securities include publicly-traded domestic (approximately 33%) and international (approximately 67%) companies that are diversified across industry, country and stock market capitalization. Investments in fixed income securities include domestic (approximately 10%) and international (approximately 90%) corporate bonds and government securities. Cash and cash equivalents include direct cash holdings, which are valued based on cost, and short-term deposits and investments in money market funds for which fair value measurements are all based on quoted prices for similar assets or liabilities in markets that are not active.
It is the Companys policy to fund at least the minimum required contributions as outlined in the required statutory actuarial valuation for each plan. The following table sets forth the benefits expected to be paid in the next five fiscal years and in aggregate for the five fiscal years thereafter by the Companys defined benefit pension plans (in thousands):
Fiscal 2014 |
$ | 12,218 | ||
Fiscal 2015 |
$ | 11,423 | ||
Fiscal 2016 |
$ | 11,899 | ||
Fiscal 2017 |
$ | 12,488 | ||
Fiscal 2018 |
$ | 13,010 | ||
Fiscal 2019 2023 |
$ | 69,358 |
The estimated benefit payments above are based on assumptions about future events. Actual benefit payments may vary significantly from these estimates.
The expected contributions to be paid to the Companys defined benefit pension plans during fiscal 2014 are approximately $25.8 million.
F-31
Multiemployer Defined Benefit Pension Plans
The Company contributes to a number of multiemployer defined benefit pension plans under the terms of collective-bargaining agreements (CBA) that cover its union-represented employees. The risks of participating in these multiemployer plans are different from single-employer plans in the following respects:
a. Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers.
b. If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers.
c. If the Company chooses to stop participating in some of its multiemployer plans, the Company may be required to pay those plans an amount based on the underfunded status of the plan, referred to as a withdrawal liability.
The Companys participation in these plans for fiscal 2013 is outlined in the table below. The EIN/Pension Plan Number column provides the Employee Identification Number (EIN) and the three-digit plan number, if applicable. Unless otherwise noted, the most recent Pension Protection Act (PPA) zone status available in 2013 and 2012 is for the plans two most recent fiscal year-ends. The zone status is based on information that the Company received from the plan and is certified by the plans actuary. Among other factors, plans in the red zone are generally less than 65 percent funded, plans in the yellow zone are less than 80 percent funded, and plans in the green zone are at least 80 percent funded. The FIP/RP Status Pending/Implemented column indicates plans for which a financial improvement plan (FIP) or a rehabilitation plan (RP) is either pending or has been implemented. The last column lists the expiration date(s) of the CBA(s) to which the plans are subject. There have been no significant changes that affect the comparability of fiscal 2013, fiscal 2012 and fiscal 2011 contributions.
Pension Fund |
EIN/Pension Plan Number |
Pension Protection Act Zone Status |
FIP/RP Status Pending/ Implemented |
Contributions by the Company (in thousands) |
Surcharge Imposed |
Range of Expiration Dates of CBAs | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2011 | ||||||||||||||||||||||
National Retirement Fund |
13-6130178/ 001 | Red | Red | Implemented | $ | 6,011 | $ | 4,868 | $ | 5,367 | No | 1/15/2012- 9/30/2016 | ||||||||||||||
Service Employees Pension Fund of Upstate New York(1) |
16-0908576/ 001 | Red | Red | Implemented | 360 | 247 | 385 | No | 9/30/2014- 6/30/2015 | |||||||||||||||||
Local 1102 Retirement Trust(2) |
13-1847329/ 001 | Red | Red | Implemented | 275 | 201 | 232 | No | 6/30/2013- 6/30/2015 | |||||||||||||||||
Central States SE and SW Areas Pension Plan |
36-6044243/ 001 | Red | Red | Implemented | 3,415 | 3,164 | 2,869 | No | 1/31/2007- 11/26/2015 | |||||||||||||||||
Pension Plan for Hospital & Health Care Employees Philadelphia & Vicinity |
23-2627428/ 001 | Red | Red | Implemented | 161 | 154 | 122 | No | 1/31/2018 | |||||||||||||||||
Richmond Teamsters and Industry Pension Fund(3) |
54-6056180/ 001 | N/A | Green | N/A | 154 | 121 | 109 | No | N/A | |||||||||||||||||
Retail, Wholesale and Department Store International Union and Industry Pension Fund |
63-0708442/001 | Green | Green | N/A | 306 | 292 | 292 | No | 1/31/2011- 1/29/2018 | |||||||||||||||||
Local 731 IBT Textile Maintenance and Laundry Craft Pension Fund |
51-6051697/001 | Red | Red | Implemented | 453 | 384 | 350 | No | 5/1/2012 | |||||||||||||||||
SEIU National Industry Pension Fund |
52-6148540/001 | Red | Red | Implemented | 173 | 280 | 229 | No | 4/14/2016 | |||||||||||||||||
Automotive Industries Pension Plan |
94-1133245/001 | Red | Red | Implemented | 28 | 27 | 27 | No | 5/31/2014 | |||||||||||||||||
Laundry Dry Cleaning Workers & Allied Industries Retirement Fund Workers United (4) |
13-5521921/001 | Green | Green | N/A | 221 | 169 | 116 | No | 10/10/2011- 2/26/2016 | |||||||||||||||||
Other funds |
12,706 | 12,394 | 11,771 | |||||||||||||||||||||||
|
|
|
|
|
|
|||||||||||||||||||||
Total contributions |
$ | 24,263 | $ | 22,301 | $ | 21,869 | ||||||||||||||||||||
|
|
|
|
|
|
(1) | Over 60% of the Companys participants in this fund are covered by a single CBA that expires on 6/30/2015. |
(2) | Over 90% of the Companys participants in this fund are covered by a single CBA that expires on 6/30/2015. |
(3) | During fiscal 2013, the Company negotiated with a union to discontinue its participation in this fund. |
(4) | Over 75% of the Companys participants in this fund are covered by a single CBA that expires on 1/26/2016. |
F-32
The Company provided more than 5 percent of the total contributions for the following plans and plan years:
Pension |
Contributions to the plan exceeded more than 5% of total contributions (as of the plans year-end) | |
Local 1102 Retirement Trust |
December 31, 2012, 2011 and 2010 | |
Service Employees Pension Fund of Upstate New York |
December 31, 2012, 2011 and 2010 | |
Local 731 IBT Textile Maintenance and Laundry Craft Pension Fund |
March 31, 2013, 2012 and 2011 | |
Laundry Dry Cleaning Workers & Allied Industries Retirement Fund Workers United |
December 31, 2012, 2011 and 2010 |
During fiscal 2013, the Company reached an agreement with the New England Teamsters and Trucking Industry Pension Fund (New England Pension Fund), a multiemployer pension plan in which the Company is a participant, to restructure the pension liabilities. As part of this agreement, the Company agreed to withdraw from the original pool of the New England Pension Fund of which it had historically been a participant, and reenter the New England Pension Funds newly-established pool as a new employer. As a result of withdrawing from the original pool, the Company recorded a charge of approximately $2.4 million, which represents the present value of the future payment obligations.
At the date the Companys financial statements were issued, Forms 5500 were not available for the plan years ending in 2013.
NOTE 9. INCOME TAXES:
The Company accounts for income taxes using the asset and liability method. Under this method, the provision for income taxes represents income taxes payable or refundable for the current year plus the change in deferred taxes during the year. Deferred taxes result from differences between the financial and tax bases of the Companys assets and liabilities and are adjusted for changes in tax rates and tax laws when changes are enacted. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. Interest and penalties related to income tax matters are included in the provision for income taxes.
The components of income from continuing operations before income taxes by source of income are as follows (in thousands):
Fiscal
Year Ended September 27, 2013 |
Fiscal
Year Ended September 28, 2012 |
Fiscal
Year Ended September 30, 2011 |
||||||||||
United States |
$ | 18,557 | $ | 34,498 | $ | (16,162 | ) | |||||
Non-U.S. |
72,072 | 90,470 | 112,131 | |||||||||
|
|
|
|
|
|
|||||||
$ | 90,629 | $ | 124,968 | $ | 95,969 | |||||||
|
|
|
|
|
|
F-33
The provision (benefit) for income taxes consists of (in thousands):
Fiscal
Year Ended September 27, 2013 |
Fiscal
Year Ended September 28, 2012 |
Fiscal
Year Ended September 30, 2011 |
||||||||||
Current: |
||||||||||||
Federal |
$ | 2,740 | $ | 45,173 | $ | (1,493 | ) | |||||
State and local |
126 | 7,205 | 8,494 | |||||||||
Non-U.S. |
34,158 | 32,301 | 34,356 | |||||||||
|
|
|
|
|
|
|||||||
$ | 37,024 | $ | 84,679 | $ | 41,357 | |||||||
|
|
|
|
|
|
|||||||
Deferred: |
||||||||||||
Federal |
$ | (1,007 | ) | $ | (42,515 | ) | $ | (22,885 | ) | |||
State and local |
(656 | ) | (11,189 | ) | (8,946 | ) | ||||||
Non-U.S. |
(16,128 | ) | (12,909 | ) | (10,260 | ) | ||||||
|
|
|
|
|
|
|||||||
(17,791 | ) | (66,613 | ) | (42,091 | ) | |||||||
|
|
|
|
|
|
|||||||
$ | 19,233 | $ | 18,066 | $ | (734 | ) | ||||||
|
|
|
|
|
|
Current taxes receivable of $44.6 million and $3.1 million at September 27, 2013 and September 28, 2012, respectively, are included in Prepayments and other current assets.
The provision for income taxes varies from the amount determined by applying the United States Federal statutory rate to pretax income as a result of the following (all percentages are as a percentage of pretax income):
Fiscal
Year Ended September 27, 2013 |
Fiscal
Year Ended September 28, 2012 |
Fiscal
Year Ended September 30, 2011 |
||||||||||
United States statutory income tax rate |
35.0 | % | 35.0 | % | 35.0 | % | ||||||
Increase (decrease) resulting from: |
||||||||||||
State income taxes, net of Federal tax benefit |
1.0 | 0.5 | 2.1 | |||||||||
Foreign taxes |
(2.2 | ) | (9.8 | ) | (10.7 | ) | ||||||
Permanent book/tax differences |
1.8 | (0.6 | ) | 1.2 | ||||||||
Uncertain tax positions |
(1.6 | ) | (1.8 | ) | (17.7 | ) | ||||||
Tax credits & other |
(12.8 | ) | (8.8 | ) | (10.7 | ) | ||||||
|
|
|
|
|
|
|||||||
Effective income tax rate |
21.2 | % | 14.5 | % | (0.8 | )% | ||||||
|
|
|
|
|
|
The effective tax rate is based on expected income, statutory tax rates and tax planning opportunities available to the Company in the various jurisdictions in which it operates. Judgment is required in determining the effective tax rate and in evaluating the Companys tax positions. The Company establishes reserves when, despite the belief that the Companys tax return positions are supportable, the Company believes that certain positions are likely to be challenged and that the Company may not succeed. The Company adjusts these reserves in light of changing facts and circumstances, such as the progress of a tax audit. The effective tax rate includes the impact of reserve provisions and changes to the reserve that the Company considers appropriate, as well as related interest and penalties. During fiscal 2011, the Company recorded a reduction of approximately $17.0 million related to the remeasurement of an uncertain tax position. The American Taxpayer Relief Act (the Act) was enacted on January 3, 2013. Under the Act, the Work Opportunity Tax Credit was extended until December 31, 2013.
A number of years may elapse before a particular tax reporting year is audited and finally resolved. The number of years with open tax audits varies depending on the tax jurisdiction. In the United States, the statutes for state income taxes for 2002 and forward remain open. The Company received final notification in November
F-34
2012 that the Internal Revenue Service has settled the 2007 and 2008 examinations of the Companys tax returns. While it is often difficult to predict the final outcome or the timing of resolution of any particular tax matter, the Company believes that its income tax accruals reflect the probable outcome of known tax contingencies. Unfavorable settlement of any particular issue would require use of the Companys cash.
As of September 27, 2013, certain subsidiaries have recorded deferred tax assets of $21.0 million associated with accumulated federal, state and foreign net operating loss carryforwards. The Company has approximately a $10.3 million valuation allowance as of September 27, 2013 against these deferred tax assets due to the uncertainty of its realization. In addition, certain subsidiaries have accumulated state net operating loss carryforwards for which no benefit has been recorded as they are attributable to uncertain tax positions. The unrecognized tax benefits, as of September 27, 2013, attributable to these net operating losses was approximately $5.7 million. Due to the uncertain tax position, these net operating losses are not included as components of deferred tax assets as of September 27, 2013. The federal, state and foreign net operating loss carryforwards will expire from 2014 through 2033.
As of September 27, 2013, the Company has approximately $16.2 million of general business and foreign tax credit carryforwards, which expire in 2033 and 2023, respectively. The Company believes it is more likely than not that it will be able to generate taxable income in the future sufficient to utilize these carryforwards, and no valuation allowance is necessary. The Company does not currently hold significant or excessive cash balances at any of its foreign operations and does not consider any of its unremitted earnings to be permanently reinvested. Therefore, the Company has provided a deferred tax liability for incremental U.S. taxes on all unremitted earnings.
As of September 27, 2013 and September 28, 2012, the components of deferred taxes are as follows (in thousands):
September 27, 2013 | September 28, 2012 | |||||||
Deferred tax liabilities: |
||||||||
Property and equipment |
$ | 71,425 | $ | 82,627 | ||||
Investments |
43,527 | 95,445 | ||||||
Other intangible assets, including goodwill |
700,526 | 717,583 | ||||||
Inventory and other |
70,037 | 13,095 | ||||||
|
|
|
|
|||||
Gross deferred tax liability |
885,515 | 908,750 | ||||||
|
|
|
|
|||||
Deferred tax assets: |
||||||||
Insurance |
36,458 | 41,443 | ||||||
Employee compensation and benefits |
218,491 | 214,847 | ||||||
Accruals and allowances |
37,876 | 43,781 | ||||||
Derivatives |
18,449 | 31,879 | ||||||
Net operating loss/credit carryforwards and other |
37,264 | 37,509 | ||||||
|
|
|
|
|||||
Gross deferred tax asset, before valuation allowances |
348,538 | 369,459 | ||||||
|
|
|
|
|||||
Valuation allowances |
(10,263 | ) | (15,187 | ) | ||||
|
|
|
|
|||||
Net deferred tax liability |
$ | 547,240 | $ | 554,478 | ||||
|
|
|
|
Current deferred tax assets of $42.7 million and $77.9 million at September 27, 2013 and September 28, 2012 are included in Prepayments and other current assets, respectively. Deferred tax liabilities of $589.9 million and $632.3 million at September 27, 2013 and September 28, 2012 are included in Deferred Income Taxes and Other Noncurrent Liabilities, respectively. The increase in the Companys inventory and other deferred tax liabilities relates to the change in tax regulations impacting the timing of allowable deductions for certain in service inventory.
F-35
The Company had approximately $27.3 million of total gross unrecognized tax benefits as of September 27, 2013, all of which, if recognized, would impact the effective tax rate. A reconciliation of the beginning and ending amount of gross unrecognized tax benefits follows (in thousands):
September 27, 2013 | ||||
Gross unrecognized tax benefits at September 28, 2012 |
$ | 31,977 | ||
Additions based on tax positions taken in the current year |
2,342 | |||
Reductions for tax positions taken in prior years |
(1,123 | ) | ||
Reductions for remeasurements, settlements and payments |
(3,919 | ) | ||
Reductions due to statute expiration |
(1,940 | ) | ||
|
|
|||
Gross unrecognized tax benefits at September 27, 2013 |
$ | 27,337 | ||
|
|
|||
September 28, 2012 | ||||
Gross unrecognized tax benefits at September 30, 2011 |
$ | 34,040 | ||
Additions based on tax positions taken in the current year |
2,304 | |||
Additions for tax positions taken in prior years |
(254 | ) | ||
Reductions for remeasurements, settlements and payments |
(3,306 | ) | ||
Reductions due to statute expiration |
(807 | ) | ||
|
|
|||
Gross unrecognized tax benefits at September 28, 2012 |
$ | 31,977 | ||
|
|
The Company had approximately $7.0 million and $8.4 million accrued for interest and penalties as of September 27, 2013 and September 28, 2012, respectively, and recorded approximately ($0.3) million and ($1.0) million in interest and penalties during fiscal 2013 and fiscal 2012, respectively.
The Company is subject to U.S. federal income tax as well as income tax of multiple state and foreign jurisdictions. The Company has substantially concluded all U.S. federal income tax matters for years through 2009, with the exception of certain Work Opportunity Tax Credits and Welfare to Work Tax Credits which are pending the outcome of Protective Refund Claims filed for 1998 through 2006.
The Company has significant operations in approximately 20 states and foreign taxing jurisdictions. The Company has open tax years in these jurisdictions ranging from 1 to 10 years. The Company does not anticipate that any adjustments resulting from tax audits would result in a material change to the results of operations or financial condition.
The Company does not expect the amount of unrecognized tax benefits to significantly change within the next 12 months.
NOTE 10. CAPITAL STOCK:
Pursuant to the Stockholders Agreement of the Company, upon termination of employment from the Company or one of its subsidiaries, members of the Companys management (other than Mr. Neubauer) who hold shares of common stock of the Company can cause the Company to repurchase all of their initial investment shares (as defined) or shares acquired as a result of the exercise of Installment Stock Purchase Opportunities at appraised fair market value. Generally, payment for shares repurchased could be, at the Companys option, in cash or installment notes, which would be effectively subordinated to all indebtedness of ARAMARK Corporation. The amount of this potential repurchase obligation has been classified outside of stockholders equity. The amount of common stock subject to repurchase as of September 27, 2013 and September 28, 2012 was $158.7 million and $167.5 million, which is based on approximately 9.4 million and 11.0 million shares of common stock of the Company valued at $16.88 and $15.17 per share, respectively. The fair value of the common stock subject to repurchase is calculated using discounted cash flow techniques and comparable public
F-36
company trading multiples. Inputs used in the discounted cash flow analysis include the weighted average cost of capital, long-term revenue growth rates, long-term EBIT margins and residual growth rates. Inputs used in the comparable public company trading multiples include the last-twelve-months EBITDA multiple, forward EBITDA multiples and control premium. During fiscal 2013 and fiscal 2012, approximately $66.6 million and $67.3 million of common stock of the Company was repurchased, respectively, and has been reflected in the Companys consolidated financial statements. The Stockholders Agreement, the senior secured credit agreement and the indenture governing the Senior Notes contain limitations on the amount the Company can expend for such share repurchases.
NOTE 11. SHARE-BASED COMPENSATION:
In connection with the 2007 Transaction, the Company established the ARAMARK Holdings Corporation 2007 Management Stock Incentive Plan (the 2007 MSIP). Incentive awards under the 2007 MSIP may be granted to employees or directors of, or consultants to, the Company or one of its affiliates in the form of non-qualified stock options, unvested shares of common stock, the opportunity to purchase shares of common stock and other awards that are valued in whole or in part by reference to, or are otherwise based on, the fair market value of the Companys shares. The 2007 MSIP permits the granting of awards of up to 42.0 million shares of common stock of the Company. As of September 27, 2013, there were 11.7 million shares available for grant.
On June 20, 2013, the Company adopted the Fourth Amended and Restated ARAMARK Holdings Corporation 2007 Management Stock Incentive Plan (the Fourth Amended Stock Incentive Plan). The Fourth Amended Stock Incentive Plan provides for the grant of restricted stock units and restricted stock in addition to stock options. The Company also approved a new form of non-qualified stock option award agreement which provides for 100% time-based vesting. Options granted under earlier forms of non-qualified discretionary stock option agreements provided for 50% time-based vesting and 50% performance-based vesting. Finally, the Company offered to holders of outstanding Installment Stock Purchase Opportunities (ISPOs) the ability to exchange such awards for restricted stock and non-qualified stock options, which were granted pursuant to a restricted stock award agreement and a replacement stock option award agreement, respectively, with the Company. On June 20, 2013, the Compensation and Human Resources Committee (the Compensation Committee) approved a new restricted stock award agreement and non-qualified replacement stock option award agreement to be used in connection with the exchange. The restricted stock award agreement provides for a grant of restricted stock under the Fourth Amended Stock Incentive Plan with a vesting schedule based upon the vesting schedule of the ISPO that is exchanged. The non-qualified replacement stock option award agreement is similar to the Time-Based Options discussed below, but the vesting schedule of the replacement stock option is based upon the vesting schedule of the ISPO that is exchanged.
Share-based compensation expense charged to expense for fiscal 2013, fiscal 2012 and fiscal 2011 was approximately $19.4 million, before taxes of approximately $7.6 million, approximately $15.7 million, before taxes of approximately $6.1 million, and approximately $17.3 million, before taxes of approximately $6.8 million, respectively. The compensation expense recognized is classified as Selling and general corporate expenses in the Consolidated Statements of Income. No compensation expense was capitalized.
Cash received from option exercises during fiscal 2013, fiscal 2012 and fiscal 2011 was $5.6 million, $6.7 million and $1.0 million, respectively. For fiscal 2013, fiscal 2012 and fiscal 2011, the amount of tax benefits included in Other financing activities in the Consolidated Statements of Cash Flows was $4.8 million, $4.5 million and $0.7 million, respectively.
Stock Options
Each award of stock options under the 2007 MSIP is comprised of two types of stock options. One-half of the options awarded vest solely based upon continued employment over a specific period of time, generally four years (Time-Based Options). One-half of the options awarded vest based both upon continued employment and
F-37
upon the achievement of a level of earnings before interest and taxes (EBIT), as defined in the 2007 MSIP, over time, generally four years (Performance-Based Options). The Performance-Based Options may also vest in part or in full upon the occurrence of specific return-based events. The exercise price for Time-Based Options and Performance-Based Options equals the fair value of the Companys stock on the date of the grant. All options remain exercisable for ten years from the date of grant. Due to the Fourth Amended Stock Incentive Plan, all option awards granted subsequent to June 20, 2013 will only be comprised of Time-Based Options.
Time-Based Options
The fair value of the Time-Based Options granted was estimated using the Black-Scholes option pricing model and the weighted-average assumptions noted in the table below. Since the Companys stock is not publicly traded, the expected volatility is based on an average of the historical volatility of the Companys competitors stocks over the expected term of the stock options. The expected life represents the period of time that options granted are expected to be outstanding and is calculated using the simplified method as permitted under Securities and Exchange Commission (SEC) rules and regulations due to the lack of history of our equity incentive plan and the lack of a public market for our common stock. The simplified method uses the midpoint between an options vesting date and contractual term. The risk-free rate is based on the U.S. Treasury security with terms equal to the expected life of the option as of the grant date.
Fiscal
Year Ended September 27, 2013 |
Fiscal
Year Ended September 28, 2012 |
Fiscal
Year Ended September 30, 2011 | ||||
Expected volatility |
30% | 30% | 30% | |||
Expected dividend yield |
0% | 0% | 0% | |||
Expected life (in years) |
6.25 | 6.25 | 6.25 | |||
Risk-free interest rate |
1.02% - 2.36% | 1.04% - 1.61% | 1.41% - 2.86% |
The weighted-average grant-date fair value of Time-Based Options granted during fiscal 2013, fiscal 2012 and fiscal 2011 was $5.41, $4.57 and $4.42 per option, respectively.
Compensation expense for Time-Based Options is recognized on a straight-line basis over the vesting period during which employees perform related services. Approximately $9.3 million, $8.5 million and $10.3 million was charged to expense during fiscal 2013, fiscal 2012 and fiscal 2011 for Time-Based Options, respectively. The Company has applied a forfeiture assumption of 8.7% per annum in the calculation of such expense.
As of September 27, 2013, there was approximately $29.0 million of unrecognized compensation expense related to nonvested Time-Based Options, which is expected to be recognized over a weighted-average period of approximately 3.16 years.
A summary of Time-Based Options activity is presented below:
Options |
Shares (000s) |
Weighted- Average Exercise Price |
Aggregate Intrinsic Value ($000s) |
Weighted- Average Remaining Term (Years) |
||||||||||||
Outstanding at September 28, 2012 |
15,711 | $ | 9.70 | |||||||||||||
Granted |
4,850 | $ | 16.11 | |||||||||||||
Exercised |
(2,070 | ) | $ | 7.34 | ||||||||||||
Forfeited and expired |
(693 | ) | $ | 11.57 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Outstanding at September 27, 2013 |
17,798 | $ | 12.08 | $ | 109,623 | 6.7 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Exercisable at September 27, 2013 |
9,802 | $ | 7.65 | $ | 90,471 | 4.7 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Expected to vest at September 27, 2013 |
6,908 | $ | 14.36 | $ | 17,420 | 8.9 | ||||||||||
|
|
|
|
|
|
|
|
F-38
The total intrinsic value of Time-Based Options exercised during fiscal 2013, fiscal 2012 and fiscal 2011 was $17.2 million, $15.0 million and $8.9 million, respectively. The total fair value of Time-Based Options that vested during fiscal 2013, fiscal 2012 and fiscal 2011 was $3.9 million, $7.9 million and $15.8 million, respectively.
Performance-Based Options
The fair value of the Performance-Based Options was estimated using the Black-Scholes option pricing model and the weighted-average assumptions noted in the table below. Since the Companys stock is not publicly traded, the expected volatility is based on an average of the historical volatility of the Companys competitors stocks over the expected term of the stock options. The expected life represents the period of time that options granted are expected to be outstanding and is calculated using the simplified method as permitted under SEC rules and regulations due to the lack of history of our equity incentive plan and the lack of a public market for our common stock. The simplified method uses the midpoint between an options vesting date and contractual term. The risk-free rate is based on the U.S. Treasury security with terms equal to the expected life of the option as of the grant date.
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 | ||||
Expected volatility |
30% | 30% | 30% | |||
Expected dividend yield |
0% | 0% | 0% | |||
Expected life (in years) |
4.5 - 5.5 | 5.0 - 6.0 | 5.5 - 7.0 | |||
Risk-free interest rate |
0.61% - 0.85% | 0.73% - 1.04% | 1.43% - 2.86% |
The weighted-average grant-date fair value of the Performance-Based Options granted during fiscal 2013, fiscal 2012 and fiscal 2011 was $4.54, $3.91 and $4.21 per option, respectively.
Compensation expense for Performance-Based Options is recognized on a principally straight-line basis over the requisite performance and service periods. The Company recognized compensation expense of approximately $6.4 million, $3.6 million and $5.1 million during fiscal 2013, fiscal 2012 and fiscal 2011 for Performance-Based Options, respectively. The Company has applied a forfeiture assumption of 8.7% per annum in the calculation of such expense.
As of September 27, 2013, there was approximately $2.4 million of unrecognized compensation expense related to nonvested Performance-Based Options, which is expected to be recognized over a weighted-average period of approximately 0.54 years.
On June 21, 2011, the Companys board of directors (the Board) approved new annual and cumulative EBIT targets for fiscal 2011 and beyond. Approximately 3.7 million options were affected by these modifications. The fair values of these Performance-Based Options were revalued at the award modification date. The fair value of the Performance-Based Options modified during fiscal 2011 was estimated using the Black-Scholes option pricing model and the following weighted-average assumptions: estimated volatility (30%), expected dividend yield (0%), expected life (3.5-6.8 years) and risk-free interest rate (0.69%-2.27%). The weighted-average fair value of the Performance-Based Options modified during fiscal 2011 was $4.66 per option.
On June 21, 2011, the Companys Board also agreed that for awards granted on or after June 21, 2011, annual and cumulative EBIT targets for future fiscal years beginning after fiscal 2011 will be set within 90 days of the beginning of each fiscal year. The Third Amended Stock Incentive Plan also provides that if an annual EBIT target is established for fiscal 2012 or later years for options granted after June 21, 2011 that is less than the annual EBIT target for such fiscal year for outstanding stock options, the EBIT target for such outstanding options will be reduced to the lower EBIT target.
F-39
A summary of Performance-Based Options activity is presented below:
Options |
Shares (000s) |
Weighted- Average Exercise Price |
Aggregate Intrinsic Value ($000s) |
Weighted- Average Remaining Term (Years) |
||||||||||||
Outstanding at September 28, 2012 |
15,929 | $ | 9.68 | |||||||||||||
Granted |
463 | $ | 15.06 | |||||||||||||
Exercised |
(1,032 | ) | $ | 7.27 | ||||||||||||
Forfeited and expired |
(1,422 | ) | $ | 9.41 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Outstanding at September 27, 2013 |
13,938 | $ | 8.86 | $ | 111,759 | 5.6 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Exercisable at September 27, 2013 |
4,548 | $ | 7.29 | $ | 43,596 | 4.4 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Expected to vest at September 27, 2013 |
1,669 | $ | 11.82 | $ | 8,444 | 7.6 | ||||||||||
|
|
|
|
|
|
|
|
The total intrinsic value of Performance-Based Options exercised during fiscal 2013, fiscal 2012 and fiscal 2011 was $8.5 million, $7.5 million and $5.0 million, respectively. The total fair value of Performance-Based Options that vested during fiscal 2013, fiscal 2012 and fiscal 2011 was $0.2 million, $6.7 million and $0 million, respectively.
Installment Stock Purchase Opportunities
Installment Stock Purchase Opportunities provide the grantee the option to purchase shares of the Companys common stock. ISPO awards are divided into five equal installments. The first installment, which represents 20% of the total award, vests immediately upon grant and will be exercisable until the first anniversary of the grant date. At least 25% of the first installment must be exercised or the entire grant (including the remaining four installments) will expire and any part of the first installment that is not exercised during the exercise period will also expire, in each case on the first anniversary of the grant date. If the exercise conditions of the first installment are met, the remaining four installments will vest on December 15th of the first calendar year following the year in which the ISPO is granted, and on each of the three anniversaries of such date, respectively, and will be exercisable for 31 days thereafter. Any of these remaining four installments that becomes vested but is not exercised during its respective exercise period will expire at the end of its exercise period, but the holder may still exercise any subsequent installments when they vest in future years.
The fair value of the ISPOs was estimated using the Black-Scholes option pricing model and the following weighted-average assumptions noted in the table below. Since the Companys stock is not publicly traded, the expected volatility is based on an average of the historical volatility of the Companys competitors stocks over the expected term of the stock options. The expected life represents the period of time that options granted are expected to be outstanding and is calculated using the simplified methodas permitted under SEC rules and regulations due to the lack of history of our equity incentive plan and the lack of a public market for our common stock. The simplified method uses the midpoint between an options vesting date and contractual term. The risk-free rate is based on the U.S. Treasury security with terms equal to the expected life of the option as of the grant date.
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 | ||||
Expected volatility |
30% | 30% | 30% | |||
Expected dividend yield |
0% | 0% | 0% | |||
Expected life (in years) |
2.5 | 2.5 | 2.5 | |||
Risk-free interest rate |
0.25% | 0.24% - 0.31% | 0.33% - 0.68% |
The weighted-average grant-date fair value of ISPOs granted during fiscal 2013, fiscal 2012 and fiscal 2011 was $2.88, $2.80 and $2.47 per option, respectively.
F-40
Compensation expense for ISPOs is recognized on a straight-line basis over the vesting period during which employees perform related services. The Company recorded approximately $1.6 million, $1.0 million and $0.8 million of compensation expense related to these awards, including the exchanged awards discussed below, during fiscal 2013, fiscal 2012 and fiscal 2011, respectively. The Company has applied a forfeiture assumption of 8.7% per annum in the calculation of such expense.
As discussed above, the Company offered to holders of outstanding ISPOs the ability to exchange such awards for restricted stock and non-qualified stock options. On July 31, 2013, as a result of the exchange, outstanding ISPOs were converted into approximately 0.2 million of restricted stock awards at a grant-date fair value of $16.21 and approximately 1.1 million of non-qualified replacement stock option awards at a weighted-average exercise price of $16.21. The fair value of the non-qualified replacement stock option awards was estimated using the Black-Scholes option pricing model and the following weighted-average assumptions: estimated volatility (30%), expected dividend yield (0%), expected life (4.6-6.2 years) and risk-free interest rate (1.38%). The weighted-average fair value of the replacement stock option awards was $4.79 per option.
As of September 27, 2013, there was approximately $5.0 million of unrecognized compensation expense related to nonvested ISPOs and exchanged awards, which is expected to be recognized over a weighted-average period of approximately 2.86 years.
A summary of ISPOs activity is presented below:
Options |
Shares (000s) |
Weighted- Average Exercise Price |
Aggregate Intrinsic Value ($000s) |
Weighted- Average Remaining Term (Years) |
||||||||||||
Outstanding at September 28, 2012 |
1,403 | $ | 13.81 | |||||||||||||
Granted |
350 | $ | 15.08 | |||||||||||||
Exercised |
(158 | ) | $ | 11.83 | ||||||||||||
Exchanged, forfeited and expired |
(1,508 | ) | $ | 13.41 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Outstanding at September 27, 2013 |
87 | $ | 12.21 | $ | 406 | 2.5 | ||||||||||
|
|
|
|
|
|
|
|
The total intrinsic value of ISPOs exercised during fiscal 2013 and fiscal 2012 was $0.5 million and $0.2 million, respectively. The total fair value of ISPOs that vested during fiscal 2013 and fiscal 2012 was $0.4 million and $0.9 million, respectively.
Seamless Unit Options
During fiscal 2011, Seamless established the Seamless North America 2011 Equity Incentive Plan (the Plan). The Plan allows for the issuance of unit options and other equity-based awards in Seamless. The unit options awarded vest solely based on continued employment over a specific period of time, generally four years. The Company recognized compensation expense of approximately $0.2 million, $2.1 million and $0.1 million for Seamless unit options during fiscal 2013, fiscal 2012 and fiscal 2011, respectively. During fiscal 2012, Seamless granted approximately 3.5 million unit options. The Company did not record any additional expense for these awards upon the completion of the spin-off of Seamless Holdings (see Note 3).
Deferred Stock Units
Deferred stock units are issued only to non-employee members of the Board of Directors of the Company who are not representatives of one of the Sponsors and represent the right to receive shares of the Companys common stock in the future. Each deferred stock unit will be converted to one share of the Companys common stock six months and one day after the date on which such director ceases to serve as a member of the Board of Directors. The grant-date fair value of deferred stock units is based on the fair value of the Companys common
F-41
stock. Since the deferred stock units are fully vested upon grant, compensation expense for the entire award is recognized immediately upon grant. The Company granted 42,462 deferred stock units during fiscal 2013. The compensation cost charged to expense during fiscal 2013, fiscal 2012 and fiscal 2011 for deferred stock units was approximately $0.6 million, $0.5 million and $1.0 million, respectively.
Time-Based Restricted Stock Units
The Restricted Stock Unit Agreement provides for grants of restricted stock units (RSUs), 25% of which will vest and be settled in shares on each of the first four anniversaries of the date of grant, subject to the participants continued employment with the Company through each such anniversary. The grant-date fair value of RSUs is based on the fair value of the Companys common stock. Participants holding RSUs will receive the benefit of any dividends paid on shares in the form of additional restricted stock units. The unvested units are subject to forfeiture if employment is terminated other than due to death, disability or retirement, and the units are nontransferable while subject to forfeiture.
The Company granted 1,273,275 RSUs during fiscal 2013 at a weighted-average grant-date fair value of $16.22. Compensation expense for RSUs is recognized on a straight-line basis over the vesting period during which employees perform related services. The compensation cost charged to expense during fiscal 2013 for restricted stock units was approximately $1.3 million.
As of September 27, 2013, there was approximately $15.6 million of unrecognized compensation expense related to nonvested RSUs, which is expected to be recognized over a weighted-average period of approximately 3.78 years.
NOTE 12. ACCOUNTS RECEIVABLE SECURITIZATION:
ARAMARK Corporation has an agreement (the Receivables Facility) with several financial institutions whereby it sells on a continuous basis an undivided interest in all eligible trade accounts receivable, as defined in the Receivables Facility. The maximum amount available under the Receivables Facility is $300 million, which expires in January 2015. Pursuant to the Receivables Facility, ARAMARK Corporation formed ARAMARK Receivables, LLC, a wholly-owned, consolidated, bankruptcy-remote subsidiary. ARAMARK Receivables, LLC was formed for the sole purpose of buying and selling receivables generated by certain subsidiaries of the Company. Under the Receivables Facility, ARAMARK Corporation and certain of its subsidiaries transfer without recourse all of their accounts receivable to ARAMARK Receivables, LLC. As collections reduce previously transferred interests, interests in new, eligible receivables are transferred to ARAMARK Receivables, LLC, subject to meeting certain conditions. At September 27, 2013 and September 28, 2012, the amount of outstanding borrowings under the Receivables Facility was $300.0 million and $263.8 million, respectively, and is included in Long-Term Borrowings.
NOTE 13. COMMITMENTS AND CONTINGENCIES:
The Company has capital and other purchase commitments of approximately $249.8 million at September 27, 2013, primarily in connection with commitments for capital projects and client contract investments. At September 27, 2013, the Company also has letters of credit outstanding in the amount of $121.7 million.
Certain of the Companys lease arrangements, primarily vehicle leases, with terms of one to eight years, contain provisions related to residual value guarantees. The maximum potential liability to the Company under such arrangements was approximately $110.3 million at September 27, 2013 if the terminal fair value of vehicles coming off lease was zero. Consistent with past experience, management does not expect any significant payments will be required pursuant to these arrangements. No amounts have been accrued for guarantee arrangements at September 27, 2013.
F-42
Rental expense for all operating leases was $179.3 million, $177.4 million and $168.1 million for fiscal 2013, fiscal 2012 and fiscal 2011, respectively. Following is a schedule of the future minimum rental and similar commitments under all noncancelable operating leases as of September 27, 2013 (in thousands):
Fiscal Year |
||||
2014 |
$ | 219,698 | ||
2015 |
93,661 | |||
2016 |
76,420 | |||
2017 |
67,469 | |||
2018 |
52,123 | |||
Subsequent years |
90,598 | |||
|
|
|||
Total minimum rental obligations |
$ | 599,969 | ||
|
|
From time to time, the Company is a party to various legal actions and investigations involving claims incidental to the conduct of its business, including actions by clients, customers, employees, government entities and third parties, including under federal, state, international, national, provincial and local employment laws, wage and hour laws, discrimination laws, immigration laws, human health and safety laws, import and export controls and customs laws, environmental laws, false claims or whistleblower statutes, minority, women and disadvantaged business enterprise statutes, tax codes, antitrust and competition laws, consumer protection statutes, procurement regulations, intellectual property laws, food safety and sanitation laws, cost and accounting principles, the Foreign Corrupt Practices Act, the U.K. Bribery Act, other anti-corruption laws, lobbying laws, motor carrier safety laws, data privacy laws and alcohol licensing and service laws, or alleging negligence and/or breaches of contractual and other obligations. Based on information currently available, advice of counsel, available insurance coverage, established reserves and other resources, the Company does not believe that any such actions are likely to be, individually or in the aggregate, material to its business, financial condition, results of operations or cash flows. However, in the event of unexpected further developments, it is possible that the ultimate resolution of these matters, or other similar matters, if unfavorable, may be materially adverse to the Companys business, financial condition, results of operations or cash flows.
In 2011, the Company was informed that an Illinois state civil action had been filed against a subsidiary of the Company by an unnamed Relator under the Illinois Whistleblower Reward and Protection Act in the Circuit Court of Cook County, Illinois County Department, Law Division. During the third quarter of fiscal 2013, this matter was settled, payments were made pursuant to the terms of the settlement, and the case was dismissed with prejudice.
NOTE 14. BUSINESS SEGMENTS:
The Company provides or manages services in two strategic areas: Food and Support Services and Uniform and Career Apparel, which are organized and managed in the following reportable business segments:
Food and Support ServicesNorth AmericaFood, refreshment, specialized dietary and support services, including facility maintenance and housekeeping, provided to business, educational and healthcare institutions and in sports, entertainment, recreational and other facilities serving the general public in the United States, Canada and Mexico. Food and Support ServicesNorth America sales and operating income for fiscal 2013 were negatively affected by Hurricane Sandy and the National Hockey League lockout. Food and Support ServicesNorth America operating income for fiscal 2013 includes $43.5 million of severance and related costs. Food and Support ServicesNorth America operating income for fiscal 2013 also includes $6.8 million of asset write-offs and other income recognized of approximately $14.0 million relating to the recovery of the Companys investment (possessory interest) at one of the National Park Service (NPS) sites in the Sports, Leisure and Corrections sector, which was terminated in the current year. Food and Support ServicesNorth America operating income for fiscal 2012 includes transition and integration costs of $4.9 million related to the Filterfresh acquisition, a favorable risk insurance adjustment of $1.7 million related to favorable claims experience and
F-43
other income recognized of $6.7 million relating to the recovery of the Companys investment (possessory interest) at one of the NPS sites in Sports, Leisure and Corrections sector, which was terminated in the prior year. Food and Support ServicesNorth America operating income for fiscal 2011 includes other income recognized of $7.8 million related to a compensation agreement signed with the NPS under which the NPS agreed to pay down a portion of the Companys investment (possessory interest) in certain assets at one of the Companys NPS sites in the Sports, Leisure and Corrections sector, severance related expenses of $6.2 million and a favorable risk insurance adjustment of $0.9 million related to favorable claims experience.
Food and Support ServicesInternationalFood, refreshment, specialized dietary and support services, including facility maintenance and housekeeping, provided to business, educational and healthcare institutions and in sports, entertainment, recreational and other facilities serving the general public. Operations are conducted in 19 countries, including the U.K., Germany, Chile, Ireland, Spain, China, Belgium, Korea, Argentina and Japan. Food and Support ServicesInternational operating income for fiscal 2013 includes $14.6 million of severance and related costs and $16.9 million of goodwill impairment charges and other asset write-offs. Food and Support ServicesInternational operating income for fiscal 2012 includes a favorable adjustment of $1.5 million related to a non-income tax settlement in the U.K. and $2.9 million of severance related expenses. Food and Support ServicesInternational operating income for fiscal 2011 includes a gain of $7.7 million related to the divestiture of the Companys 67% ownership interest in the security business of its Chilean subsidiary (see Note 3), favorable non-income tax settlements in the U.K. of $5.3 million, a goodwill and other intangible assets impairment charge of $5.3 million (see Note 5), a gain on the sale of land in Chile of $1.7 million and severance related expenses of $11.4 million.
Uniform and Career ApparelRental, sale, cleaning, maintenance and delivery of personalized uniform and career apparel and other textile items on a contract basis and direct marketing of personalized uniforms and career apparel and accessories to businesses, public institutions and individuals. Also provided are walk-off mats, cleaning cloths and disposable towels. Uniform and Career Apparel operating income for fiscal 2013 includes $8.5 million of severance and related costs, which includes $3.7 million of severance related expenses recorded in the first quarter of fiscal 2013, and a net charge of approximately $6.5 million related to multiemployer pension withdrawals and a final settlement of wage and hour claims, net of a favorable risk insurance adjustment. Uniform and Career Apparel operating income for fiscal 2012 includes a favorable risk insurance adjustment of $5.7 million related to favorable claims experience and severance related expenses of $2.6 million. Uniform and Career Apparel operating income for fiscal 2011 includes a gain of $2.6 million related to a property settlement of an eminent domain claim, a risk insurance adjustment of $4.8 million related to favorable claims experience and severance related expenses of $3.9 million.
Sales by segment are substantially comprised of services to unaffiliated customers and clients. Operating income reflects expenses directly related to individual segments plus an allocation of corporate expenses applicable to more than one segment.
CorporateCorporate includes general corporate expenses not specifically allocated to an individual segment and share-based compensation expense (see Note 11). Corporate expenses for fiscal 2013 includes $1.1 million of severance and related costs. During fiscal 2011, the Company recorded severance related expenses of $1.3 million.
Interest and Other Financing Costs, net, for fiscal 2013 was favorably impacted by the maturity of interest rate swaps during fiscal 2012. Interest and Other Financing Costs, net, for fiscal 2013 includes charges of $39.8 million in connection with the tender offer and Satisfaction and Discharge (see Note 6), consisting of $12.9 million of third party costs for the tender offer premium and $26.9 million of non-cash charges for the write-off of deferred financing costs. Interest and Other Financing Costs, net, for fiscal 2013 also includes approximately $11.6 million of third-party costs incurred related to Amendment Agreement No. 3 to the senior secured credit agreement (see Note 6) and approximately $3.2 million of hedge ineffectiveness related to the repayment of the Canadian subsidiarys term loan with a maturity date of January 26, 2014 (see Note 7). Interest and Other Financing Costs, net, for fiscal 2012 includes $11.1 million of third-party costs related to Amendment Agreement No. 2 (see Note 6) and the amendment of the Companys Canadian subsidiary cross currency swap (see Note 7). Interest and Other Financing Costs, net, for fiscal 2011 includes a write-off of deferred financing fees of
F-44
$2.1 million related to the amendment that extended the U.S. dollar denominated portion of the revolving credit facility and interest income of $14.1 million related to favorable non-income tax settlements in the U.K.
Financial information by segment follows (in millions):
Sales | ||||||||||||
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Food and Support ServicesNorth America |
$ | 9,665.2 | $ | 9,413.2 | $ | 9,019.0 | ||||||
Food and Support ServicesInternational |
2,869.2 | 2,729.5 | 2,723.3 | |||||||||
Uniform and Career Apparel |
1,411.3 | 1,362.7 | 1,340.1 | |||||||||
|
|
|
|
|
|
|||||||
$ | 13,945.7 | $ | 13,505.4 | $ | 13,082.4 | |||||||
|
|
|
|
|
|
Operating Income | ||||||||||||
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Food and Support ServicesNorth America |
$ | 405.1 | $ | 425.6 | $ | 400.5 | ||||||
Food and Support ServicesInternational |
66.2 | 89.9 | 79.9 | |||||||||
Uniform and Career Apparel |
117.3 | 118.1 | 117.3 | |||||||||
|
|
|
|
|
|
|||||||
588.6 | 633.6 | 597.7 | ||||||||||
Corporate |
(74.2 | ) | (51.8 | ) | (50.6 | ) | ||||||
|
|
|
|
|
|
|||||||
Operating Income |
514.4 | 581.8 | 547.1 | |||||||||
Interest and other financing costs, net |
(423.8 | ) | (456.8 | ) | (451.1 | ) | ||||||
|
|
|
|
|
|
|||||||
Income from Continuing Operations Before Income Taxes |
$ | 90.6 | $ | 125.0 | $ | 96.0 | ||||||
|
|
|
|
|
|
Depreciation and Amortization | ||||||||||||
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Food and Support ServicesNorth America |
$ | 375.7 | $ | 364.7 | $ | 341.9 | ||||||
Food and Support ServicesInternational |
62.5 | 61.0 | 62.6 | |||||||||
Uniform and Career Apparel |
102.0 | 102.6 | 105.1 | |||||||||
Corporate |
1.9 | 0.9 | 0.9 | |||||||||
|
|
|
|
|
|
|||||||
$ | 542.1 | $ | 529.2 | $ | 510.5 | |||||||
|
|
|
|
|
|
Capital Expenditures and Client Contract Investments and Other* |
||||||||||||
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
Food and Support ServicesNorth America |
$ | 285.6 | $ | 281.0 | $ | 207.9 | ||||||
Food and Support ServicesInternational |
60.7 | 51.9 | 58.6 | |||||||||
Uniform and Career Apparel |
46.7 | 40.5 | 33.3 | |||||||||
Corporate |
0.1 | | 0.4 | |||||||||
|
|
|
|
|
|
|||||||
$ | 393.1 | $ | 373.4 | $ | 300.2 | |||||||
|
|
|
|
|
|
* | Includes amounts acquired in business combinations |
F-45
Identifiable Assets | ||||||||
September 27, 2013 |
September 28, 2012 |
|||||||
Food and Support ServicesNorth America |
$ | 6,939.3 | $ | 7,120.8 | ||||
Food and Support ServicesInternational |
1,531.2 | 1,527.7 | ||||||
Uniform and Career Apparel |
1,670.0 | 1,681.7 | ||||||
Corporate |
126.6 | 157.2 | ||||||
|
|
|
|
|||||
$ | 10,267.1 | $ | 10,487.4 | |||||
|
|
|
|
The following geographic data include sales generated by subsidiaries within that geographic area and net property & equipment based on physical location (in millions):
Sales | ||||||||||||
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
||||||||||
United States |
$ | 10,025.0 | $ | 9,729.6 | $ | 9,369.6 | ||||||
Foreign |
3,920.7 | 3,775.8 | 3,712.8 | |||||||||
|
|
|
|
|
|
|||||||
$ | 13,945.7 | $ | 13,505.4 | $ | 13,082.4 | |||||||
|
|
|
|
|
|
Net Property & Equipment | ||||||||
September 27, 2013 |
September 28, 2012 |
|||||||
United States |
$ | 789.4 | $ | 790.1 | ||||
Foreign |
187.9 | 186.2 | ||||||
|
|
|
|
|||||
$ | 977.3 | $ | 976.3 | |||||
|
|
|
|
NOTE 15. FAIR VALUE OF FINANCIAL ASSETS AND FINANCIAL LIABILITIES:
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities recorded at fair value are classified based upon the level of judgment associated with the inputs used to measure their fair value. The hierarchical levels related to the subjectivity of the valuation inputs are defined as follows:
| Level 1inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets |
| Level 2inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument |
| Level 3inputs to the valuation methodology are unobservable and significant to the fair value measurement |
Recurring Fair Value Measurements
The Companys financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable, borrowings, common stock subject to repurchase and derivatives (see Note 7). Management believes that the carrying value of cash and cash equivalents, accounts receivable and accounts payable are representative of their respective fair values. In conjunction with the fair value measurement of the derivative instruments, the Company made an accounting policy election to measure the credit risk of its derivative instruments that are subject to master netting agreements on a net basis by counterparty portfolio. The fair value
F-46
of the Companys debt at September 27, 2013 and September 28, 2012 was $5,854.9 million and $6,052.9 million, respectively. The carrying value of the Companys debt at September 27, 2013 and September 28, 2012 was $5,824.1 million and $6,008.8 million, respectively. The fair values were computed using market quotes, if available, or based on discounted cash flows using market interest rates as of the end of the respective periods. The inputs utilized in estimating the fair value of the Companys debt has been classified as level 2 in the fair value hierarchy levels.
The following table presents the changes in the Companys common stock subject to repurchase for which level 3 inputs were significant to their valuation for fiscal 2013 (in thousands):
Common Stock Subject to Repurchase |
||||
Balance, September 28, 2012 |
$ | 167,461 | ||
Issuances of common stock |
1,904 | |||
Repurchases of common stock |
(27,474 | ) | ||
Change in fair market value of common stock |
16,817 | |||
|
|
|||
Balance, September 27, 2013 |
$ | 158,708 | ||
|
|
NOTE 16. RELATED PARTY TRANSACTIONS:
As of September 27, 2013, the notional value of interest rate swaps with entities affiliated with GS Capital Partners was $230 million and with entities affiliated with J.P. Morgan Partners was $205 million. As of September 28, 2012, the notional value of interest rate swaps with entities affiliated with GS Capital Partners was $96 million and with entities affiliated with J.P. Morgan Partners was $221 million. In all of these swaps, the Company pays the counterparty a fixed interest rate in exchange for their payment of a floating interest rate. The net payments in fiscal 2013, fiscal 2012 and fiscal 2011 to entities affiliated with GS Capital Partners pursuant to interest rate swap transactions were approximately $3.1 million, $21.5 million and $40.1 million, respectively. The net payments in fiscal 2013, fiscal 2012 and fiscal 2011 to entities affiliated with J.P. Morgan Partners pursuant to interest rate swap transactions were approximately $5.5 million, $28.2 million and $51.6 million, respectively.
NOTE 17. SUBSEQUENT EVENTS
On November 11, 2013 and November 12, 2013, the Board and certain committees of the Board, including the Compensation Committee, took certain actions relating to compensation determinations for employees, as well as certain actions related to the compensation of executive officers and benefit plans of Holdings in connection with the previously announced preparation for the initial public offering of Holdings.
Amended and Restated Senior Executive Performance Bonus Plan
On November 12, 2013, the Board approved, and the stockholders of Holdings adopted by written consent, the Amended and Restated Senior Executive Performance Bonus Plan (the Amended Bonus Plan), which will become effective on December 1, 2013. The Amended Bonus Plan is intended to provide for an annual performance bonus for the chief executive officer and other designated executive officers of Holdings or any of its subsidiaries. The terms of the Amended Bonus Plan are generally consistent with the terms of the existing Senior Executive Annual Performance Bonus Plan of Holdings, except that the annual individual participant award limit has been increased to $6 million.
Approval of Special Bonuses
On November 11, 2013, the Compensation Committee approved special cash bonuses to certain senior executive officers of approximately $4.3 million that are contingent on and payable following the completion of the initial public offering. The accounting for the bonuses will be reflected upon completion of this offering.
F-47
Grants in Connection with the Initial Public Offering
On November 11, 2013, the Compensation Committee and the Stock Committee approved grants of RSUs to certain senior executives under the Fourth Amended Stock Incentive Plan, to become effective at the time of the initial public offering of Holdings. The total value of the RSUs granted will be approximately $35 million. The RSUs are subject to time-based vesting, with one-third of the RSUs vesting on each of the first three anniversaries of the date of grant, subject to the executives continued employment with Holdings and its subsidiaries. The terms of the RSUs are otherwise generally consistent with the terms of the previously approved form of restricted stock unit award agreement under the Fourth Amended Stock Incentive Plan. The accounting for the share-based compensation related to these RSU grants will be reflected beginning upon completion of this offering.
Amendment to Vesting of Outstanding Performance-Based Options
On November 11, 2013, the Compensation Committee approved an amendment to all outstanding 2007 MSIP Option Agreements (the Performance Option Amendment) modifying the vesting provisions relating to outstanding Performance-Based Options granted under the 2007 MSIP. The Performance Option Amendment provides that in the event of an initial public offering of Holdings, subject to continued employment on such date, 50% of any then-unvested performance-based options that did not meet applicable performance thresholds in prior years (the Missed Year Options) will become vested if the initial public offering price for the common stock of Holdings equals or exceeds $20.00 per share. In addition, during the 18 month period following the initial public offering, if the closing trading price for common stock of Holdings equals or exceeds $25.00 per share over any consecutive twenty day trading period, 100% of the Missed Year Options will become vested. There are a total of approximately 5.3 million Missed Year Options. The accounting for the modification related to the Missed Year Options, which in total is estimated to be approximately $55 million, will be reflected beginning upon completion of this offering.
ARAMARK Holdings Corporation 2013 Stock Incentive Plan and Forms of Agreements
On November 12, 2013, the Board approved, and the stockholders of Holdings adopted by written consent, the ARAMARK Holdings Corporation 2013 Stock Incentive Plan (the 2013 Stock Plan), which will become effective on December 1, 2013. The 2013 Stock Plan provides that the total number of shares of common stock that may be issued under the 2013 Stock Plan is 25,500,000. In connection with the adoption of the 2013 Stock Plan, the Board approved, and the stockholders of Holdings adopted by written consent, the Fifth Amended and Restated ARAMARK Holdings Corporation 2007 Management Stock Incentive Plan (the Fifth Amended Stock Plan) which amends certain terms of the 2007 MSIP in contemplation of the initial public offering of Holdings, including providing that no awards will be granted under the Fifth Amended Stock Plan shortly following the consummation of an initial public offering, as it is intended that grants following the initial public offering will be made under the 2013 Stock Plan.
NOTE 18. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES:
The following condensed consolidating financial statements of the Company have been prepared pursuant to Rule 3-10 of Regulation S-X.
These condensed consolidating financial statements have been prepared from the Companys financial information on the same basis of accounting as the consolidated financial statements. Interest expense and certain other costs are partially allocated to all of the subsidiaries of the Company. Goodwill and other intangible assets have been allocated to the subsidiaries based on managements estimates. The Senior Notes are jointly and severally guaranteed on a senior unsecured basis by substantially all of the Companys existing and future domestic subsidiaries (excluding the receivables facility subsidiary) (Guarantors). Each of the Guarantors is wholly-owned, directly or indirectly, by the Company. All other subsidiaries of the Company, either direct or indirect, do not guarantee the Senior Notes (Non-Guarantors). The Guarantors also guarantee certain other debt.
F-48
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING BALANCE SHEETS
September 27, 2013
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current Assets: |
||||||||||||||||||||||||
Cash and cash equivalents |
$ | | $ | 23.0 | $ | 40.5 | $ | 47.5 | $ | | $ | 111.0 | ||||||||||||
Receivables |
| 1.4 | 242.9 | 1,161.6 | | 1,405.9 | ||||||||||||||||||
Inventories, at lower of cost or market |
| 15.9 | 441.0 | 85.0 | | 541.9 | ||||||||||||||||||
Prepayments and other current assets |
| 46.2 | 103.1 | 79.0 | | 228.3 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total current assets |
| 86.5 | 827.5 | 1,373.1 | | 2,287.1 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Property and Equipment, net |
| 24.4 | 751.2 | 201.7 | | 977.3 | ||||||||||||||||||
Goodwill |
| 173.1 | 3,994.6 | 452.3 | | 4,620.0 | ||||||||||||||||||
Investment in and Advances to Subsidiaries |
1,062.7 | 6,267.4 | 444.8 | 124.5 | (7,899.4 | ) | | |||||||||||||||||
Other Intangible Assets |
| 32.6 | 1,230.0 | 146.1 | | 1,408.7 | ||||||||||||||||||
Other Assets |
| 68.4 | 629.5 | 278.0 | (2.0 | ) | 973.9 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
$ | 1,062.7 | $ | 6,652.4 | $ | 7,877.6 | $ | 2,575.7 | $ | (7,901.4 | ) | $ | 10,267.0 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||||||
Current Liabilities: |
||||||||||||||||||||||||
Current maturities of long-term borrowings |
$ | | $ | 22.5 | $ | 12.0 | $ | 31.3 | $ | | $ | 65.8 | ||||||||||||
Accounts payable |
| 147.0 | 448.3 | 293.6 | | 888.9 | ||||||||||||||||||
Accrued expenses and other liabilities |
0.3 | 230.2 | 875.6 | 328.3 | 0.1 | 1,434.5 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total current liabilities |
0.3 | 399.7 | 1,335.9 | 653.2 | 0.1 | 2,389.2 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Long-term Borrowings |
| 5,101.7 | 40.4 | 616.1 | | 5,758.2 | ||||||||||||||||||
Deferred Income Taxes and Other Noncurrent Liabilities |
| 326.2 | 618.3 | 102.5 | | 1,047.0 | ||||||||||||||||||
Intercompany Payable |
| | 5,016.0 | 1,305.7 | (6,321.7 | ) | | |||||||||||||||||
Common Stock Subject to Repurchase and other |
158.7 | | 10.2 | | | 168.9 | ||||||||||||||||||
Total Equity |
903.7 | 824.8 | 856.8 | (101.8 | ) | (1,579.8 | ) | 903.7 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
$ | 1,062.7 | $ | 6,652.4 | $ | 7,877.6 | $ | 2,575.7 | $ | (7,901.4 | ) | $ | 10,267.0 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-49
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING BALANCE SHEETS
September 28, 2012
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current Assets: |
||||||||||||||||||||||||
Cash and cash equivalents |
$ | 0.1 | $ | 27.4 | $ | 41.7 | $ | 67.6 | $ | | $ | 136.8 | ||||||||||||
Receivables |
| 2.7 | 235.9 | 1,077.4 | | 1,316.0 | ||||||||||||||||||
Inventories, at lower of cost or market |
| 15.9 | 414.8 | 77.7 | | 508.4 | ||||||||||||||||||
Prepayments and other current assets |
| 13.4 | 144.4 | 66.5 | | 224.3 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total current assets |
0.1 | 59.4 | 836.8 | 1,289.2 | | 2,185.5 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Property and Equipment, net |
| 25.6 | 738.5 | 212.2 | | 976.3 | ||||||||||||||||||
Goodwill |
| 173.1 | 3,987.2 | 569.2 | | 4,729.5 | ||||||||||||||||||
Investment in and Advances to Subsidiaries |
1,706.1 | 6,353.3 | 389.9 | 139.2 | (8,588.5 | ) | | |||||||||||||||||
Other Intangible Assets |
| 42.0 | 1,366.6 | 186.5 | | 1,595.1 | ||||||||||||||||||
Other Assets |
11.0 | 64.2 | 603.7 | 324.0 | (2.0 | ) | 1,000.9 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
1,717.2 | $ | 6,717.6 | $ | 7,922.7 | $ | 2,720.3 | $ | (8,590.5 | ) | $ | 10,487.3 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||||||
Current Liabilities: |
||||||||||||||||||||||||
Current maturities of long-term borrowings |
$ | | $ | 0.7 | $ | 11.6 | $ | 25.2 | $ | | $ | 37.5 | ||||||||||||
Accounts payable |
| 148.6 | 387.7 | 337.0 | | 873.3 | ||||||||||||||||||
Accrued expenses and other liabilities |
21.2 | 146.1 | 798.1 | 287.4 | 0.1 | 1,252.9 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total current liabilities |
21.2 | 295.4 | 1,197.4 | 649.6 | 0.1 | 2,163.7 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Long-term Borrowings |
595.5 | 4,586.0 | 38.4 | 751.4 | | 5,971.3 | ||||||||||||||||||
Deferred Income Taxes and Other Noncurrent Liabilities |
| 355.0 | 657.1 | 195.5 | | 1,207.6 | ||||||||||||||||||
Intercompany Payable |
| | 5,294.3 | 1,079.9 | (6,374.2 | ) | | |||||||||||||||||
Common Stock Subject to Repurchase and other |
167.5 | | 10.4 | | | 177.9 | ||||||||||||||||||
Total Equity |
933.0 | 1,481.2 | 725.1 | 43.9 | (2,216.4 | ) | 966.8 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
$ | 1,717.2 | $ | 6,717.6 | $ | 7,922.7 | $ | 2,720.3 | $ | (8,590.5 | ) | $ | 10,487.3 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-50
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
For the year ended September 27, 2013
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
Sales |
$ | | $ | 1,034.0 | $ | 8,792.8 | $ | 4,118.8 | $ | | $ | 13,945.6 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Costs and Expenses: |
||||||||||||||||||||||||
Cost of services provided |
| 996.6 | 7,811.8 | 3,852.8 | | 12,661.2 | ||||||||||||||||||
Depreciation and amortization |
| 21.0 | 418.9 | 102.2 | | 542.1 | ||||||||||||||||||
Selling and general corporate expenses |
0.9 | 82.5 | 125.7 | 18.8 | | 227.9 | ||||||||||||||||||
Interest and other financing costs, net |
51.0 | 342.4 | (2.7 | ) | 33.1 | | 423.8 | |||||||||||||||||
Expense allocations |
| (362.8 | ) | 326.1 | 36.7 | | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
51.9 | 1,079.7 | 8,679.8 | 4,043.6 | | 13,855.0 | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Income (Loss) from Continuing Operations before Income Taxes |
(51.9 | ) | (45.7 | ) | 113.0 | 75.2 | | 90.6 | ||||||||||||||||
Provision (Benefit) for Income Taxes |
(19.2 | ) | (31.9 | ) | 52.3 | 18.0 | | 19.2 | ||||||||||||||||
Equity in Net Income of Subsidiaries |
102.1 | | | | (102.1 | ) | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Income (Loss) from Continuing Operations |
69.4 | (13.8 | ) | 60.7 | 57.2 | (102.1 | ) | 71.4 | ||||||||||||||||
Loss from Discontinued Operations, net of tax |
| | (1.0 | ) | | | (1.0 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income (loss) |
69.4 | (13.8 | ) | 59.7 | 57.2 | (102.1 | ) | 70. 4 | ||||||||||||||||
Less: Net income attributable to noncontrolling interest |
| | 0.8 | 0.2 | | 1.0 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income (loss) attributable to ARAMARK Holdings stockholders |
69.4 | (13.8 | ) | 58.9 | 57.0 | (102.1 | ) | 69.4 | ||||||||||||||||
Other comprehensive income (loss), net of tax |
14.5 | 34.8 | 0.6 | (19.2 | ) | (16.2 | ) | 14.5 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Comprehensive income attributable to ARAMARK Holdings stockholders |
$ | 83.9 | $ | 21.0 | $ | 59.5 | $ | 37.8 | $ | (118.3 | ) | $ | 83.9 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-51
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
For the year ended September 28, 2012
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
Sales |
$ | | $ | 1,025.2 | $ | 8,427.6 | $ | 4,052.6 | $ | | $ | 13,505.4 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Costs and Expenses: |
||||||||||||||||||||||||
Cost of services provided |
| 962.0 | 7,478.4 | 3,751.1 | | 12,191.5 | ||||||||||||||||||
Depreciation and amortization |
| 19.2 | 403.8 | 106.2 | | 529.2 | ||||||||||||||||||
Selling and general corporate expenses |
0.5 | 58.5 | 123.0 | 21.0 | | 203.0 | ||||||||||||||||||
Interest and other financing costs, net |
55.0 | 364.0 | (0.4 | ) | 38.2 | | 456.8 | |||||||||||||||||
Expense allocations |
| (353.1 | ) | 316.0 | 37.1 | | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
55.5 | 1,050.6 | 8,320.8 | 3,953.6 | | 13,380.5 | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Income (Loss) from Continuing Operations before Income Taxes |
(55.5 | ) | (25.4 | ) | 106.8 | 99.0 | | 124.9 | ||||||||||||||||
Provision (Benefit) for Income Taxes |
(20.9 | ) | (9.2 | ) | 30.4 | 17.7 | | 18.0 | ||||||||||||||||
Equity in Net Income of Subsidiaries |
138.2 | | | | (138.2 | ) | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Income (Loss) from Continuing Operations |
103.6 | (16.2 | ) | 76.4 | 81.3 | (138.2 | ) | 106. 9 | ||||||||||||||||
Income from Discontinued Operations, net of tax |
| | 0.3 | | | 0.3 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income (loss) |
103.6 | (16.2 | ) | 76.7 | 81.3 | (138.2 | ) | 107. 2 | ||||||||||||||||
Less: Net income attributable to noncontrolling interest |
| | 1.1 | 2.5 | | 3.6 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income (loss) attributable to ARAMARK Holdings stockholders |
103.6 | (16.2 | ) | 75.6 | 78.8 | (138.2 | ) | 103.6 | ||||||||||||||||
Other comprehensive income (loss), net of tax |
3.6 | 32.9 | 2.3 | (28.4 | ) | (6.8 | ) | 3.6 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Comprehensive income attributable to ARAMARK Holdings stockholders |
$ | 107.2 | $ | 16.7 | $ | 77.9 | $ | 50.4 | $ | (145.0 | ) | $ | 107.2 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-52
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
For the year ended September 30, 2011
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
Sales |
$ | | $ | 1,012.7 | $ | 8,120.8 | $ | 3,948.9 | $ | | $ | 13,082.4 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Costs and Expenses: |
||||||||||||||||||||||||
Cost of services provided |
| 948.3 | 7,238.5 | 3,650.0 | | 11,836.8 | ||||||||||||||||||
Depreciation and amortization |
| 20.0 | 383.2 | 107.3 | | 510.5 | ||||||||||||||||||
Selling and general corporate expenses |
1.1 | 56.9 | 107.1 | 22.9 | | 188.0 | ||||||||||||||||||
Interest and other financing costs, net |
24.9 | 410.3 | 0.1 | 15.9 | | 451.2 | ||||||||||||||||||
Expense allocations |
| (377.8 | ) | 345.6 | 32.2 | | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
26.0 | 1,057.7 | 8,074.5 | 3,828.3 | | 12,986.5 | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Income (Loss) from Continuing Operations before Income Taxes |
(26.0 | ) | (45.0 | ) | 46.3 | 120.6 | | 95.9 | ||||||||||||||||
Provision (Benefit) for Income Taxes |
(9.8 | ) | (35.6 | ) | 18.9 | 25.8 | | (0.7 | ) | |||||||||||||||
Equity in Net Income of Subsidiaries |
100.0 | | | | (100.0 | ) | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Income (Loss) from Continuing Operations |
83.8 | (9.4 | ) | 27.4 | 94.8 | (100.0 | ) | 96.6 | ||||||||||||||||
Loss from Discontinued Operations, net of tax |
| | (11.7 | ) | | | (11.7 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income (loss) |
83.8 | (9.4 | ) | 15.7 | 94.8 | (100.0 | ) | 84.9 | ||||||||||||||||
Less: Net income attributable to noncontrolling interest |
| | | 1.1 | | 1.1 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income (loss) attributable to ARAMARK Holdings stockholders |
83.8 | (9.4 | ) | 15.7 | 93.7 | (100.0 | ) | 83.8 | ||||||||||||||||
Other comprehensive income (loss), net of tax |
51.2 | 42.6 | (1.1 | ) | (0.9 | ) | (40.6 | ) | 51.2 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Comprehensive income attributable to ARAMARK Holdings stockholders |
$ | 135.0 | $ | 33.2 | $ | 14.6 | $ | 92.8 | $ | (140.6 | ) | $ | 135.0 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-53
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS
For the year ended September 27, 2013
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
Net cash provided by operating activities |
$ | 599.9 | $ | 97.7 | $ | 585.5 | $ | 64.0 | $ | (651.2 | ) | $ | 695.9 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash flows from investing activities: |
||||||||||||||||||||||||
Purchases of property and equipment and client contract investments |
| (14.3 | ) | (292.4 | ) | (86.2 | ) | | (392.9 | ) | ||||||||||||||
Disposals of property and equipment |
| | 5.4 | 5.9 | | 11.3 | ||||||||||||||||||
Proceeds from divestitures |
| | 0.9 | | | 0.9 | ||||||||||||||||||
Acquisitions of businesses, net of cash acquired |
| | (22.6 | ) | | | (22.6 | ) | ||||||||||||||||
Other investing activities |
| (1.4 | ) | 27.4 | (8.1 | ) | | 17.9 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash used in investing activities |
| (15.7 | ) | (281.3 | ) | (88.4 | ) | | (385.4 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash flows from financing activities: |
||||||||||||||||||||||||
Proceeds from additional long-term borrowings |
| 3,071.4 | | 9.1 | | 3,080.5 | ||||||||||||||||||
Payments of long-term borrowings |
(600.0 | ) | (2,521.2 | ) | (13.7 | ) | (180.0 | ) | | (3,314.9 | ) | |||||||||||||
Net change in funding under the Receivables Facility |
| | | 36.2 | | 36.2 | ||||||||||||||||||
Proceeds from issuance of common stock |
| 5.6 | | | | 5.6 | ||||||||||||||||||
Repurchase of common stock |
| (42.4 | ) | | | | (42.4 | ) | ||||||||||||||||
Distribution in connection with spin-off of Seamless |
| (47.4 | ) | | | | (47.4 | ) | ||||||||||||||||
Other financing activities |
| (50.3 | ) | (2.7 | ) | (0.9 | ) | | (53.9 | ) | ||||||||||||||
Change in intercompany, net |
| (502.1 | ) | (289.0 | ) | 139.9 | 651.2 | | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash provided by (used in) financing activities |
(600.0 | ) | (86.4 | ) | (305.4 | ) | 4.3 | 651.2 | (336.3 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Decrease in cash and cash equivalents |
(0.1 | ) | (4.4 | ) | (1.2 | ) | (20.1 | ) | | (25.8 | ) | |||||||||||||
Cash and cash equivalents, beginning of period |
0.1 | 27.4 | 41.7 | 67.6 | | 136.8 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash and cash equivalents, end of period |
$ | | $ | 23.0 | $ | 40.5 | $ | 47.5 | $ | | $ | 111.0 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-54
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS
For the year ended September 28, 2012
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
Net cash provided by operating activities |
$ | | $ | 62.2 | $ | 532.5 | $ | 178.7 | $ | (81.7 | ) | $ | 691.7 | |||||||||||
Cash flows from investing activities: |
||||||||||||||||||||||||
Purchases of property and equipment and client contract investments |
| (11.7 | ) | (262.0 | ) | (80.9 | ) | | (354.6 | ) | ||||||||||||||
Disposals of property and equipment |
| 0.7 | 5.2 | 5.8 | | 11.7 | ||||||||||||||||||
Proceeds from divestiture |
| | 6.5 | | | 6.5 | ||||||||||||||||||
Acquisitions of businesses |
| | (139.9 | ) | (11.9 | ) | | (151.8 | ) | |||||||||||||||
Other investing activities |
| 1.3 | 3.6 | 1.7 | | 6.6 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash used in investing activities |
| (9.7 | ) | (386.6 | ) | (85.3 | ) | | (481.6 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash flows from financing activities: |
||||||||||||||||||||||||
Proceeds from long-term borrowings |
| | 0.2 | 3.2 | | 3.4 | ||||||||||||||||||
Payments of long-term borrowings |
| (250.7 | ) | (12.9 | ) | (25.3 | ) | | (288.9 | ) | ||||||||||||||
Net change in funding under the Receivables Facility |
| | | 37.9 | | 37.9 | ||||||||||||||||||
Proceeds from issuance of common stock |
| 11.3 | | | | 11.3 | ||||||||||||||||||
Repurchase of common stock |
| (37.7 | ) | | | | (37.7 | ) | ||||||||||||||||
Other financing activities |
| (6.1 | ) | (3.8 | ) | (2.8 | ) | | (12.7 | ) | ||||||||||||||
Change in intercompany, net |
| 120.7 | (119.4 | ) | (83.0 | ) | 81.7 | | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash used in financing activities |
| (162.5 | ) | (135.9 | ) | (70.0 | ) | 81.7 | (286.7 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Increase (Decrease) in cash and cash equivalents |
| (110.0 | ) | 10.0 | 23.4 | | (76.6 | ) | ||||||||||||||||
Cash and cash equivalents, beginning of period |
0.1 | 137.4 | 31.7 | 44.2 | | 213.4 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash and cash equivalents, end of period |
$ | 0.1 | $ | 27.4 | $ | 41.7 | $ | 67.6 | $ | | $ | 136.8 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-55
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS
For the year ended September 30, 2011
(in millions)
ARAMARK Holdings Corporation (Parent) |
ARAMARK Corporation (Issuer) |
Guarantors | Non Guarantors |
Eliminations | Consolidated | |||||||||||||||||||
Net cash provided by (used in) operating activities |
$ | 131.9 | $ | 38.2 | $ | 456.0 | $ | (115.9 | ) | $ | (206.6 | ) | $ | 303.6 | ||||||||||
Cash flows from investing activities: |
||||||||||||||||||||||||
Purchases of property and equipment and client contract investments |
| (9.5 | ) | (206.3 | ) | (77.9 | ) | | (293.7 | ) | ||||||||||||||
Disposals of property and equipment |
| 1.0 | 10.0 | 10.5 | | 21.5 | ||||||||||||||||||
Proceeds from divestitures |
| | 71.5 | 11.6 | 83.1 | |||||||||||||||||||
Acquisitions of businesses |
| | (157.0 | ) | | | (157.0 | ) | ||||||||||||||||
Other investing activities |
| 0.7 | (13.7 | ) | (4.0 | ) | | (17.0 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash used in investing activities |
| (7.8 | ) | (295.5 | ) | (59.8 | ) | | (363.1 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash flows from financing activities: |
||||||||||||||||||||||||
Proceeds from long-term borrowings |
594.0 | | 0.2 | 22.0 | | 616.2 | ||||||||||||||||||
Payments of long-term borrowings |
| (5.7 | ) | (13.5 | ) | (12.0 | ) | | (31.2 | ) | ||||||||||||||
Net change in funding under the Receivables Facility |
| | | 225.9 | 225.9 | |||||||||||||||||||
Proceeds from issuance of common stock |
| 4.6 | | | | 4.6 | ||||||||||||||||||
Repurchase of common stock |
| (16.1 | ) | | | | (16.1 | ) | ||||||||||||||||
Dividends paid |
(711.2 | ) | (132.9 | ) | | (73.7 | ) | 206.6 | (711.2 | ) | ||||||||||||||
Net proceeds from sale of subsidiary shares to noncontrolling interest |
| 48.4 | | | 48.4 | |||||||||||||||||||
Other financing activities |
(14.6 | ) | (6.6 | ) | (3.1 | ) | (0.3 | ) | | (24.6 | ) | |||||||||||||
Change in intercompany, net |
| 135.9 | (146.2 | ) | 10.3 | | | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash provided by (used in) financing activities |
(131.8 | ) | 27.6 | (162.6 | ) | 172.2 | 206.6 | 112.0 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Increase (Decrease) in cash and cash equivalents |
0.1 | 58.0 | (2.1 | ) | (3.5 | ) | | 52.5 | ||||||||||||||||
Cash and cash equivalents, beginning of period |
| 79.4 | 33.8 | 47.7 | | 160.9 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Cash and cash equivalents, end of period |
$ | 0.1 | $ | 137.4 | $ | 31.7 | $ | 44.2 | $ | | $ | 213.4 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
F-56
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
SCHEDULE IIVALUATION AND QUALIFYING ACCOUNTS AND RESERVES
FOR THE FISCAL YEARS ENDED SEPTEMBER 27, 2013, SEPTEMBER 28, 2012
AND SEPTEMBER 30, 2011
Balance, Beginning of Period |
Additions | Reductions | Balance, End of Period |
|||||||||||||
Charged to Income |
Deductions from Reserves(1) |
|||||||||||||||
Description |
||||||||||||||||
Fiscal Year 2013 |
||||||||||||||||
Reserve for doubtful accounts, advances & current notes receivable |
$ | 41,212 | $ | 11,297 | $ | 17,833 | $ | 34,676 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Fiscal Year 2012 |
||||||||||||||||
Reserve for doubtful accounts, advances & current notes receivable |
$ | 32,963 | $ | 26,718 | $ | 18,469 | $ | 41,212 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Fiscal Year 2011 |
||||||||||||||||
Reserve for doubtful accounts, advances & current notes receivable |
$ | 36,886 | $ | 10,298 | $ | 14,221 | $ | 32,963 | ||||||||
|
|
|
|
|
|
|
|
(1) | Amounts determined not to be collectible and charged against the reserve and translation. |
F-57
To the Board of Directors and Shareholders of
AIM SERVICES Co., Ltd.
Tokyo, Japan:
We have audited the accompanying consolidated financial statements of AIM SERVICES Co., Ltd. and its subsidiaries (the Company), which comprise the consolidated balance sheets as of March 31, 2013 and 2012, and the related consolidated statements of income, comprehensive income, changes in equity, and cash flows for each of the three years in the period ended March 31, 2013, and the related notes to the consolidated financial statements (all expressed in Japanese yen).
Managements Responsibility for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with accounting principles generally accepted in Japan (Japanese GAAP); this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.
Auditors Responsibility
Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Companys preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Companys internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Opinion
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of AIM SERVICES Co., Ltd. and its subsidiaries as of March 31, 2013 and 2012, and the results of their operations and their cash flows for each of the three years in the period ended March 31, 2013 in accordance with Japanese GAAP.
Emphasis of Matter
Japanese GAAP varies in certain significant respects from accounting principles generally accepted in the United States of America. Information relating to the nature and effect of such differences is presented in Note 14 to the consolidated financial statements. Our opinion is not modified with respect to this matter.
F-58
Convenience Translations
Our audits also comprehended the translation of Japanese yen amounts into U.S. dollar amounts and, in our opinion, such translation has been made in conformity with the basis stated in Note 1. Such U.S. dollar amounts are presented solely for the convenience of readers outside Japan.
/s/ DELOITTE TOUCHE TOHMATSU LLC
Tokyo, Japan
September 9, 2013
F-59
AIM SERVICES Co., Ltd. and Subsidiaries
March 31, 2013 and 2012
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
ASSETS |
||||||||||||
CURRENT ASSETS: |
||||||||||||
Cash and cash equivalents (Note 2.b) |
¥ | 7,709,209 | ¥ | 7,825,451 | $ | 82,013 | ||||||
Marketable securities (Notes 2.d and 3) |
99,970 | |||||||||||
Receivables: |
||||||||||||
Trade notes |
2,241 | 817 | 24 | |||||||||
Trade accounts |
14,292,354 | 14,620,648 | 152,046 | |||||||||
Other |
167,262 | 128,022 | 1,780 | |||||||||
Inventories (Notes 2.c and 4) |
1,762,801 | 1,691,468 | 18,753 | |||||||||
Short-term loans |
3,117 | 4,299 | 33 | |||||||||
Deposit (Notes 2.b and 12) |
3,500,000 | 6,000,000 | 37,234 | |||||||||
Deferred tax assets (Notes 2.p and 7) |
1,814,557 | 1,768,432 | 19,304 | |||||||||
Prepaid expenses and other |
352,779 | 313,812 | 3,753 | |||||||||
Allowance for doubtful accounts |
(8,933 | ) | (12,273 | ) | (95 | ) | ||||||
|
|
|
|
|
|
|||||||
Total current assets |
29,595,387 | 32,440,646 | 314,845 | |||||||||
|
|
|
|
|
|
|||||||
PROPERTY, PLANT AND EQUIPMENT (Notes 2.f, 2.h, 2.m, 2.n, 8 and 9): |
||||||||||||
Land |
292,423 | 298,843 | 3,111 | |||||||||
Buildings and structures |
1,209,382 | 1,157,137 | 12,866 | |||||||||
Machinery and equipment |
288,072 | 269,507 | 3,064 | |||||||||
Furniture and fixtures |
1,731,085 | 1,547,960 | 18,416 | |||||||||
Lease assets |
1,594,140 | 1,065,994 | 16,959 | |||||||||
|
|
|
|
|
|
|||||||
Total |
5,115,102 | 4,339,441 | 54,416 | |||||||||
Accumulated depreciation |
(2,834,722 | ) | (2,360,896 | ) | (30,157 | ) | ||||||
|
|
|
|
|
|
|||||||
Net property, plant and equipment |
2,280,380 | 1,978,545 | 24,259 | |||||||||
|
|
|
|
|
|
|||||||
INTANGIBLE FIXED ASSETS (Note 2.h): |
||||||||||||
Software (Note 2.g) |
690,359 | 533,918 | 7,344 | |||||||||
Goodwill (Note 2.a) |
1,252,233 | 1,570,171 | 13,321 | |||||||||
Other assets |
51,830 | 49,564 | 552 | |||||||||
|
|
|
|
|
|
|||||||
Total intangible fixed assets |
1,994,422 | 2,153,653 | 21,217 | |||||||||
|
|
|
|
|
|
|||||||
INVESTMENTS AND OTHER ASSETS: |
||||||||||||
Investment securities (Notes 2.d and 3) |
756,298 | 707,179 | 8,046 | |||||||||
Investment in an associated company (Note 2.e) |
910,378 | 836,715 | 9,685 | |||||||||
Golf membership (Note 2.i) |
190,155 | 203,910 | 2,023 | |||||||||
Lease deposits (Note 2.k) |
908,267 | 920,251 | 9,662 | |||||||||
Insurance deposits (Note 2.k) |
413,418 | 397,135 | 4,398 | |||||||||
Deferred tax assets (Notes 2.p and 7) |
479,500 | 522,264 | 5,101 | |||||||||
Other assets (Note 5) |
265,756 | 433,006 | 2,827 | |||||||||
Allowance for doubtful accounts |
(71,445 | ) | (77,303 | ) | (760 | ) | ||||||
|
|
|
|
|
|
|||||||
Total investments and other assets |
3,852,327 | 3,943,157 | 40,982 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
¥ | 37,722,516 | ¥ | 40,516,001 | $ | 401,303 | ||||||
|
|
|
|
|
|
Continued on following page.
F-60
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Balance Sheets
March 31, 2013 and 2012
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
LIABILITIES AND EQUITY |
||||||||||||
CURRENT LIABILITIES: |
||||||||||||
Payables: |
||||||||||||
Trade notes |
¥ | 220,560 | ¥ | 240,009 | $ | 2,346 | ||||||
Trade accounts (Note 12) |
8,050,403 | 8,425,860 | 85,643 | |||||||||
Other |
396,519 | 107,394 | 4,218 | |||||||||
Income tax payable |
1,273,328 | 1,913,103 | 13,546 | |||||||||
Consumption tax payable |
1,008,494 | 1,018,512 | 10,729 | |||||||||
Accrued bonuses to employees |
3,587,549 | 3,458,791 | 38,165 | |||||||||
Accrued bonuses to directors and corporate auditors |
29,250 | 29,250 | 311 | |||||||||
Other accrued expenses |
6,819,843 | 6,751,363 | 72,552 | |||||||||
Other current liabilities (Notes 2.m and 8) |
1,534,547 | 1,334,676 | 16,325 | |||||||||
|
|
|
|
|
|
|||||||
Total current liabilities |
22,920,493 | 23,278,958 | 243,835 | |||||||||
|
|
|
|
|
|
|||||||
LONG-TERM LIABILITIES: |
||||||||||||
Employees retirement benefits (Notes 2.l and 5) |
1,109,515 | 1,218,329 | 11,803 | |||||||||
Retirement benefits for directors and corporate auditors (Note 2.l) |
63,596 | 56,066 | 677 | |||||||||
Long-term lease obligations (Notes 2.m and 8) |
747,683 | 573,545 | 7,954 | |||||||||
Other long-term liabilities (Notes 2.n and 9) |
228,645 | 232,067 | 2,432 | |||||||||
|
|
|
|
|
|
|||||||
Total long-term liabilities |
2,149,439 | 2,080,007 | 22,866 | |||||||||
|
|
|
|
|
|
|||||||
EQUITY (Notes 6 and 13) |
||||||||||||
Common stockauthorized, 7,000,000 shares; issued, 556 shares in 2013 and 2012; and class shares subject to call optionauthorized, 14,000,000 shares; issued, 11,507,826 shares in 2013 and 2012 |
1,909,797 | 1,909,797 | 20,317 | |||||||||
Class A sharesauthorized, 7,000,000 shares; issued, no shares in 2013 and 2012 |
||||||||||||
Additional paid-in capital |
2,591,398 | 2,591,398 | 27,568 | |||||||||
Retained earnings (Note 2.q) |
8,766,148 | 11,339,464 | 93,257 | |||||||||
Treasury stockat cost: |
||||||||||||
Common stock2 shares in 2013 and 2012; and class shares subject to call option11,507,826 shares in 2013 and 2012 |
(680,820 | ) | (680,820 | ) | (7,243 | ) | ||||||
Accumulated other comprehensive income (Note 2.t) |
||||||||||||
Unrealized gain(loss) on available-for-sale securities |
66,061 | (2,803 | ) | 703 | ||||||||
|
|
|
|
|
|
|||||||
Total equity |
12,652,584 | 15,157,036 | 134,602 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
¥ | 37,722,516 | ¥ | 40,516,001 | $ | 401,303 | ||||||
|
|
|
|
|
|
See notes to consolidated financial statements.
F-61
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Statements of Income
Years Ended March 31, 2013, 2012 and 2011
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
NET SALES (Note 2.s) |
¥ | 151,125,577 | ¥ | 147,608,039 | ¥ | 144,862,497 | $ | 1,607,719 | ||||||||
COST OF SALES (Notes 8 and 12) |
133,416,552 | 130,143,576 | 126,605,907 | 1,419,325 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross profit |
17,709,025 | 17,464,463 | 18,256,590 | 188,394 | ||||||||||||
SELLING, GENERAL AND ADMINISTRATIVE |
||||||||||||||||
EXPENSES (Notes 2.j, 8 and 12) |
12,252,188 | 11,640,463 | 12,013,783 | 130,342 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Operating income |
5,456,837 | 5,824,000 | 6,242,807 | 58,052 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
OTHER INCOME (EXPENSES): |
||||||||||||||||
Interest and dividend income |
21,252 | 22,957 | 13,649 | 226 | ||||||||||||
Interest expense |
(24,168 | ) | (21,356 | ) | (16,500 | ) | (257 | ) | ||||||||
Loss on impairment of long-lived assets (Note 2.h) |
(2,749 | ) | (14,614 | ) | (29 | ) | ||||||||||
Gain on sales of shares of subsidiaries (Note 2.a) |
313,669 | |||||||||||||||
Equity in earnings of associated company (Note 2.e) |
97,328 | 110,410 | 112,078 | 1,035 | ||||||||||||
Othernet |
22,990 | 43,631 | (24,708 | ) | 245 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Other incomenet |
114,653 | 141,028 | 398,188 | 1,220 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
INCOME BEFORE INCOME TAXES AND NONCONTROLLING INTERESTS |
5,571,490 | 5,965,028 | 6,640,995 | 59,272 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
INCOME TAXES (Notes 2.p and 7): |
||||||||||||||||
Current |
2,714,671 | 2,927,892 | 3,163,705 | 28,880 | ||||||||||||
Deferred |
(36,737 | ) | 110,495 | 12,316 | (391 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total income taxes |
2,677,934 | 3,038,387 | 3,176,021 | 28,489 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET INCOME |
2,893,556 | 2,926,641 | 3,464,974 | 30,783 | ||||||||||||
NONCONTROLLING INTERESTS IN NET INCOME |
(8,666 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET INCOME ATTRIBUTABLE TO OWNERS OF PARENT COMPANY |
¥ | 2,893,556 | ¥ | 2,926,641 | ¥ | 3,456,308 | $ | 30,783 | ||||||||
|
|
|
|
|
|
|
|
Yen | U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
PER SHARE OF COMMON STOCK (Note 2.r): |
||||||||||||||||
Net income |
¥ | 5,223,024.82 | ¥ | 5,282,745.54 | ¥ | 6,238,824.08 | $ | 55,564.09 | ||||||||
Cash dividends applicable to the year |
9,831,000 | 2,641,000 | 3,119,000 | 104,585 |
See notes to consolidated financial statements.
F-62
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Statements of Comprehensive Income
Years Ended March 31, 2013, 2012 and 2011
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
NET INCOME |
¥ | 2,893,556 | ¥ | 2,926,641 | ¥ | 3,464,974 | $ | 30,783 | ||||||||
OTHER COMPREHENSIVE INCOME: |
||||||||||||||||
Unrealized gain (loss) on available-for-sale securities (net of tax) |
68,864 | 4,806 | (40,691 | ) | 733 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total other comprehensive income (loss) |
68,864 | 4,806 | (40,691 | ) | 733 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
COMPREHENSIVE INCOME (Note 2.t) |
¥ | 2,962,420 | ¥ | 2,931,447 | ¥ | 3,424,283 | $ | 31,516 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO: |
||||||||||||||||
Owners of parent |
¥ | 2,962,420 | ¥ | 2,931,447 | ¥ | 3,415,617 | $ | 31,516 | ||||||||
Noncontrolling interests |
8,666 |
See notes to consolidated financial statements.
F-63
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Statements of Changes in Equity
Years Ended March 31, 2013, 2012 and 2011
Thousands of yen | ||||||||||||||||||||||||||||||||
Outstanding Number of Shares of Common Stock |
Common Stock |
Additional Paid-in Capital |
Retained Earnings |
Treasury Stock |
Unrealized Gain (Loss) on Available- for-Sale Securities |
Noncontrol- ling Interests |
Total Equity | |||||||||||||||||||||||||
BALANCE, APRIL 1, 2010 |
554 | ¥ | 1,909,797 | ¥ | 2,591,398 | 8,379,127 | ¥ | (680,820 | ) | ¥ | 33,082 | ¥ | 52,511 | ¥ | 12,285,095 | |||||||||||||||||
Net income |
3,456,308 | 3,456,308 | ||||||||||||||||||||||||||||||
Cash dividends, ¥3,088,000 per share |
(1,710,752 | ) | (1,710,752 | ) | ||||||||||||||||||||||||||||
Net change in the year |
(40,691 | ) | (52,511 | ) | (93,202 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
BALANCE, MARCH 31, 2011 |
554 | 1,909,797 | 2,591,398 | 10,124,683 | (680,820 | ) | (7,609 | ) | 13,937,449 | |||||||||||||||||||||||
Net income |
2,926,641 | 2,926,641 | ||||||||||||||||||||||||||||||
Cash dividends, ¥3,090,000 per share |
(1,711,860 | ) | (1,711,860 | ) | ||||||||||||||||||||||||||||
Net change in the year |
4,806 | 4,806 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
BALANCE, MARCH 31, 2012 |
554 | 1,909,797 | 2,591,398 | 11,339,464 | (680,820 | ) | (2,803 | ) | 15,157,036 | |||||||||||||||||||||||
Net income |
2,893,556 | 2,893,556 | ||||||||||||||||||||||||||||||
Cash dividends, ¥9,868,000 per share |
(5,466,872 | ) | (5,466,872 | ) | ||||||||||||||||||||||||||||
Net change in the year |
68,864 | 68,864 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
BALANCE, MARCH 31, 2013 |
554 | ¥ | 1,909,797 | ¥ | 2,591,398 | ¥ | 8,766,148 | ¥ | (680,820 | ) | ¥ | 66,061 | ¥ | 12,652,584 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Thousands of U.S. Dollars (Note 1) | ||||||||||||||||||||||||
Common Stock |
Additional Paid-in Capital |
Retained Earnings |
Treasury Stock |
Unrealized Gain (Loss) on Available- for-Sale Securities |
Total Equity |
|||||||||||||||||||
BALANCE, MARCH 31, 2012 |
$ | 20,317 | $ | 27,568 | $ | 120,633 | $ | (7,243 | ) | $ | (30 | ) | $ | 161,245 | ||||||||||
Net income |
30,783 | 30,783 | ||||||||||||||||||||||
Cash dividends, $104,979 per share |
(58,159 | ) | (58,159 | ) | ||||||||||||||||||||
Net change in the year |
733 | 733 | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
BALANCE, MARCH 31, 2013 |
$ | 20,317 | $ | 27,568 | $ | 93,257 | $ | (7,243 | ) | $ | 703 | $ | 134,602 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
See notes to consolidated financial statements.
F-64
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Statements of Cash Flows
Years Ended March 31, 2013, 2012 and 2011
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
OPERATING ACTIVITIES: |
||||||||||||||||
Income before income taxes and noncontrolling interests |
¥ | 5,571,490 | ¥ | 5,965,028 | ¥ | 6,640,995 | $ | 59,272 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Adjustments for: |
||||||||||||||||
Income taxespaid |
(3,362,203 | ) | (2,039,547 | ) | (3,251,018 | ) | (35,768 | ) | ||||||||
Depreciation and amortization |
816,840 | 738,495 | 758,497 | 8,690 | ||||||||||||
Amortization of goodwill |
317,938 | 317,938 | 342,707 | 3,382 | ||||||||||||
(Reversal of) provision for allowance for doubtful receivables |
(1,472 | ) | (17,219 | ) | 2,996 | (16 | ) | |||||||||
Equity in earnings of an associated company |
(97,328 | ) | (110,410 | ) | (112,078 | ) | (1,035 | ) | ||||||||
Loss (gain) on sales of property, plant and equipment |
5,280 | (1,194 | ) | (296 | ) | 56 | ||||||||||
Loss on disposal of property, plant and equipment |
5,763 | 7,304 | 39,460 | 61 | ||||||||||||
Gain on sales of shares of subsidiaries |
(313,669 | ) | ||||||||||||||
Loss on impairment of long-lived assets |
2,749 | 14,614 | 29 | |||||||||||||
Asset retirement cost |
86 | |||||||||||||||
Write-off of investment securities |
9,696 | 77,343 | ||||||||||||||
Decrease (increase) in receivablestrade accounts |
326,483 | (986,530 | ) | (306,755 | ) | 3,473 | ||||||||||
Increase in inventories |
(71,333 | ) | (232,712 | ) | (39,287 | ) | (759 | ) | ||||||||
Decrease (increase) in interest receivable |
302 | (594 | ) | (69 | ) | 3 | ||||||||||
(Decrease) increase in trade payables |
(394,907 | ) | 861,880 | (31,788 | ) | (4,201 | ) | |||||||||
(Decrease) increase in interest payable |
(244 | ) | 244 | |||||||||||||
(Increase) decrease in other current assets |
(33,864 | ) | 423,385 | (35,216 | ) | (360 | ) | |||||||||
Increase in other current liabilities |
458,095 | 1,088,654 | 137,721 | 4,874 | ||||||||||||
Increase (decrease) in accrued bonuses to employees |
128,757 | (52,642 | ) | (250,230 | ) | 1,370 | ||||||||||
Increase in accrued bonuses to directors and corporate auditors |
100 | |||||||||||||||
(Decrease) increase in accrued employees retirement benefits |
(108,814 | ) | (105,136 | ) | 98,674 | (1,158 | ) | |||||||||
Increase (decrease) in accrued retirement benefits for director and corporate auditors |
7,530 | (24,277 | ) | (6,394 | ) | 80 | ||||||||||
Prepaid pension costs |
133,121 | 64,655 | (3,514 | ) | 1,416 | |||||||||||
Othernet |
32,059 | 1,805 | (14,761 | ) | 341 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total adjustments |
(1,835,004 | ) | (42,079 | ) | (2,907,247 | ) | (19,522 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net cash provided by operating activities(Forward) |
¥ | 3,736,486 | ¥ | 5,922,949 | ¥ | 3,733,748 | $ | 39,750 | ||||||||
|
|
|
|
|
|
|
|
Continued on following page.
F-65
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Statements of Cash Flows
Years Ended March 31, 2013, 2012 and 2011
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Net cash provided by operating activities(Forward) |
¥ | 3,736,486 | ¥ | 5,922,949 | ¥ | 3,733,748 | $ | 39,750 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
INVESTING ACTIVITIES: |
||||||||||||||||
Purchases of marketable securities |
(99,970 | ) | (99,963 | ) | ||||||||||||
Redemption of marketable securities |
100,000 | 100,000 | 100,000 | 1,064 | ||||||||||||
Purchases of property, plant and equipment |
(355,616 | ) | (549,038 | ) | (296,820 | ) | (3,783 | ) | ||||||||
Proceeds from sales of property, plant and equipment |
1,431 | 2,363 | 6,727 | 15 | ||||||||||||
Purchases of software |
(327,493 | ) | (253,142 | ) | (196,091 | ) | (3,484 | ) | ||||||||
Purchases of other intangible assets |
(3,022 | ) | (730 | ) | (386 | ) | (32 | ) | ||||||||
Proceeds from sales of intangible assets |
51 | |||||||||||||||
Purchases of investment securities |
(10,804 | ) | (15,880 | ) | (19,627 | ) | (115 | ) | ||||||||
Proceeds from sales of investment securities |
57,861 | 26,845 | 616 | |||||||||||||
Disbursements for purchases of shares of subsidiary |
(85,946 | ) | ||||||||||||||
Proceeds from sales of shares of subsidiaries |
651,099 | |||||||||||||||
Refund from (deposit to) a subsidiary of a shareholder |
2,497,890 | (6,004,069 | ) | (2,090 | ) | 26,573 | ||||||||||
Proceeds from collections of loans |
3,486 | 3,972 | 8,387 | 37 | ||||||||||||
Proceeds from (disbursements) for rental deposits of headquarter |
390,609 | (441,442 | ) | |||||||||||||
Other |
(48,320 | ) | (106,035 | ) | (3,625 | ) | (514 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net cash provided by (used in) investing activities |
1,915,413 | (6,505,075 | ) | (379,726 | ) | 20,377 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
FINANCING ACTIVITIES: |
||||||||||||||||
Increase in short-term bank loans |
13,500,000 | 12,800,000 | 6,600,000 | 143,617 | ||||||||||||
Decrease in short-term bank loans |
(13,500,000 | ) | (14,800,000 | ) | (4,600,000 | ) | (143,617 | ) | ||||||||
Repayments of capital lease obligation |
(301,269 | ) | (202,090 | ) | (98,818 | ) | (3,205 | ) | ||||||||
Dividends paid |
(5,466,872 | ) | (1,711,860 | ) | (1,710,752 | ) | (58,158 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net cash (used in) provided by financing activities |
(5,768,141 | ) | (3,913,950 | ) | 190,430 | (61,363 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS |
(116,242 | ) | (4,496,076 | ) | 3,544,452 | (1,236 | ) | |||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR |
7,825,451 | 12,321,527 | 8,777,075 | 83,249 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
CASH AND CASH EQUIVALENTS, END OF YEAR |
¥ | 7,709,209 | ¥ | 7,825,451 | ¥ | 12,321,527 | $ | 82,013 | ||||||||
|
|
|
|
|
|
|
|
Continued on following page.
F-66
AIM SERVICES Co., Ltd. and Subsidiaries
Consolidated Statements of Cash Flows
Years Ended March 31, 2013, 2012 and 2011
ADDITIONAL INFORMATION
Interest payments for the years ended March 31, 2013, 2012 and 2011 were as follows:
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Interest payments |
¥ | 24,168 | ¥ | 21,600 | ¥ | 16,256 | $ | 257 |
Non-cash investing and financing activities were as follows:
Thousands of Yen | Thousands of U.S. Dollars (Note 1) |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Sales of shares of subsidiaries: |
||||||||||||||||
Current assets |
¥ | 605,625 | ||||||||||||||
Fixed assets |
813,154 | |||||||||||||||
Current liabilities |
(831,100 | ) | ||||||||||||||
Long-term liabilities |
(41,348 | ) | ||||||||||||||
Gain on sales of shares of subsidiaries |
313,669 | |||||||||||||||
|
|
|||||||||||||||
Gross proceeds from sales of shares of subsidiaries |
860,000 | |||||||||||||||
Cash and cash equivalents of the sold subsidiaries |
(208,901 | ) | ||||||||||||||
|
|
|||||||||||||||
Net proceeds from sales of shares of subsidiaries |
¥ | 651,099 | ||||||||||||||
|
|
|||||||||||||||
Acquisition of lease assets and obligations under finance leases |
¥ | 541,644 | ¥ | 371,433 | ¥ | 497,665 | $ | 5,762 |
On March 31, 2011, the Company sold all shares of the common stock of its wholly owned subsidiary, Nissho Linen Supply Co., Ltd. (Nissho), to a third party (see Note 2.a for further information). The cash flows of Nissho from January 1, 2010 to March 31, 2011 were included in the consolidated statement of cash flows for the year ended March 31, 2011.
See notes to consolidated financial statements.
F-67
AIM SERVICES Co., Ltd. and Subsidiaries
Notes to Consolidated Financial Statements
1. BASIS OF PRESENTING CONSOLIDATED FINANCIAL STATEMENTS
AIM SERVICES Co., Ltd. (the Company) mainly provides business dining services in Japan and is owned 50 percent by ARAMARK Corporation and 50 percent by Mitsui & Co., Ltd.
The accompanying consolidated financial statements have been prepared in accordance with the provisions set forth in the Companies Act of Japan (the Companies Act) and in conformity with accounting principles generally accepted in Japan (Japanese GAAP). Japanese GAAP varies in certain significant respects from accounting principles generally accepted in the United States of America (U.S. GAAP). Information relating to the nature and effect of such differences is presented in Note 14 to the consolidated financial statements.
In preparing these consolidated financial statements, certain reclassifications and rearrangements, including additions of the consolidated statements of cash flows and footnote disclosures, have been made to the consolidated financial statements issued domestically in order to present them in a form which is more familiar to readers outside Japan. In addition, certain reclassifications have been made in the 2012 and 2011 consolidated financial statements to conform to the classifications used in 2013.
The consolidated financial statements are stated in Japanese yen, the currency of the country in which the Company is incorporated and operates. The translation of Japanese yen amounts into U.S. dollar amounts is included solely for the convenience of readers outside Japan and has been made at the rate of ¥94 to $1, the approximate rate of exchange at March 31, 2013. Such translation should not be construed as a representation that the Japanese yen amounts could be converted into U.S. dollars at that or any other rate.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
a. | ConsolidationThe consolidated financial statements as of March 31, 2013 include the accounts of the Company and all 11 (11 in 2012 and 12 in 2011) subsidiaries (together, the Group). |
An investment in an associated company (a company over which the Company has the ability to exercise significant influence) is accounted for by the equity method. Refer to Note 2.e. |
The excess of the cost of an acquisition over the fair value of the net assets of the acquired subsidiaries at the date of acquisition is represented as Goodwill on the consolidated balance sheets and is being amortized on a straight-line basis over a period from 10 to 13 years. |
Intercompany balances and transactions have been eliminated in consolidation. Unrealized profit included in assets resulting from transactions within the Group is eliminated. |
The Company acquired the remaining 5.37% of ownership interest in Nissho on March 18, 2011 and sold all shares of the common stock of Nissho to Yamashita Co, a third party on March 31, 2011 to redeploy the Companys capital to its core food servicing businesses. Nissho had been a subsidiary of the Company engaged in the linen supply businesses and had a December 31 fiscal year-end. As the Company sold its shares on March 31, 2011, Nisshos income and loss, and cash flows from January 1, 2010 to March 31, 2011 were included in the Companys consolidated financial statements. The gross proceeds from the sale were ¥860,000 thousand, and the gain from the sale was ¥313,669 thousand. Nisshos net income after tax during the three months from January 1, 2011 to March 31, 2011 amounted to ¥12,453 thousand. |
b. | Cash and Cash EquivalentsCash equivalents are short-term investments that are readily convertible into cash and that are exposed to insignificant risk of changes in value. Cash equivalents include time deposits and benefit bonds of securities investment trusts, all of which mature or become due within three months of the date of acquisition. |
F-68
Deposit is a contract in which cash is trusted to the subsidiary of the Companys shareholder. The cash can be readily withdrawn within a few days, however the Company does not have the intention to do so as the Company has sufficient working capital and do not need this deposit within a short period of time (i.e., three months). Based on this, the Company did not treat Deposit as Cash and Cash Equivalents. |
c. | InventoriesInventories are mainly stated at the latest purchase price which approximates the first-in, first-out cost method. In accordance with Accounting Standard Board of Japan (the ASBJ) Statement No. 9, Accounting Standard for Measurement of Inventories, inventories held for sale in the ordinary course of business are measured at the lower of cost or net selling value, which is defined as the selling price less additional estimated manufacturing costs and estimated direct selling expenses. The replacement cost may be used in place of the net selling value, if appropriate. |
d. | Marketable and Investment SecuritiesMarketable and investment securities are classified and accounted for, depending on managements intent, as follows: (1) held-to-maturity debt securities, which are expected to be held to maturity with the positive intent and ability to hold to maturity, are reported at amortized cost and (2) available-for-sale securities, which are not classified as the aforementioned securities, are reported at fair value with unrealized gains and losses, net of applicable taxes, reported in a separate component of equity. |
Declines in fair value of held-to-maturity and available-for-sale securities are analyzed to determine if the decline is temporary or other than temporary. When other than temporary declines occur, the investment is reduced to its fair value and the amount of the reduction is reported as a loss. Any subsequent increases in other than temporary declines in fair value will not be realized until the securities are sold. |
Non-marketable available-for-sale securities are stated at cost determined by the moving-average cost method. For other than temporary declines in fair value, non-marketable available-for-sale securities are reduced to net realizable value by a charge to income. |
e. | Investment in Associated CompanyThe Company uses the equity method of accounting for its investment in and earnings or losses of an associated company that the Company does not control but over which the Company does exert significant influence. Significant influence is generally deemed to exist if the Company has an ownership interest in the voting stock of an investee of between 20% and 50%. The Company determines whether a decline in fair value is other than temporary by considering various factors, such as historical financial data, product development activities and the overall health of the affiliates industry. If the Company considers any such decline to be other than temporary, then a write-down to the estimated fair value is recorded. |
f. | Property, Plant and EquipmentProperty, plant and equipment are stated at cost. Depreciation of property, plant and equipment of the Group is computed substantially by the declining-balance method at rates based on the estimated useful lives of the assets, while the straight-line method is applied to the buildings which were acquired after April 1, 1998. The range of useful lives is principally from 3 to 47 years for buildings and structures, from 2 to 10 years for machinery and equipment, from 5 to 20 years for furniture and fixtures, and 5 years for lease assets. |
Amendments to the Corporate Tax Law in Japan have resulted in changes to the depreciation methods used for property, plant and equipment acquired since April 1, 2007. Prior to these amendments, the Groups depreciation methods were based on a depreciation limit of 95% and a residual value of 5% of the acquisition price of an asset. This depreciation limit and residual value were removed and the full acquisition price can now be depreciated to the nominal value of ¥1 at the end of the assets useful life, either on a straight-line basis or on a declining-balance basis. The depreciation rates for both methods, set forth by the Corporate Tax Law, were also amended. Assets acquired on or after April 1, 2007 are depreciated according to the new depreciation methods while existing assets acquired on or before March 31, 2007 are depreciated based on the traditional methods with the depreciation limit written off equally over 5 years. |
F-69
Effective April 1, 2012, as a result of the revision of Japanese corporate tax law in Japan, the Company and its consolidated subsidiaries changed their depreciation method for property, plant and equipment acquired on or after April 1, 2012 to the method stipulated under the revised corporate tax law. The effect of this change was immaterial. |
g. | Software Acquired computer software licenses are capitalised on the basis of the costs incurred to acquire and bring to use the specific software. Costs directly associated with identifiable and unique software products, which are likely to generate economic benefits exceeding costs beyond one year, are recognized as intangible assets. Software is carried at cost less accumulated amortization, which is calculated using the straight-line method over the estimated useful lives of 5 years. |
h. | Impairment of Long-Lived AssetsThe Group reviews its long-lived assets including goodwill for impairment whenever events or changes in circumstance indicate the carrying amount of an asset or asset group may not be recoverable. An impairment loss would be recognized if the carrying amount of an asset or asset group exceeds the sum of the undiscounted future cash flows expected to result from the continued use and eventual disposition of the asset or asset group. The impairment loss would be measured as the amount by which the carrying amount of the asset exceeds its recoverable amount, which is the higher of the discounted cash flows from the continued use and eventual disposition of the asset or the net selling price at disposition. |
For the fiscal years ended March 31, 2013 and March 31, 2012, the Company wrote down the book value of its idle facilities amounting to ¥2,749 thousand ($29 thousand) and ¥14,614 thousand, respectively, as an impairment loss. |
i. | Golf MembershipGolf membership is stated at cost. For other than temporary declines in fair value, golf membership is reduced to net realizable value by a charge to income. |
j. | Operating RightsOperating rights are mainly the right to operate the kiosk in factories which were acquired in December 2005 as part of a business acquisition. Operating rights are carried at cost less accumulated amortization, which is calculated by the straight-line method over 5 years, and were fully amortized during the year ended March 31, 2011. Amortization expenses for the years ended March 31, 2011 amounted to ¥18,947 thousand. |
k. | Lease Deposits and Insurance DepositsLease deposits are mainly related to the Groups office spaces and are refundable at the termination of each lease contract. |
Insurance deposits consist of life insurance and non-life insurance policies for employees, for which the Company is the named beneficiary. Most of the insurance deposits are refundable. |
l. | Retirement and Pension PlansThe Company and certain subsidiaries have defined benefit corporate pension plans covering substantially all of their regular employees. The Group accounts for the liability for retirement benefits based on projected benefit obligations and plan assets at the balance sheet date. |
Retirement benefits to directors and corporate auditors are provided at the amount which would be required if all directors and corporate auditors retired at the balance sheet date. |
m. | LeasesIn March 2007, the ASBJ issued an Accounting StandardASBJ Statement No. 13, Accounting Standard for Lease Transaction and its Implementation Guidance and ASBJ Guidance No. 16, Guidance on Accounting Standard for Lease Transactions. The new standard and related implementation guidance eliminated a transitional rule where companies were allowed to account for finance leases that did not transfer ownership at the end of the lease term as operating leases and required the companies to recognize them as finance leases on their balance sheet. |
In accordance with new accounting standard for lease, the Company capitalized all finance leases on its consolidated balance sheets and is depreciating the lease assets by the straight-line method over their respective lease terms. However, finance leases that do not transfer ownership and whose commencement day falls prior to April 1, 2008 continue to be accounted for as an operating lease with required disclosure in the notes in accordance with an exceptional rule in the new accounting standard. |
F-70
n. | Asset Retirement ObligationsIn March 2008, the ASBJ issued Accounting StandardASBJ Statement No. 18, Accounting Standard for Asset Retirement Obligations and ASBJ Guidance No. 21, Guidance on Accounting Standard for Asset Retirement Obligations. The new standard and related implementation guidance require companies to recognize asset retirement obligations as liabilities and the corresponding asset retirement costs as tangible fixed assets. |
The Group leases several corporate and regional offices and has installed leasehold improvements, such as partitions, counters and phone systems, in these leased properties. Most lease agreements in Japan require the lessee to restore the leased property to its original condition, including removal of the leasehold improvements the lessee has installed when the lessee moves out of the leased property. As a result, the Group will incur certain future costs for the restorations that are required under the lease agreements. |
o. | Financial InstrumentsIn March 2008, the ASBJ revised Accounting StandardASBJ Statement No. 10, Accounting Standard for Financial Instruments and issued ASBJ Guidance No. 19, Guidance on Disclosures about Fair Value of Financial Instruments. This revised standard and related implementation guidance expanded the disclosure requirements relating to the fair value measurements of financial instruments. This standard and implementation guidance were effective for the fiscal years ending on or after March 31, 2010. The adoption of ASBJ Statement No. 10 and related guidance did not have an impact on its consolidated financial position and results of operations. |
p. | Income TaxesThe Group adopted the accounting standard for interperiod allocation of income taxes based on the asset and liability method. Deferred income taxes are recorded to reflect the impact of temporary differences between assets and liabilities recognized for financial reporting purposes and such amounts recognized for tax purposes. These deferred taxes are measured by applying currently enacted tax laws to the temporary differences. The Group determined the recoverability of deferred tax assets based on all future information currently available. |
Amendments to the Japanese tax regulations were enacted into law on November 30, 2011. As a result of these amendments, the statutory income tax rate will be reduced from approximately 40% to 38% effective from the year beginning April 1, 2012, and to approximately 35% effective from the year beginning April 1, 2015 and thereafter. Consequently, the statutory income tax rate utilized for deferred tax assets and liabilities expected to be settled or realized in the period from April 1, 2012 to March 31, 2015 is approximately 38% and for periods subsequent to March 31, 2015 the rate is approximately 35%. The adjustments to deferred tax assets and liabilities resulting from the reduction in the tax rate was an increase in income taxes of ¥176,903 thousand and have been reflected in income taxes in the consolidated statement of income for the year ended March 31, 2012. |
q. | Appropriations of Retained EarningsAppropriations of retained earnings at each year-end are reflected in the consolidated financial statements in the year following shareholders approval. |
r. | Per Share InformationBasic net income per share is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding for the period. Cash dividends per share presented in the accompanying consolidated statement of income are dividends applicable to the respective years including dividends to be paid after the end of the year. |
s. | Revenue RecognitionMost of the operating businesses of the Group have contractual relationships with customers. In these businesses, revenue is recognized in the period in which the services are provided pursuant to the terms of the contracts. Revenue from dining, delivery food and beverage services is recognized upon delivery of food and beverage products. |
t. | Presentation of Comprehensive IncomeIn June 2010, the ASBJ issued Accounting StandardASBJ Statement No. 25, Accounting Standard for Presentation of Comprehensive Income. This new standard requires the presentation of comprehensive income and other comprehensive income on financial statements. This standard was effective for the consolidated financial statements for the periods ending on or after March 31, 2011. The Company presented Accumulated other comprehensive |
F-71
income as of March 31, 2013 and 2012 in the balance sheets, comprehensive income for the years ended March 31, 2013, 2012 and 2011 in the statements of comprehensive income. |
u. | Dividend distributionDividend distribution to the Companys shareholders is recognized as a liability in the Groups financial statements in the period in which the dividends are approved by the Companys shareholders. |
v. | Accounting Changes and Error CorrectionsIn December 2009, the ASBJ issued ASBJ Statement No. 24, Accounting Standard for Accounting Changes and Error Corrections and ASBJ Guidance No. 24, Guidance on Accounting Standard for Accounting Changes and Error Corrections. Accounting treatments under this standard and guidance are as follows: (1) Changes in Accounting PoliciesWhen a new accounting policy is applied following revision of an accounting standard, the new policy is applied retrospectively unless the revised accounting standard includes specific transitional provisions, in which case the entity shall comply with the specific transitional provisions. (2) Changes in PresentationWhen the presentation of financial statements is changed, prior-period financial statements are reclassified in accordance with the new presentation. (3) Changes in Accounting EstimatesA change in an accounting estimate is accounted for in the period of the change if the change affects that period only, and is accounted for prospectively if the change affects both the period of the change and future periods. (4) Corrections of Prior-Period ErrorsWhen an error in prior-period financial statements is discovered, those statements are restated. |
3. MARKETABLE AND INVESTMENT SECURITIES
Marketable and investment securities at March 31, 2013 and 2012 consisted of the following:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
CurrentMarketable securities (debt securities) |
¥ | ¥ | 99,970 | $ | ||||||||
|
|
|
|
|
|
|||||||
Total |
¥ | ¥ | 99,970 | $ | ||||||||
|
|
|
|
|
|
|||||||
Non-current-Investment securities: |
||||||||||||
Marketable equity securities |
¥ | 432,653 | ¥ | 385,114 | $ | 4,603 | ||||||
Non-marketable equity securities |
323,645 | 322,065 | 3,443 | |||||||||
|
|
|
|
|
|
|||||||
Total |
¥ | 756,298 | ¥ | 707,179 | $ | 8,046 | ||||||
|
|
|
|
|
|
Information regarding marketable equity securities classified as available-for-sale and held-to-maturity debt securities at March 31, 2013 and 2012 was as follows:
Thousands of Yen | ||||||||||||||||
Cost | Unrealized Gains |
Unrealized Losses |
Fair Value |
|||||||||||||
March 31, 2013 |
||||||||||||||||
Available-for-sale marketable equity securities |
¥ | 249,142 | ¥ | 193,616 | ¥ | 10,105 | ¥ | 432,653 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | 249,142 | ¥ | 193,616 | ¥ | 10,105 | ¥ | 432,653 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
March 31, 2012 |
||||||||||||||||
Available-for-sale marketable equity securities |
¥ | 296,911 | ¥ | 104,557 | ¥ | 16,354 | ¥ | 385,114 | ||||||||
Held-to-maturity debt securities |
99,970 | 99,970 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | 396,881 | ¥ | 104,557 | ¥ | 16,354 | ¥ | 485,084 | ||||||||
|
|
|
|
|
|
|
|
F-72
Thousands of U.S. Dollars | ||||||||||||||||
Cost | Unrealized Gains |
Unrealized Losses |
Fair Value |
|||||||||||||
March 31, 2013 |
||||||||||||||||
Available-for-sale marketable equity securities |
$ | 2,650 | $ | 2,060 | $ | 107 | $ | 4,603 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 2,650 | $ | 2,060 | $ | 107 | $ | 4,603 | ||||||||
|
|
|
|
|
|
|
|
Carrying amounts of available-for-sale securities whose fair value is not readily determinable as of March 31, 2013 and 2012 were as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Available-for-saleNon-marketable equity securities |
¥ | 323,645 | ¥ | 322,065 | $ | 3,443 |
4. INVENTORIES
Inventories at March 31, 2013 and 2012 consisted of the following:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Merchandise |
¥ | 498,042 | ¥ | 490,857 | $ | 5,298 | ||||||
Raw materials |
1,037,374 | 985,407 | 11,036 | |||||||||
Supplies |
227,385 | 215,204 | 2,419 | |||||||||
|
|
|
|
|
|
|||||||
Total |
¥ | 1,762,801 | ¥ | 1,691,468 | $ | 18,753 | ||||||
|
|
|
|
|
|
5. LIABILITY FOR EMPLOYEES RETIREMENT BENEFITS
The Company and certain subsidiaries have defined benefit corporate pension plans for employees.
Under most circumstances, employees terminating their employment are entitled to retirement benefits determined based on the rate of pay at the time of termination, years of service and certain other factors. Such retirement benefits are made in the form of a lump-sum severance payment from the Company or from certain subsidiaries and annuity payments from a trustee. Employees are entitled to larger payments if the termination is involuntary, by retirement at the mandatory retirement age, or by death.
The liability for employees retirement benefits at March 31, 2013 and 2012 consisted of the following:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Projected benefit obligation |
¥ | 9,250,237 | ¥ | 9,044,586 | $ | 98,407 | ||||||
Fair value of plan assets |
(7,198,328 | ) | (6,232,419 | ) | (76,578 | ) | ||||||
Unrecognized actuarial loss |
(1,082,833 | ) | (1,867,398 | ) | (11,520 | ) | ||||||
|
|
|
|
|
|
|||||||
Net amount on the consolidated balance sheets |
969,076 | 944,769 | 10,309 | |||||||||
Prepaid pension costs (included in other assets) |
(140,439 | ) | (273,560 | ) | (1,494 | ) | ||||||
|
|
|
|
|
|
|||||||
Employees retirement benefits |
¥ | 1,109,515 | ¥ | 1,218,329 | $ | 11,803 | ||||||
|
|
|
|
|
|
F-73
The components of net periodic benefit costs are as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Service cost |
¥ | 590,253 | ¥ | 544,854 | ¥ | 541,931 | $ | 6,279 | ||||||||
Interest cost |
90,884 | 153,935 | 147,971 | 967 | ||||||||||||
Expected return on plan assets |
(124,615 | ) | (114,443 | ) | (118,221 | ) | (1,326 | ) | ||||||||
One-time amortization of prior service credit |
(37,370 | ) | ||||||||||||||
Recognized actuarial loss |
264,415 | 166,003 | 113,761 | 2,813 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net periodic benefit costs |
¥ | 820,937 | ¥ | 750,349 | ¥ | 648,072 | $ | 8,733 | ||||||||
|
|
|
|
|
|
|
|
Assumptions used for the years ended March 31, 2013, 2012 and 2011 are set forth as follows:
2013 | 2012 | 2011 | ||||
Discount rate |
From 0.7% to 1.1% | From 0.7% to 1.1% | 2.0% | |||
Expected rate of return on plan assets |
2.0% | 2.0% | 2.0% | |||
Amortization period of prior service credit relating to the plan amendment |
One-time amortization when incurred | |||||
Recognition period of actuarial gain/loss |
From 5 to 12 years | From 5 to 12 years | From 5 to 12 years |
6. EQUITY
The significant provisions in the Companies Act that affect financial and accounting matters are summarized below:
a. Dividends
Under the Companies Act, companies can pay dividends at any time during the fiscal year in addition to the year-end dividend upon resolution at the shareholders meeting. If companies meet certain criteria such as (1) having a Board of Directors, (2) having independent auditors, and (3) the term of service of the directors is prescribed as one year rather than two years of normal term by its articles of incorporation, the Board of Directors may declare dividends (except for dividends in-kind) at any time during the fiscal year if the company has prescribed so in its articles of incorporation. The Company meets the above criteria.
The Companies Act permits companies to distribute dividends-in-kind (non-cash assets) to shareholders subject to a certain limitation and additional requirements.
Semiannual interim dividends may also be paid once a year upon resolution by the Board of Directors if the articles of incorporation of the company so stipulate. The Companies Act provides certain limitations on the amounts available for dividends or the purchase of treasury stock. The limitation is defined as the amount available for distribution to the shareholders, but the amount of net assets after dividends must be maintained at no less than ¥3,000 thousand.
b. Increases/Decreases and Transfer of Common Stock, Reserve and Surplus
The Companies Act requires that an amount equal to 10% of dividends must be appropriated as a legal reserve (a component of retained earnings) or as additional paid-in capital (a component of capital surplus) depending on the equity account charged upon the payment of such dividends until the total of the aggregate amount of legal reserve and additional paid-in capital equals 25% of the common stock. Under the Companies Act, the total amount of additional paid-in capital and legal reserve may be reversed without limitation. The Companies Act also provides that common stock, legal reserve, additional paid-in capital, other capital surplus
F-74
and retained earnings can be transferred among the accounts under certain conditions upon resolution of the shareholders.
c. Treasury Stock and Treasury Stock Acquisition Rights
The Companies Act also allows for companies to purchase treasury stock and dispose of such treasury stock by resolution of the Board of Directors. The amount of treasury stock purchased cannot exceed the amount available for distribution to the shareholders which is determined by specific formula. Under the Companies Act, stock acquisition rights, which were previously presented as a liability, are now presented as a separate component of equity. The Companies Act also provides that companies can purchase both treasury stock acquisition rights and treasury stock. Such treasury stock acquisition rights are presented as a separate component of equity or deducted directly from stock acquisition rights.
Class shares subject to call option included a call option which allowed the Company, at its option, to exchange all of the class shares subject to call option for new common shares at an exchange ratio of 20,000 class shares to 1 new common share. On November 1, 2007, the Company exercised its call options and exchanged all of its issued class shares for new shares of common stock. Class A shares are the shares without the right for the distribution of residual property.
F-75
7. INCOME TAXES
The tax effects of temporary differences which resulted in deferred tax assets at March 31, 2013 and 2012 are as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Current: |
||||||||||||
Deferred tax assets: |
||||||||||||
Accrued bonuses to employees |
¥ | 1,363,008 | ¥ | 1,318,875 | $ | 14,500 | ||||||
Accrued enterprise taxes |
114,388 | 111,822 | 1,217 | |||||||||
Accrued social insurance contributions by employer |
214,909 | 205,592 | 2,286 | |||||||||
Accrued business office taxes |
16,343 | 17,265 | 174 | |||||||||
Accrued rent |
54,203 | 76,532 | 577 | |||||||||
Other |
51,706 | 38,346 | 550 | |||||||||
|
|
|
|
|
|
|||||||
Total |
1,814,557 | 1,768,432 | 19,304 | |||||||||
|
|
|
|
|
|
|||||||
Net deferred tax assets |
¥ | 1,814,557 | ¥ | 1,768,432 | $ | 19,304 | ||||||
|
|
|
|
|
|
|||||||
Non-current: |
||||||||||||
Deferred tax assets: |
||||||||||||
Employees retirement benefits |
¥ | 392,198 | ¥ | 391,557 | $ | 4,172 | ||||||
Retirement benefits for directors and corporate auditors |
22,429 | 19,789 | 239 | |||||||||
Impairment loss on investment securities |
43,841 | 43,843 | 466 | |||||||||
Impairment loss on golf membership |
11,110 | 11,113 | 118 | |||||||||
Impairment loss on long-lived assets |
61,495 | 66,281 | 654 | |||||||||
Allowance for doubtful accounts |
24,120 | 27,339 | 257 | |||||||||
Asset retirement obligations |
24,085 | 19,492 | 256 | |||||||||
Other |
33,251 | 49,947 | 354 | |||||||||
Less valuation allowance |
(68,655 | ) | (76,099 | ) | (730 | ) | ||||||
|
|
|
|
|
|
|||||||
Total |
543,874 | 553,262 | 5,786 | |||||||||
|
|
|
|
|
|
|||||||
Deferred tax liabilitiesnet unrealized gain on available-for-sale securities |
64,374 | 30,998 | 685 | |||||||||
|
|
|
|
|
|
|||||||
Total |
64,374 | 30,998 | 685 | |||||||||
|
|
|
|
|
|
|||||||
Net deferred tax assets |
¥ | 479,500 | ¥ | 522,264 | $ | 5,101 | ||||||
|
|
|
|
|
|
F-76
A reconciliation between the normal effective statutory tax rate and the actual effective tax rate reflected in the accompanying consolidated statements of income for the years ended March 31, 2013, 2012 and 2011 is as follows:
2013 | 2012 | 2011 | ||||||||||
Normal effective statutory tax rate |
38 | % | 40 | % | 40 | % | ||||||
Expenses not deductible for income tax purposes |
1 | 1 | 1 | |||||||||
Non-deductible per capita levy of local taxes |
6 | 5 | 5 | |||||||||
Non-deductible amortization of goodwill |
2 | 2 | 2 | |||||||||
Effect of amendments to the Japanese tax regulations |
3 | |||||||||||
Othernet |
1 | |||||||||||
|
|
|
|
|
|
|||||||
Actual effective tax rate |
48 | % | 51 | % | 48 | % | ||||||
|
|
|
|
|
|
As discussed in Note 2.p, the tax rate applied to the Company will be reduced approximately from 40% to 38% effective from the year beginning April 1, 2012, and to approximately 35% effective from the year beginning April 1, 2015 and thereafter. The effect of adjustments to deferred assets and liabilities resulting from the reduction in the tax rate was an increase in income taxes of ¥176,903 thousand and have been reflected in income taxes in the consolidate statement of income for the year ended March 31, 2012.
8. LEASES
The Group leases certain machinery, dining support service related equipment, office space and other assets.
Rent expenses for operating leases for the years ended March 31, 2013, 2012 and 2011 amounted to ¥1,295,970 thousand ($13,787 thousand), ¥1,207,902 thousand and ¥1,466,046 thousand, respectively.
Lease payments under finance leases for the years ended March 31, 2013, 2012 and 2011 were ¥30,952 thousand ($329 thousand), ¥132,016 thousand and ¥250,035 thousand, respectively.
Obligations under finance leases and future minimum payments under noncancelable operating leases were as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2013 | |||||||||||||||
Finance Leases |
Operating Leases |
Finance Leases |
Operating Leases |
|||||||||||||
Due within one year |
¥ | 320,960 | ¥ | 106,320 | $ | 3,414 | $ | 1,131 | ||||||||
Due after one year |
747,683 | 174,243 | 7,954 | 1,854 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | 1,068,643 | ¥ | 280,563 | $ | 11,368 | $ | 2,985 | ||||||||
|
|
|
|
|
|
|
|
As discussed in Note 2.m, the Company accounts for leases which existed at the transition date of the new accounting standards on April 1, 2008 and do not transfer ownership of the leased property to the lessee as operating lease transactions.
For the year ended March 31, 2013, such leases no longer existed due to expiration or cancellation.
F-77
Pro forma information of such leased property existing at the transition date on an as if capitalized basis for the year ended March 31, 2012 was as follows:
Thousands of Yen | ||||||||||||
2012 | ||||||||||||
Machinery and Equipment |
Furniture and Fixtures |
Software | ||||||||||
Acquisition cost |
¥ | 3,945 | ¥ | 332,194 | ¥ | 336,139 | ||||||
Accumulated depreciation |
(3,737 | ) | (300,178 | ) | (303,915 | ) | ||||||
|
|
|
|
|
|
|||||||
Net leased asset |
¥ | 208 | ¥ | 32,016 | ¥ | 32,224 | ||||||
|
|
|
|
|
|
Depreciation expense and interest expense as if capitalized:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Depreciation expense |
¥ | 28,981 | ¥ | 124,449 | ¥ | 235,812 | $ | 308 | ||||||||
Interest expense |
360 | 2,299 | 6,856 | 4 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | 29,341 | ¥ | 126,748 | ¥ | 242,668 | $ | 312 | ||||||||
|
|
|
|
|
|
|
|
Depreciation expense and interest expense, which are not reflected in the accompanying consolidated statements of income, are computed by the straight-line method and the interest method, respectively.
9. ASSET RETIREMENT OBLIGATIONS
The Company recognizes asset retirement obligations for its headquarters and some regional offices on the basis of lease agreements. To estimate asset retirement obligations, the Company uses the estimated useful lives for periods ranging from 5 to 29 years and discount rates ranging from 0.326% to 2.130%.
For the year ended March 31, 2013, the Company added ¥9,577 thousand ($102 thousand) to the balance of asset retirement cost because it has become clear that retirement cost for some assets will be more than the estimation previously calculated.
The following represent the changes in asset retirement obligations for the years ended March 31, 2013 and 2012:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Asset retirement obligations at beginning of year |
¥ | 131,213 | ¥ | 199,444 | $ | 1,396 | ||||||
Additions to asset retirement obligations |
3,904 | 6,430 | 42 | |||||||||
Accretion of discount |
2,368 | 2,340 | 25 | |||||||||
Liabilities settled during the year |
(1,239 | ) | (77,001 | ) | (13 | ) | ||||||
Revision to estimate |
9,577 | 102 | ||||||||||
|
|
|
|
|
|
|||||||
Asset retirement obligations at end of year |
¥ | 145,823 | ¥ | 131,213 | $ | 1,552 | ||||||
|
|
|
|
|
|
F-78
10. FINANCIAL INSTRUMENTS
(1) Financial Instruments
The Company obtains operating funds through loans from financial institutions such as banks, and excess funds are invested only in short-term deposit with banks and deposited with subsidiaries of shareholders. Interest rates for the loans are determined based on discussion with the financial institutions considering the current short-term money market.
Credit risks for notes receivable and accounts receivable are managed based on internal risk management policy.
The Companys investment securities mainly consist of equity securities. For listed shares, the Company reviews their fair value on a quarterly basis.
(2) Fair Value of Financial Instruments
The carrying amounts of financial instruments recorded in the Companys consolidated balance sheets and their estimated fair values as of March 31, 2013 and 2012 are as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||||||||||
2013 | 2012 | 2013 | ||||||||||||||||||||||
Carrying Amount (*) |
Fair Value (*) |
Carrying Amount (*) |
Fair Value (*) |
Carrying Amount (*) |
Fair Value (*) |
|||||||||||||||||||
Cash and cash equivalents |
¥ | 7,709,209 | ¥ | 7,709,209 | ¥ | 7,825,451 | ¥ | 7,825,451 | $ | 82,013 | $ | 82,013 | ||||||||||||
Notes receivable and accounts receivable |
14,294,595 | 14,294,595 | 14,621,465 | 14,621,465 | 152,070 | 152,070 | ||||||||||||||||||
Marketable securities |
||||||||||||||||||||||||
Held-to-maturity debt securities |
99,970 | 99,970 | ||||||||||||||||||||||
Deposit |
3,500,000 | 3,500,000 | 6,000,000 | 6,000,000 | 37,234 | 37,234 | ||||||||||||||||||
Investment securities |
||||||||||||||||||||||||
Available-for-sale marketable equity securities |
432,653 | 432,653 | 385,114 | 385,114 | 4,603 | 4,603 | ||||||||||||||||||
Notes payable and accounts payable |
(8,270,963 | ) | (8,270,963 | ) | (8,665,869 | ) | (8,665,869 | ) | (87,989 | ) | (87,989 | ) |
(*) | ( ) indicates liability account. |
In accordance with the requirement of ASBJ Statement No. 10, Accounting Standard for Financial Instruments, the Company has provided the above fair value estimates and the following information about valuation methodologies.
Cash and cash equivalents
Due to nature of cash and cash equivalents, the fair value approximates the carrying value.
Notes receivable and accounts receivable
As these are settled in a short-term period, the fair value approximates the carrying value.
Marketable securities
Due to the nature and remaining terms of held-to-maturity debt securities, the fair value approximates the amortized cost.
F-79
Deposit
As these are settled in a short-term period, the fair value approximates the carrying value.
Investment securities
Equity securities are valued using quoted market prices.
Notes payable and accounts payable
As these are settled in a short-term period, the fair value approximates the carrying value.
Because unlisted shares do not have market price and future cash flows are not estimable, it was determined that obtaining fair value information for non-marketable equity securities was not practicable. Thus, unlisted shares, whose carrying amount as of March 31, 2013 and 2012 were ¥1,234,022 thousand ($13,128 thousand) and ¥1,158,780 thousand, respectively, are not included in Investment securitiesAvailable-for-sale marketable equity securities in the list above.
11. SEGMENT INFORMATION
Information about industry segments of the Group for the years ended March 31, 2013, 2012 and 2011 is set forth below. In March 2011, the Company disposed of its Linen Supply Services.
Industry Segments
a. Sales and Operating Income
Thousands of Yen | ||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Other Services | Total | Eliminations/ Corporate |
Consolidated | |||||||||||||||||||
Sales to customers |
¥ | 144,335,546 | ¥ | 6,503,205 | ¥ | 286,826 | ¥ | 151,125,577 | ¥ | 151,125,577 | ||||||||||||||
Intersegment sales |
2,032,169 | 1,356,948 | 272,106 | 3,661,223 | ¥ | (3,661,223 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total sales |
146,367,715 | 7,860,153 | 558,932 | 154,786,800 | (3,661,223 | ) | 151,125,577 | |||||||||||||||||
Operating expenses |
138,497,390 | 7,736,571 | 621,821 | 146,855,782 | (1,187,042 | ) | 145,668,740 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Operating income (loss) |
¥ | 7,870,325 | ¥ | 123,582 | ¥ | (62,889 | ) | ¥ | 7,931,018 | ¥ | (2,474,181 | ) | ¥ | 5,456,837 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
b. Total Assets, Depreciation, Capital Expenditures and Information about Goodwill
Thousands of Yen | ||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Other Services | Total | Eliminations/ Corporate |
Consolidated | |||||||||||||||||||
Total assets |
¥ | 28,308,623 | ¥ | 2,930,439 | ¥ | 38,242 | ¥ | 31,277,304 | ¥ | 6,445,212 | ¥ | 37,722,516 | ||||||||||||
Depreciation and other |
412,729 | 207,923 | 448 | 621,100 | 195,740 | 816,840 | ||||||||||||||||||
Capital expenditures |
657,684 | 285,038 | 942,722 | 345,938 | 1,288,660 | |||||||||||||||||||
Goodwill: |
||||||||||||||||||||||||
Unamortized balance |
656,522 | 595,711 | 1,252,233 | 1,252,233 | ||||||||||||||||||||
Amortization |
119,368 | 198,570 | 317,938 | 317,938 |
F-80
a. Sales and Operating Income
Thousands of U.S. Dollars | ||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Other Services | Total | Eliminations/ Corporate |
Consolidated | |||||||||||||||||||
Sales to customers |
$ | 1,535,485 | $ | 69,183 | $ | 3,051 | $ | 1,607,719 | $ | 1,607,719 | ||||||||||||||
Intersegment sales |
21,618 | 14,436 | 2,895 | 38,949 | $ | (38,949 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total sales |
1,557,103 | 83,619 | 5,946 | 1,646,668 | (38,949 | ) | 1,607,719 | |||||||||||||||||
Operating expenses |
1,473,376 | 82,304 | 6,615 | 1,562,295 | (12,628 | ) | 1,549,667 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Operating income (loss) |
$ | 83,727 | $ | 1,315 | $ | (669 | ) | $ | 84,373 | $ | (26,321 | ) | $ | 58,052 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
b. Total Assets, Depreciation, Capital Expenditures and Information about Goodwill
Thousands of U.S. Dollars | ||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Other Services |
Total | Eliminations/ Corporate |
Consolidated | |||||||||||||||||||
Total assets |
$ | 301,156 | $ | 31,175 | $ | 407 | $ | 332,738 | $ | 68,565 | $ | 401,303 | ||||||||||||
Depreciation and other |
4,391 | 2,212 | 5 | 6,608 | 2,082 | 8,690 | ||||||||||||||||||
Capital expenditures |
6,997 | 3,032 | 10,029 | 3,680 | 13,709 | |||||||||||||||||||
Goodwill: |
||||||||||||||||||||||||
Unamortized balance |
6,984 | 6,337 | 13,321 | 13,321 | ||||||||||||||||||||
Amortization |
1,270 | 2,112 | 3,382 | 3,382 |
a. Sales and Operating Income
Thousands of Yen | ||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Other Services | Total | Eliminations/ Corporate |
Consolidated | |||||||||||||||||||
Sales to customers |
¥ | 140,895,794 | ¥ | 6,529,919 | ¥ | 182,326 | ¥ | 147,608,039 | ¥ | 147,608,039 | ||||||||||||||
Intersegment sales |
2,027,093 | 1,331,024 | 267,648 | 3,625,765 | ¥ | (3,625,765 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total sales |
142,922,887 | 7,860,943 | 449,974 | 151,233,804 | (3,625,765 | ) | 147,608,039 | |||||||||||||||||
Operating expenses |
134,730,976 | 7,885,922 | 511,873 | 143,128,771 | (1,344,732 | ) | 141,784,039 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Operating income (loss) |
¥ | 8,191,911 | ¥ | (24,979 | ) | ¥ | (61,899 | ) | ¥ | 8,105,033 | ¥ | (2,281,033 | ) | ¥ | 5,824,000 | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
b. Total Assets, Depreciation, Impairment Loss, Capital Expenditures and Information about Goodwill
Thousands of Yen | ||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Other Services | Total | Eliminations/ Corporate |
Consolidated | |||||||||||||||||||
Total assets |
¥ | 28,135,318 | ¥ | 3,111,591 | ¥ | 41,890 | ¥ | 31,288,799 | ¥ | 9,227,202 | ¥ | 40,516,001 | ||||||||||||
Depreciation and other |
391,714 | 157,196 | 505 | 549,415 | 189,080 | 738,495 | ||||||||||||||||||
Capital expenditures |
407,875 | 290,053 | 872 | 698,800 | 258,009 | 956,809 | ||||||||||||||||||
Goodwill: |
||||||||||||||||||||||||
Unamortized balance |
775,889 | 794,282 | 1,570,171 | 1,570,171 | ||||||||||||||||||||
Amortization |
119,368 | 198,570 | 317,938 | 317,938 |
F-81
a. Sales and Operating Income
Thousands of Yen | ||||||||||||||||||||||||||||
2011 | ||||||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Linen Supply |
Other Services |
Total | Eliminations/ Corporate |
Consolidated | ||||||||||||||||||||||
Sales to customers |
¥ | 136,036,998 | ¥ | 6,747,427 | ¥ | 1,827,560 | ¥ | 250,512 | ¥ | 144,862,497 | ¥ | 144,862,497 | ||||||||||||||||
Intersegment sales |
2,043,682 | 1,286,006 | 701,305 | 272,856 | 4,303,849 | ¥ | (4,303,849 | ) | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total sales |
138,080,680 | 8,033,433 | 2,528,865 | 523,368 | 149,166,346 | (4,303,849 | ) | 144,862,497 | ||||||||||||||||||||
Operating expenses |
129,709,807 | 7,950,403 | 2,278,133 | 604,631 | 140,542,974 | (1,923,284 | ) | 138,619,690 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Operating income (loss) |
¥ | 8,370,873 | ¥ | 83,030 | ¥ | 250,732 | ¥ | (81,263 | ) | ¥ | 8,623,372 | ¥ | (2,380,565 | ) | ¥ | 6,242,807 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intersegment sales and operating expenses of Food Business for the year ended March 31, 2011 have been corrected due to an immaterial error from ¥1,166,926 thousand to ¥2,043,682 thousand and from ¥128,833,051 thousand to ¥129,709,807 thousand, respectively. In addition, intersegment sales and operating expenses of Eliminations/Corporate for the year ended March 31, 2011 have been corrected from ¥(3,427,093) thousand to ¥(4,303,849) thousand and from ¥(1,046,528) thousand to ¥(1,923,284) thousand, respectively.
b. Total Assets, Depreciation, Capital Expenditures and Information about Goodwill
Thousands of Yen | ||||||||||||||||||||||||||||
2011 | ||||||||||||||||||||||||||||
Food Business | Office Coffee and Tea Services |
Linen Supply |
Other Services |
Total | Eliminations/ Corporate |
Consolidated | ||||||||||||||||||||||
Total assets |
¥ | 27,149,121 | ¥ | 3,146,105 | ¥ | 40,485 | ¥ | 30,335,711 | ¥ | 8,111,664 | ¥ | 38,447,375 | ||||||||||||||||
Depreciation and other |
329,801 | 115,262 | ¥ | 68,755 | 214 | 514,032 | 244,465 | 758,497 | ||||||||||||||||||||
Capital expenditures |
622,455 | 298,000 | 3,524 | 526 | 924,505 | 516,488 | 1,440,993 | |||||||||||||||||||||
Goodwill: |
||||||||||||||||||||||||||||
Unamortized balance |
895,257 | 992,852 | 1,888,109 | 1,888,109 | ||||||||||||||||||||||||
Amortization |
119,368 | 198,570 | 24,769 | 342,707 | 342,707 |
Presentation for the year ended March 31, 2011 was corrected to add information about goodwill in accordance with ASBJ Statement No. 17, Accounting Standard for Disclosures about Segments of an Enterprise and Related Information and ASBJ Guidance No. 20, Guidance on Accounting Standard for Disclosures about Segments of an Enterprise and Related Information.
The Company has no branch offices or subsidiaries in foreign countries, therefore geographic segment information has not been disclosed. Also, sales to foreign customers have not been presented because neither the Company nor its subsidiaries recorded foreign sales for the years ended March 31, 2013, 2012 and 2011.
F-82
12. RELATED PARTY TRANSACTIONS
Transactions between the Company and subsidiaries of shareholders and other related parties for the years ended March 31, 2013, 2012 and 2011 were as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Tax accountant fee to corporate auditors |
¥ | 2,357 | ¥ | 2,014 | ¥ | 2,014 | $ | 25 | ||||||||
Purchase transactions with subsidiaries of shareholders during the year |
11,366,274 | 10,688,971 | 9,995,806 | 120,918 | ||||||||||||
Deposit made to subsidiaries of shareholders during the year (*) |
5,679,641 | 4,892,076 | 1,460,273 | 60,422 |
Note: | (*) Deposit made to subsidiaries of shareholders generally has terms of less than one month. The amounts in the table represent the average balances of the deposits during the year. |
The balances due to or from these subsidiaries of shareholders at March 31, 2013 and 2012 were as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Deposits to subsidiaries of shareholders |
3,500,000 | 6,000,000 | 37,234 | |||||||||
Accounts payable to subsidiaries of shareholders |
2,004,693 | 1,940,478 | 21,327 |
13. SUBSEQUENT EVENT
On June 21, 2013, the shareholders of the Company approved payments of cash dividends to the shareholders of record on March 31, 2013 of ¥1,044 thousand ($11 thousand) per share or a total of ¥578,376 thousand ($6,153 thousand) at the Companys ordinary general meeting of shareholders.
14. RECONCILIATION TO U.S. GAAP
The consolidated financial statements of the Group are prepared in accordance with Japanese GAAP, which varies in certain significant respects from U.S. GAAP. The following are reconciliations of equity and net income of the Company applying U.S. GAAP instead of Japanese GAAP.
The Groups equity as of March 31, 2013 and 2012 is reconciled as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Equity in accordance with Japanese GAAP |
¥ | 12,652,584 | ¥ | 15,157,036 | $ | 134,602 | ||||||
|
|
|
|
|
|
|||||||
Differences arising from different accounting for: |
||||||||||||
a. Goodwill, intangible assets and other business combination related adjustments |
6,998,290 | 7,288,273 | 74,450 | |||||||||
b. Accrued vacation |
(2,399,827 | ) | (2,311,800 | ) | (25,530 | ) | ||||||
c. Employees retirement benefits |
(1,408,285 | ) | (2,223,798 | ) | (14,982 | ) | ||||||
d. Capital leases |
(12,745 | ) | (16,452 | ) | (136 | ) | ||||||
e. Tax effect of adjustments |
(50,481 | ) | 60,040 | (537 | ) | |||||||
|
|
|
|
|
|
|||||||
Total |
3,126,952 | 2,796,263 | 33,265 | |||||||||
|
|
|
|
|
|
|||||||
Equity in accordance with U.S. GAAP |
¥ | 15,779,536 | ¥ | 17,953,299 | $ | 167,867 | ||||||
|
|
|
|
|
|
F-83
The Groups net income for the years ended March 31, 2013, 2012 and 2011 is reconciled as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Net income in accordance with Japanese GAAP |
¥ | 2,893,556 | ¥ | 2,926,641 | ¥ | 3,456,308 | $ | 30,783 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Differences arising from different accounting for: |
||||||||||||||||
a. Goodwill, intangible assets and other business combination related adjustments |
(289,983 | ) | (95,983 | ) | (88,190 | ) | (3,086 | ) | ||||||||
b. Accrued vacation |
(88,027 | ) | (45,588 | ) | (13,270 | ) | (936 | ) | ||||||||
c. Employees retirement benefits |
99,262 | 36,265 | (19,564 | ) | 1,056 | |||||||||||
d. Capital leases |
3,707 | (2,944 | ) | 7,716 | 39 | |||||||||||
e. Tax effect of adjustments |
143,326 | 226,435 | 173,776 | 1,525 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
(131,715 | ) | 118,185 | 60,468 | (1,402 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income in accordance with U.S. GAAP |
¥ | 2,761,841 | ¥ | 3,044,826 | ¥ | 3,516,776 | $ | 29,381 | ||||||||
|
|
|
|
|
|
|
|
ASC 220, Comprehensive Income, establishes rules for the reporting of comprehensive income and its components. The following table summarizes the components of comprehensive income under U.S. GAAP for the years ended March 31, 2013, 2012 and 2011:
Thousands of Yen | Thousands of U.S. Dollars | |||||||||||||||||||||||
2013 | 2013 | |||||||||||||||||||||||
Gain (loss) before income tax expense |
Income tax (expense) benefit |
Gain (loss) after income tax expense |
Gain (loss) before income tax expense |
Income tax (expense) benefit |
Gain (loss) after income tax expense |
|||||||||||||||||||
Net income |
¥ | 2,761,841 | $ | 29,381 | ||||||||||||||||||||
Other comprehensive income: |
||||||||||||||||||||||||
Unrealized gain (loss) on available-for-sale securities |
¥ | 102,240 | ¥ | (33,376 | ) | 68,864 | $ | 1,087 | $ | (354 | ) | 733 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
102,240 | (33,376 | ) | 68,864 | 1,087 | (354 | ) | 733 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Gain (loss) associated with employees retirement benefits |
644,294 | (228,389 | ) | 415,905 | 6,854 | (2,429 | ) | 4,425 | ||||||||||||||||
Reclassification adjustments for loss included in net income |
71,957 | (25,458 | ) | 46,499 | 766 | (272 | ) | 494 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
716,251 | (253,847 | ) | 462,404 | 7,620 | (2,701 | ) | 4,919 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Other comprehensive income |
818,491 | (287,223 | ) | 531,268 | 8,707 | (3,055 | ) | 5,652 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Comprehensive income |
¥ | 3,293,109 | $ | 35,033 | ||||||||||||||||||||
|
|
|
|
F-84
Thousands of Yen | ||||||||||||
2012 | ||||||||||||
|
Gain (loss) before income tax expense |
|
|
Income tax (expense) benefit |
|
|
Gain (loss) after income tax expense |
| ||||
Net income |
¥ | 3,044,826 | ||||||||||
Other comprehensive income: |
||||||||||||
Unrealized gain (loss) on available-for-sale securities |
¥ | (10,237 | ) | ¥ | 8,781 | (1,456 | ) | |||||
Reclassification adjustments for loss included in net income |
9,696 | (3,434 | ) | 6,262 | ||||||||
|
|
|
|
|
|
|||||||
Total |
(541 | ) | 5,347 | 4,806 | ||||||||
|
|
|
|
|
|
|||||||
Gain (loss) associated with employees retirement benefits |
(423,086 | ) | 167,941 | (255,145 | ) | |||||||
Reclassification adjustments for loss included in net income |
49,835 | (17,073 | ) | 32,762 | ||||||||
|
|
|
|
|
|
|||||||
Total |
(373,251 | ) | 150,868 | (222,383 | ) | |||||||
|
|
|
|
|
|
|||||||
Other comprehensive income |
(373,792 | ) | 156,215 | (217,577 | ) | |||||||
|
|
|
|
|
|
|||||||
Comprehensive income |
¥ | 2,827,249 | ||||||||||
|
|
Thousands of Yen | ||||||||||||
2011 | ||||||||||||
|
Gain (loss) before income tax expense |
|
|
Income tax (expense) benefit |
|
|
Gain (loss) after income tax expense |
| ||||
Net income |
¥ | 3,516,776 | ||||||||||
Other comprehensive income: |
||||||||||||
Unrealized gain (loss) on available-for-sale securities |
¥ | (69,214 | ) | ¥ | 28,523 | (40,691 | ) | |||||
|
|
|
|
|
|
|||||||
Total |
(69,214 | ) | 28,523 | (40,691 | ) | |||||||
|
|
|
|
|
|
|||||||
Gain (loss) associated with employees retirement benefits |
(443,337 | ) | 178,824 | (264,513 | ) | |||||||
Reclassification adjustments for loss included in net income |
16,844 | (6,290 | ) | 10,554 | ||||||||
|
|
|
|
|
|
|||||||
Total |
(426,493 | ) | 172,534 | (253,959 | ) | |||||||
|
|
|
|
|
|
|||||||
Other comprehensive income |
(495,707 | ) | 201,057 | (294,650 | ) | |||||||
|
|
|
|
|
|
|||||||
Comprehensive income |
¥ | 3,222,126 | ||||||||||
|
|
The analysis of changes in equity under U.S. GAAP is as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Equity at beginning of year |
¥ | 17,953,299 | ¥ | 16,837,910 | ¥ | 15,379,047 | $ | 190,993 | ||||||||
Total comprehensive income (net of tax) |
3,293,109 | 2,827,249 | 3,222,126 | 35,033 | ||||||||||||
Cash dividends |
(5,466,872 | ) | (1,711,860 | ) | (1,710,752 | ) | (58,159 | ) | ||||||||
Noncontrolling interests |
(52,511 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Equity at end of year |
¥ | 15,779,536 | ¥ | 17,953,299 | ¥ | 16,837,910 | $ | 167,867 | ||||||||
|
|
|
|
|
|
|
|
F-85
The following is a summary of the significant adjustments made to equity and net income to reconcile the Japanese GAAP results with U.S. GAAP. The paragraphs below refer to the corresponding items set forth above.
a. | Business Combinations |
Under Japanese GAAP, the Business Accounting Council issued a Statement of Opinion, Accounting for Business Combinations in October 2003 which was effective for fiscal years beginning on or after April 1, 2006. Before this statement, there was no specific accounting standard addressing accounting for business combinations; therefore, companies followed common business practices dictated by the Commercial Code of Japan (the Code), currently code of the Companies Act.
Under the purchase method generally applied by Japanese companies, goodwill is measured as the excess of purchase price over the carrying values of the individual assets acquired and liabilities assumed at the acquisition date. Subsequently, the goodwill is amortized on a straight-line basis over a number of years that may vary, depending on the nature of the acquired business.
Under U.S. GAAP, all business combinations (excluding combinations of entities under common control) are accounted for using the acquisition method as defined in ASC 805, Business Combinations. ASC 805 requires that the net assets, tangible and identifiable intangible assets less liabilities of the acquired company be recorded at fair value, with the excess of the cost of an acquired company over the fair value of the acquired net assets recorded as goodwill. Also, after the adoption of ASC 350, IntangiblesGoodwill and Other, goodwill and recognized indefinite-lived intangible assets in a business combination are not amortized, but are tested for impairment at least annually, as well as on an interim basis if events or changes in circumstances indicate that the goodwill or indefinite-lived intangible assets might be impaired. Separate intangible assets that are not deemed to have an indefinite life are amortized over their expected economic life and also tested for impairment.
In 2000, the Company purchased 100% of the outstanding common stock of KK Kizembo (Kizembo). In December 2005, the Company purchased 100% of the common stock of Yamato Corporation (Yamato). In July 2002, the Company purchased 100% of the common stock of Atlas Co. (Atlas) which owned 52.8% of the common stock of Mefos Co. (Mefos); subsequently, Atlas acquired the remaining 47.2% of common stock of Mefos in a series of step acquisitions that concluded in December 2005.
In March 2006, the Company and Atlas merged, with the Company as the surviving entity. As a result of the merger, the Company directly held 100% of the common stock of Mefos. Under Japanese GAAP, and in line with the Code, the Company consolidated the net carrying amount of the assets and liabilities of Mefos and wrote off the unamortized amount of goodwill related to the previous acquisition of Atlas and its subsidiary, Mefos.
Under U.S. GAAP, the March 2006 merger between the Company and Atlas was accounted for as a transfer of net assets or equity interests between entities under common control. Such transfer is accounted for by the receiving entity (the Company) at the carrying amounts, including goodwill in the accounts of the transferring entity (Atlas) at the date of the transfer. Consequently, the one-time accelerated goodwill amortization charge is reversed for U.S. GAAP reporting purposes.
On November 1, 2007, the Company completed its merger with Yamato.
On April 1, 2008, the Company completed its merger with its wholly owned subsidiaries, Kizembo and AIM Dining Support Co., Ltd. All assets and liabilities of these entities were transferred to the Company at the appropriate carrying amount and there is no impact on the Companys consolidated financial statements or the reconciliation to U.S. GAAP.
F-86
Goodwill:
The following table presents the carrying amount of goodwill under Japanese GAAP and U.S. GAAP as of March 31, 2013 and 2012:
Thousands of Yen | Thousands of U.S. Dollars | |||||||||||||||||||||||||||||||||||||||
2013 | 2013 | |||||||||||||||||||||||||||||||||||||||
Japanese GAAP | U.S. GAAP | Japanese GAAP | U.S. GAAP | |||||||||||||||||||||||||||||||||||||
Acquired |
Carrying Amount |
Accumulated Amortization |
Net Carrying Amount |
Carrying Amount, Net of Impairment |
Goodwill Related Reconciliation Item |
Carrying Amount |
Accumulated Amortization |
Net Carrying Amount |
Carrying Amount, Net of Impairment |
Goodwill Related Reconciliation Item |
||||||||||||||||||||||||||||||
Kizembo |
¥ | 482,935 | ¥ | (482,935) | ¥ | 332,018 | ¥ | 332,018 | $ | 5,138 | $ | (5,138 | ) | $ | 3,532 | $ | 3,532 | |||||||||||||||||||||||
Mefos |
6,175,740 | (5,519,219 | ) | ¥ | 656,521 | 1,875,532 | 1,219,011 | 65,699 | (58,715 | ) | $ | 6,984 | 19,952 | 12,968 | ||||||||||||||||||||||||||
Yamato |
2,982,465 | (2,386,753 | ) | 595,712 | 1,918,419 | 1,322,707 | 31,728 | (25,391 | ) | 6,337 | 20,408 | 14,071 | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||
Total |
¥ | 9,641,140 | ¥ | (8,388,907) | ¥ | 1,252,233 | ¥ | 4,125,969 | ¥ | 2,873,736 | $ | 102,565 | $ | (89,244 | ) | $ | 13,321 | $ | 43,892 | $ | 30,571 | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Thousands of Yen | ||||||||||||||||||||
2012 | ||||||||||||||||||||
Japanese GAAP | U.S. GAAP | |||||||||||||||||||
Acquired Company |
Carrying Amount |
Accumulated Amortization |
Net Carrying Amount |
Carrying Amount, Net of Impairment |
Goodwill Related Reconciliation Item |
|||||||||||||||
Kizembo |
¥ | 482,935 | ¥ | (482,935 | ) | ¥ | 332,018 | ¥ | 332,018 | |||||||||||
Mefos |
6,175,740 | (5,399,851 | ) | ¥ | 775,889 | 1,875,532 | 1,099,643 | |||||||||||||
Yamato |
2,982,465 | (2,188,183 | ) | 794,282 | 2,112,419 | 1,318,137 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | 9,641,140 | ¥ | (8,070,969 | ) | ¥ | 1,570,171 | ¥ | 4,319,969 | ¥ | 2,749,798 | |||||||||
|
|
|
|
|
|
|
|
|
|
For U.S. GAAP reporting purposes, the Company recognized goodwill impairment loss of ¥194,000 thousand ($2,063 thousand) for the year ended March 31, 2013 in connection with goodwill of Yamato, which represents the office coffee and tea services (the OCS) business reporting unit. Goodwill was impaired primarily due to reduced profitability of the OCS business reporting unit resulting from macro and micro economic factors surrounding the OCS business reporting unit.
The amount of the impairment was determined based on the estimated fair value of the OCS business reporting unit using a discounted cash flow model as compared to the carrying amount of the OCS business reporting unit, including goodwill.
For the years ended March 31, 2013, 2012 and 2011, the net income reconciliation item related to goodwill represents the reversal of the goodwill amortization charge amounting to ¥317,938 thousand ($3,382 thousand), ¥317,938 thousand and ¥317,938 thousand, respectively, recorded under Japanese GAAP and the recognition of goodwill impairment loss under U.S. GAAP as referred above.
Under Japanese GAAP, the estimated aggregate amortization expense for goodwill for the next five years is as follows:
Year Ending March 31 |
Thousands of Yen | Thousands of U.S. Dollars |
||||||
2014 |
¥ | 317,938 | $ | 3,382 | ||||
2015 |
317,938 | 3,382 | ||||||
2016 |
317,938 | 3,382 | ||||||
2017 |
119,368 | 1,270 | ||||||
2018 |
119,368 | 1,270 |
F-87
Adjustment to intangible assets:
Under Japanese GAAP, the Company did not recognize identifiable intangible assets, other than goodwill, as part of purchase price allocation in a business combination.
In connection with the above-mentioned acquisitions, under U.S. GAAP, the Company recognized identifiable intangible assets and is amortizing those over the expected economic life of each intangible asset. The table below presents the gross carrying amount, accumulated amortization and net carrying amount, in total and by major class of intangible assets acquired in the above-mentioned business combinations as of March 31, 2013 and 2012:
Thousands of Yen | Thousands of U.S. Dollars | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | ||||||||||||||||||||||||||||||||||
Gross Carrying Amount |
Accumulated Amortization |
Net Carrying Amount |
Gross Carrying Amount |
Accumulated Amortization |
Net Carrying Amount |
Gross Carrying Amount |
Accumulated Amortization |
Net Carrying Amount |
||||||||||||||||||||||||||||
Customer contracts |
¥ | 7,366,836 | ¥ | (3,579,582) | ¥ | 3,787,254 | ¥ | 7,366,836 | ¥ | (3,165,661) | ¥ | 4,201,175 | $ | 78,371 | $ | (38,081 | ) | $ | 40,290 | |||||||||||||||||
Trademarks |
361,723 | 361,723 | 361,723 | 361,723 | 3,848 | 3,848 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Total |
¥ | 7,728,559 | ¥ | (3,579,582) | ¥ | 4,148,977 | ¥ | 7,728,559 | ¥ | (3,165,661) | ¥ | 4,562,898 | $ | 82,219 | $ | (38,081 | ) | $ | 44,138 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the years ended March 31, 2013, 2012 and 2011, the net income reconciliation item related to intangible assets represents the intangible assets amortization charge recognized under U.S. GAAP amounting to ¥413,921 thousand ($4,403 thousand), ¥413,921 thousand and ¥413,921 thousand, respectively.
Customer contracts are being amortized on a straight-line basis over periods of 14 to 20 years. Trademarks are not amortized but are tested for impairment at least annually, as well as on an interim basis if events or changes in the circumstances indicate that the trademarks might be impaired.
Under U.S. GAAP, the estimated aggregate amortization expense for intangible assets acquired for the next five years is as follows:
Year Ending March 31 |
Thousands of Yen |
Thousands of U.S. Dollars |
||||||
2014 |
¥ | 413,921 | $ | 4,403 | ||||
2015 |
413,921 | 4,403 | ||||||
2016 |
413,921 | 4,403 | ||||||
2017 |
413,921 | 4,403 | ||||||
2018 |
413,921 | 4,403 |
Other adjustments in connection with business combinations:
The following table represents a summary of other adjustments in connection with the Yamato business combination as described above as of March 31, 2013 and 2012 and for the years ended March 31, 2011:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
As of March 31, 2013 |
As of March 31, 2012 |
Year Ended March 31, 2011 |
As of March 31, 2013 |
|||||||||||||
Amortization of deferred revenue recognized under U.S. GAAP which was not recognized under Japanese GAAP (*) |
¥ | 7,793 | ||||||||||||||
Land |
¥ | (24,423 | ) | ¥ | (24,423 | ) | $ | (259 | ) | |||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | (24,423 | ) | ¥ | (24,423 | ) | ¥ | 7,793 | $ | (259 | ) | |||||
|
|
|
|
|
|
|
|
F-88
(*) | Under Japanese GAAP, Yamato, the acquired company, had arrangements that required Yamatos customers to pay a certain amount of revenue at the start of the contract prior to the acquisition date. These up-front payments were characterized as non-refundable and were related to services to be provided in future years. Yamato recognized these payments as revenue when cash is received. Under U.S. GAAP, the up-front payments are deferred over the longer of the contractual life of an arrangement or the customer relationship life. In addition, if the balance sheet of an acquired entity immediately before the acquisition date includes deferred revenue, the acquiring entity is required to recognize a liability if such deferred revenue represents a legal obligation assumed by the acquiring entity. The amount assigned to that liability is based on its estimated fair value at the acquisition date. |
Business combinations adjustments summary:
The following table summarizes the U.S. GAAP adjustments related to the above-mentioned business combinations:
Thousands of Yen | Thousands of U.S. Dollars | |||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||||||||||||||
As of March 31, 2013 |
Year Ended March 31, 2013 |
As of March 31, 2012 |
Year Ended March 31, 2012 |
Year Ended March 31, 2011 |
As of March 31, 2013 |
Year Ended March 31, 2013 |
||||||||||||||||||||||
Goodwill |
¥ | 2,873,736 | ¥ | 123,938 | ¥ | 2,749,798 | ¥ | 317,938 | ¥ | 317,938 | $ | 30,571 | $ | 1,317 | ||||||||||||||
Intangible assets |
4,148,977 | (413,921 | ) | 4,562,898 | (413,921 | ) | (413,921 | ) | 44,138 | (4,403 | ) | |||||||||||||||||
Land and deferred revenue |
(24,423 | ) | (24,423 | ) | 7,793 | (259 | ) | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total |
¥ | 6,998,290 | ¥ | (289,983) | ¥ | 7,288,273 | ¥ | (95,983 | ) | ¥ | (88,190) | $ | 74,450 | $ | (3,086 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
b. Accrued Vacation
Japanese GAAP does not specifically require a company to accrue liabilities for future compensated absences (short-term employee benefits). Under U.S. GAAP, in accordance with ASC 710, CompensationGeneral, absences such as vacations are accrued when earned by employees.
c. Employees Retirement Benefits
Japanese GAAP and U.S. GAAP follow similar principles in accounting for retirement benefit obligations; however, there are currently several differences in the detailed application of these principles (See Note g for Recent Accounting Pronouncements Adopted and to Be Adopted in Future Periods for Retirement Benefits in Japanese GAAP).
The following represent the most relevant differences between Japanese GAAP and U.S. GAAP in connection with assumptions used to calculate the pension liability:
(1) | Unlike U.S. GAAP, there is no corridor approach and actuarial gain or loss is always amortized under Japanese GAAP. Instead, Japanese GAAP allows the entity to use the same assumed discount rate as the prior year if it fluctuates within the permitted range as described in (3) below. |
(2) | Under Japanese GAAP, the prior service credits of ¥37,370 thousand which were recognized as a result of amendments of the pension plans were included in net periodic pension credit entirely in the year ended March 31, 2011. Under U.S. GAAP, the prior service credit was recognized as a charge to other comprehensive income at the date of amendment and amortized as a component of net periodic pension cost over the average remaining service period. Unamortized prior service credits as of March 31, 2013 and March 31, 2012 were ¥210,783 thousand ($2,242 thousand) and ¥237,224 thousand, respectively, and were included in accumulated other comprehensive income. |
F-89
(3) | Under Japanese GAAP, it is acceptable to select the same discount rate as the prior year as long as there would be only a minor difference between the projected benefit obligations estimated using the rate as of the balance sheet date and the one estimated using the prior years rate. However, there is no such exception under U.S. GAAP. |
(4) | Under Japanese GAAP, it is not required to recognize the overfunded or underfunded status of a defined benefit postretirement plan in accumulated other comprehensive income in the balance sheet. Under U.S. GAAP, such amounts are recognized in accumulated other comprehensive income, net of tax, in the balance sheet, and also the actuarial gains or losses and prior service costs that arise during the period but are not recognized as components of net periodic benefit cost are recognized as a component of other comprehensive income. |
The liability for employees retirement benefits at March 31, 2013 and 2012 under U.S. GAAP consisted of the following:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||
2013 | 2012 | 2013 | ||||||||||
Projected benefit obligation |
¥ | (9,575,689 | ) | ¥ | (9,400,986 | ) | $ | (101,869 | ) | |||
Fair value of plan assets |
7,198,328 | 6,232,419 | 76,578 | |||||||||
|
|
|
|
|
|
|||||||
Net liability under U.S. GAAP |
(2,377,361 | ) | (3,168,567 | ) | (25,291 | ) | ||||||
|
|
|
|
|
|
|||||||
Net liability under Japanese GAAP: |
||||||||||||
Employees retirement benefits |
(1,109,515 | ) | (1,218,329 | ) | (11,803 | ) | ||||||
Prepaid pension costs |
140,439 | 273,560 | 1,494 | |||||||||
|
|
|
|
|
|
|||||||
Total |
(969,076 | ) | (944,769 | ) | (10,309 | ) | ||||||
|
|
|
|
|
|
|||||||
Equity reconciliation item |
¥ | (1,408,285 | ) | ¥ | (2,223,798 | ) | $ | (14,982 | ) | |||
|
|
|
|
|
|
Under U.S. GAAP, the components of net periodic benefit costs for the years ended March 31, 2013, 2012 and 2011 are as follows:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Service cost |
¥ | 676,744 | ¥ | 656,630 | ¥ | 648,075 | $ | 7,199 | ||||||||
Interest cost |
101,071 | 125,660 | 119,879 | 1,075 | ||||||||||||
Amortization of prior service credit |
(26,442 | ) | (26,899 | ) | (26,550 | ) | (281 | ) | ||||||||
Expected return on plan assets |
(128,097 | ) | (118,041 | ) | (117,162 | ) | (1,363 | ) | ||||||||
Recognized actuarial loss |
98,399 | 76,734 | 43,394 | 1,047 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net periodic benefit costs under U.S. GAAP |
721,675 | 714,084 | 667,636 | 7,677 | ||||||||||||
Net periodic benefit costs under Japanese GAAP |
820,937 | 750,349 | 648,072 | 8,733 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income reconciliation item |
¥ | (99,262 | ) | ¥ | (36,265 | ) | ¥ | 19,564 | $ | (1,056 | ) | |||||
|
|
|
|
|
|
|
|
F-90
The U.S. GAAP assumptions used for the years ended March 31, 2013, 2012 and 2011 are set forth below:
2013 | 2012 | 2011 | ||||||||||
Discount rate |
1.10 | % | 1.10 | % | 1.50 | % | ||||||
Expected rate of return on plan assets |
2.0 | % | 2.0 | % | 2.0 | % | ||||||
Amortization period of prior service credit relating to the plan amendment |
From 8 to 12 years | From 8 to 12 years | From 8 to 12 years | |||||||||
Recognition period of actuarial gain/loss |
From 8 to 12 years | From 5 to 12 years | From 5 to 12 years |
d. Capital Leases
Previously, Japanese GAAP permitted finance leases that did not transfer ownership of the leased property to a lessee to be accounted for as operating lease transactions if certain as if capitalized information was disclosed in the notes to the lessees financial statements. However, as explained in Note 2.m, the new accounting standard for lease required the Company to capitalize finance leases on its consolidated balance sheet.
Finance leases that do not transfer ownership and whose commencement day falls prior to the first year of implementation of this accounting standard may continue to be accounted for as an operating lease with required pro forma disclosure in the notes in accordance with an exception rule in the new accounting standard. Refer to Notes 2.m and 8.
U.S. GAAP requires the application of ASC 840, Leases, in order to determine whether a lease should be classified as an operating or capital lease. The Group analyzed its leases in accordance with the criteria specified in ASC 840 and determined that certain of its leases should be capitalized.
The following table presents a summary of the differences between Japanese GAAP and U.S. GAAP for lease-related assets and liabilities as of March 31, 2013, 2012 and 2011, and income statement related information for the years ended March 31, 2013, 2012 and 2011:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Machinery and equipment |
¥ | 69,451 | ¥ | 77,032 | ¥ | 91,666 | $ | 739 | ||||||||
Furniture and fixtures |
533,333 | 886,733 | 1,211,962 | 5,674 | ||||||||||||
Other assets |
18,713 | 50,694 | 95,727 | 198 | ||||||||||||
Accumulated depreciation |
(285,510 | ) | (608,492 | ) | (1,006,895 | ) | (3,037 | ) | ||||||||
Lease obligation |
(348,732 | ) | (422,504 | ) | (406,439 | ) | (3,710 | ) | ||||||||
Other long-term liabilities |
85 | 471 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net impact on equity |
¥ | (12,745 | ) | ¥ | (16,452 | ) | ¥ | (13,508 | ) | $ | (136 | ) | ||||
|
|
|
|
|
|
|
|
|||||||||
Reversal of operating lease expense |
¥ | 170,842 | ¥ | 259,943 | ¥ | 390,044 | $ | 1,817 | ||||||||
Lease asset depreciation under U.S. GAAP |
(158,839 | ) | (253,049 | ) | (367,066 | ) | (1,690 | ) | ||||||||
Lease related interest expense under U.S. GAAP |
(8,296 | ) | (9,838 | ) | (15,262 | ) | (88 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Lease related impact on net income before income tax |
¥ | 3,707 | ¥ | (2,944 | ) | ¥ | 7,716 | $ | 39 | |||||||
|
|
|
|
|
|
|
|
F-91
e. Tax Effect of Adjustments
Accounting for income taxes in accordance with Japanese GAAP is substantially similar to accounting for income taxes in accordance with ASC 740, Income Taxes. Other than the deferred tax impact related to the U.S. GAAP reconciliation items, there is no material difference in connection with accounting for income taxes resulting from the application of U.S. GAAP.
The following table illustrates the impact on the Japanese GAAP deferred tax assets and liabilities in the Groups consolidated balance sheets as a result of the U.S. GAAP adjustments as of March 31, 2013 and 2012:
Thousands of Yen | Thousands of U.S. Dollars | |||||||||||||||||||||||
2013 | 2013 | |||||||||||||||||||||||
Japanese GAAP Balances |
ASC 740 Applied to U.S. GAAP Adjustments |
U.S. GAAP Balances |
Japanese GAAP Balances |
ASC 740 Applied to U.S. GAAP Adjustments |
U.S. GAAP Balances |
|||||||||||||||||||
Balance sheet: |
||||||||||||||||||||||||
Current deferred tax assets |
¥ | 1,814,557 | ¥ | 906,836 | ¥ | 2,721,393 | $ | 19,304 | $ | 9,647 | $ | 28,951 | ||||||||||||
Non-current deferred tax assets |
479,500 | 13,110 | 492,610 | 5,101 | 140 | 5,241 | ||||||||||||||||||
Non-current deferred tax liabilities |
(970,427 | ) | (970,427 | ) | (10,324 | ) | (10,324 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net deferred tax assets |
¥ | 2,294,057 | ¥ | (50,481 | ) | ¥ | 2,243,576 | $ | 24,405 | $ | (537 | ) | $ | 23,868 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Thousands of Yen | ||||||||||||
2012 | ||||||||||||
Japanese GAAP Balances |
ASC 740 Applied to U.S. GAAP Adjustments |
U.S. GAAP Balances |
||||||||||
Balance sheet: |
||||||||||||
Current deferred tax assets |
¥ | 1,768,432 | ¥ | 874,041 | ¥ | 2,642,473 | ||||||
Non-current deferred tax assets |
522,264 | 49,377 | 571,641 | |||||||||
Non-current deferred tax liabilities |
(863,378 | ) | (863,378 | ) | ||||||||
|
|
|
|
|
|
|||||||
Net deferred tax assets |
¥ | 2,290,696 | ¥ | 60,040 | ¥ | 2,350,736 | ||||||
|
|
|
|
|
|
Tax effects arising from U.S. GAAP adjustments for the years ended March 31, 2013, 2012 and 2011 were charged or credited to the following items:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Income taxes |
¥ | 143,326 | ¥ | 226,435 | ¥ | 173,776 | $ | 1,525 | ||||||||
Other comprehensive income: employees retirement benefits |
(253,847 | ) | 150,868 | 172,534 | (2,701 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total tax effects |
¥ | (110,521 | ) | ¥ | 377,303 | ¥ | 346,310 | $ | (1,176 | ) | ||||||
|
|
|
|
|
|
|
|
U.S. GAAP adjustments related to the reversal of goodwill amortization charges recorded under Japanese GAAP have no tax effects since they are not deductible for tax purposes under Japanese Tax Laws and Regulations.
F-92
f. Cash and Cash Equivalents
The adjustment in the statements of cash flows to U.S. GAAP from Japanese GAAP mainly consisted of certain lease transactions which are only accounted for as capital leases under U.S. GAAP. Lease payments related to such are presented in financing activities under U.S. GAAP rather than operating activities under Japanese GAAP.
The following table represents the Groups condensed consolidated information related to the statements of cash flows under U.S. GAAP for the years ended March 31, 2013, 2012 and 2011:
Thousands of Yen | Thousands of U.S. Dollars |
|||||||||||||||
2013 | 2012 | 2011 | 2013 | |||||||||||||
Net cash provided by operating activities |
¥ | 3,896,823 | ¥ | 6,087,013 | ¥ | 4,108,530 | $ | 41,456 | ||||||||
Net cash provided by (used in) investing activities |
1,916,363 | (6,427,498 | ) | (379,726 | ) | 20,387 | ||||||||||
Net cash used in financing activities |
(5,929,428 | ) | (4,155,591 | ) | (184,352 | ) | (63,079 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net (decrease) increase in cash and cash equivalents |
(116,242 | ) | (4,496,076 | ) | 3,544,452 | (1,236 | ) | |||||||||
Cash and cash equivalents at beginning of year |
7,825,451 | 12,321,527 | 8,777,075 | 83,249 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Cash and cash equivalents at end of year |
¥ | 7,709,209 | ¥ | 7,825,451 | ¥ | 12,321,527 | $ | 82,013 | ||||||||
|
|
|
|
|
|
|
|
g. Recent Accounting Pronouncements Adopted and to Be Adopted in Future Periods
U.S. GAAP
In October 2009, the FASB issued Accounting Standard Update regarding the accounting for multiple-deliverable arrangements, Accounting Standard Update No. 2009-13, Revenue Recognition (Topic 605). The guidance addresses the accounting for multiple-deliverable arrangements to enable vendors to account for products or services (deliverables) separately rather than as a combined unit. The amendments in this guidance were effective prospectively for revenue arrangements entered into or materially modified in fiscal years beginning on or after June 15, 2010. The effect of the adoption of this guidance on the Companys financial position and results of operations was immaterial.
In January 2010, the FASB issued Accounting Standard Update which requires an additional disclosure and clarifies existing disclosure requirements related to fair value measurements, Accounting Standard Update No. 2010-06, Fair Value Measurements and Disclosures (Topic 820)Improving Disclosures about Fair Value Measurements. The guidance requires additional disclosure of significant transfers in and out of Level 1 and Level 2 fair value measurements and activity in Level 3 fair value measurement. This guidance also clarifies existing disclosure requirements regarding the level of disaggregation and valuation inputs and techniques. This guidance was effective for interim and annual reporting periods beginning after December 15, 2009, except for the disclosure of the Level 3 activity of purchases, sales, issuances, and settlements on a gross basis, which was effective for interim and annual reporting periods beginning after December 15, 2010. The adoption of this guidance had no impact on the Companys financial position and results of operations.
In May 2011, the FASB issued Accounting Standard Update No. 2011-04, Fair Value Measurement (Topic 820)Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs. The guidance amends the terms used in the requirements for fair value measurements and disclosures under ASC 820, Fair Value Measurement. It also amends certain principles and requirements
F-93
of fair value measurements and disclosures, and expands the disclosure requirements. This guidance was effective for interim and annual reporting periods beginning after December 15, 2011. The adoption of this guidance had no impact on the Companys financial position and results of operations.
In June 2011, the FASB issued Accounting Standard Update No. 2011-05, Comprehensive Income (Topic 220)Presentation of Comprehensive Income. The guidance eliminates the option to present the components of other comprehensive income as part of the statement of changes in equity and requires that all non-owner changes in equity be presented either in a single continuous statement of comprehensive income or in two separate but consecutive statements. This guidance was effective retrospectively for fiscal years, and interim periods within those years, beginning after December 15, 2011. The adoption of this provision had no impact on the Companys financial position and results of operations.
In September 2011, the FASB issued Accounting Standards Update No. 2011-08, IntangiblesGoodwill and Other (Topic 350)Testing Goodwill for Impairments. The guidance allows companies an option to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining if it is necessary to perform the two-step quantitative goodwill impairment test. Under the guidance, a reporting entity is no longer required to calculate the fair value of a reporting unit unless the entity determines, based on the qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The guidance was effective for annual and interim goodwill impairment tests performed for fiscal years beginning after December 15, 2011. The effect of the adoption of this guidance on the Companys financial position and results of operations was immaterial.
In December 2011, the FASB issued Accounting Standards Update No. 2011-11 Balance sheet (Topic 210). The guidance requires a reporting entity to disclose information about offsetting and related arrangements to enable financial statement users to understand the effect of such arrangements on the statement of financial position as well as to improve comparability of balance sheets prepared under U.S. GAAP and International Financial Reporting Standards. The guidance is required to be applied retrospectively and is effective for annual periods for fiscal years beginning on or after January 1, 2013. The Company does not expect its adoption will have a material impact on its financial position and results of operations.
In July 2012, the FASB issued Accounting Standards Update No. 2012-02, IntangiblesGoodwill and Other (Topic 350) : Testing Indefinite-lived Intangible Assets for Impairment The guidance allows entities an option to first assess qualitative factors to determine whether it is more likely than not that indefinite lived intangible assets are impaired as a basis for determining if it is necessary to perform the quantitative impairment test. Under the new guidance, entities are no longer required to calculate the fair value of the assets unless the entities determine, based on the qualitative assessment, that it is more likely than not that indefinite lived intangible assets is impaired. The new guidance is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. The Company does not expect its adoption will have a material impact on its financial position and results of operations.
In February 2013, the FASB issued Accounting Standards Update No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. The guidance requires entities to report the significant reclassifications out of accumulated other comprehensive income if the amount is required to be reclassified in its entirety to net income. For other amounts that are not required to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other disclosures required that provide additional detail about those amounts.
In February 2013, the FASB issued Accounting Standard Update No. 2013-04, Liabilities (Topic 405): Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date (a consensus of the FASB Emerging Issues Task Force). This guidance requires an entity to measure obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date, as the
F-94
sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors, plus any additional amount the reporting entity expects to pay on behalf of its co-obligors. The new guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The Company does not expect its adoption will have a material impact on its financial position and results of operations.
Japanese GAAP
In December 2009, the ASBJ issued Accounting StandardASBJ Statement No. 24, Accounting Standard for Accounting Changes and Error Corrections and ASBJ Implementation Guidance No. 24, Guidance on Accounting Standard for Accounting Changes and Error Corrections. This new standard and implementation guidance clarify the treatment for retrospective applications to past financial statements when changes in accounting policies, changes in presentations and corrections of prior period errors are made, as well as the treatment for changes in accounting estimates, as required in the global accounting standards. This standard and implementation guidance apply to accounting changes and corrections of prior period errors which are made after the beginning of the fiscal year beginning on or after April 1, 2011. The effect of adoption of this provision on the Companys financial position and results of operations was immaterial.
In March 2011, the ASBJ issued Accounting StandardASBJ Statement No. 22, Revised Accounting Standard for Consolidated Financial Statements, ASBJ Guidance No. 15, Revised Guidance on Disclosures about Certain Special Purpose Entities, ASBJ Guidance No. 22, Revised Guidance on Determining a Subsidiary and an Affiliate and PITF No. 20, Revised Practical Solution on Application of the Control Criteria and Influence Criteria to Investment Associations. These revisions are aimed to provide a short-term improvement to the existing standards to address current treatment for certain special purpose entities. Those pronouncements will be effective for the annual periods beginning on or after April 1, 2013. Early adoption is permitted. The Company does not expect adoption of those pronouncements will have a significant impact on its financial position and results of operations.
In May 2012, the ASBJ issued Accounting StandardASBJ Statement No. 26, Accounting Standard for Retirement Benefits and ASBJ Guidance No. 25, Guidance on Accounting Standard for Retirement Benefits. The standard and the guidance replace previous standards and guidance for retirement benefits and include (a) recognition of actuarial gains and losses and past service costs to be recognized in profit and loss as other comprehensive income after adjusting for tax effects and the deficit or surplus would be recognized as a liability or asset, (b) the choice of the method of attributing expected benefit to periods between straight-line basis and benefit formula basis and (c) enhancement of disclosures. The standard and guidance will be effective for the end of annual periods beginning on or after April 1, 2013. The Company is currently evaluating the potential impact from adopting the standard and guidance on its financial position and results of operations.
F-95
ARAMARK Corporation
OFFER TO EXCHANGE
$1,000,000,000 aggregate principal amount of its 5.75% Senior Notes due 2020, which have been registered under the Securities Act of 1933, for any and all outstanding 5.75% Senior Notes due 2020.
Until the date that is 90 days after the date of this prospectus, all dealers that effect transactions in these securities, whether or not participating in this offering, may be required to deliver a prospectus. This is in addition to the dealers obligation to deliver a prospectus when acting as underwriters with respect to their unsold allotments or subscriptions
PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
Item 20. | Indemnification of Directors and Officers. |
(a) ARAMARK Corporation, ARAMARK Holdings Corporation, Addison Concessions, Inc., ARAMARK Cleanroom Services (Puerto Rico) Inc., ARAMARK Construction Services, Inc., ARAMARK Executive Management Services USA, Inc., ARAMARK Food and Support Services Group, Inc., ARAMARK Healthcare Support Services of the Virgin Islands, Inc., ARAMARK Japan, Inc., ARAMARK Marketing Services Group, Inc., ARAMARK Organizational Services, Inc., ARAMARK RBI, Inc., ARAMARK SCM, Inc., ARAMARK Senior Notes Company, ARAMARK Services of Puerto Rico, Inc., ARAMARK SM Management Services, Inc., ARAMARK Uniform & Career Apparel Group, Inc., ARAMARK Uniform Manufacturing Company, ARAMARK Venue Services, Inc., COHR Holdings, Inc., COHR Inc., Delsac VIII, Inc., D.G. Maren II, Inc., Filterfresh Coffee Service, Inc., GTP Acquisition Co., MPBP Holdings, Inc., ReMedPar, Inc. and Van Houtte USA Holdings Inc. are incorporated under the laws of Delaware.
Section 145 of the Delaware General Corporation Law (the DGCL) grants each corporation organized thereunder the power to indemnify any person who is or was a director, officer, employee or agent of a corporation or enterprise against expenses, including attorneys fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by him in connection with any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, other than an action by or in the right of the corporation, by reason of being or having been in any such capacity, if he acted in good faith in a manner reasonably believed to be in, or not opposed to, the best interests of the corporation, and, with respect to any criminal action or proceeding, had no reasonable cause to believe his conduct was unlawful.
Section 102(b)(7) of the DGCL enables a corporation in its certificate of incorporation or an amendment thereto to eliminate or limit the personal liability of a director to the corporation or its stockholders of monetary damages for violations of the directors fiduciary duty of care, except (i) for any breach of the directors duty of loyalty to the corporation or its stockholders, (ii) for acts or omissions not in good faith or that involve intentional misconduct or a knowing violation of law, (iii) pursuant to Section 174 of the DGCL (providing for liability of directors for unlawful payment of dividends or unlawful stock purchases or redemptions) or (iv) for any transaction from which a director derived an improper personal benefit.
The amended and restated certificate of incorporation and bylaws of ARAMARK Corporation and the amended and restated certificate of incorporation and the amended and restated bylaws of ARAMARK Holdings Corporation provide that we must indemnify our directors and officers to the fullest extent authorized by the Delaware General Corporation Law as the same exists or may hereafter be amended (but, in the case of any such amendment, only to the extent that such amendment permits the Corporation to provide broader indemnification rights than such law permitted the Corporation to provide prior to such amendment). We will also pay expenses incurred in defending any such proceeding in advance of its final disposition upon delivery to us of an undertaking, by or on behalf of an indemnified person, to repay all amounts so advanced if it should be determined ultimately that such person is not entitled to be indemnified under this section or otherwise.
The indemnification rights set forth above shall not be exclusive of any other right which an indemnified person may have or hereafter acquire under any statute, provision of ARAMARK Corporations amended and restated certificate of incorporation and by-laws, and ARAMARK Holdings Corporations amended and restated certificate of incorporation, and amended and restated by-laws, agreement, vote of stockholders or directors or otherwise.
We maintain insurance to protect ourselves and our directors, officers and representatives against any such expense, liability or loss, whether or not we would have the power to indemnify him against such expense, liability or loss under the Delaware General Corporation Law.
II-1
(b) 1st & Fresh, LLC, ARAMARK Asia Management, LLC, ARAMARK Business & Industry, LLC, ARAMARK Business Center, LLC, ARAMARK Business Facilities, LLC, ARAMARK Campus, LLC, ARAMARK Cleanroom Services, LLC, ARAMARK Confection LLC, ARAMARK Construction and Energy Services, LLC, ARAMARK Correctional Services, LLC, ARAMARK CTS, LLC, ARAMARK Educational Group, LLC, ARAMARK Educational Services, LLC, ARAMARK Engineering Associates, LLC, ARAMARK Entertainment, LLC, ARAMARK Facilities Management, LLC, ARAMARK Facility Services, LLC, ARAMARK FHC Business Services, LLC, ARAMARK FHC Campus Services, LLC, ARAMARK FHC Correctional Services, LLC, ARAMARK FHC Healthcare Support Services, LLC, ARAMARK FHC Refreshment Services, LLC, ARAMARK FHC School Support Services, LLC, ARAMARK FHC Services, LLC, ARAMARK FHC Sports and Entertainment Services, LLC, ARAMARK FHC, LLC, ARAMARK Food Service LLC, ARAMARK FSM, LLC, ARAMARK Healthcare Support Services, LLC, ARAMARK Healthcare Technologies, LLC, ARAMARK/HMS, LLC, ARAMARK India Holdings LLC, ARAMARK Industrial Services, LLC, ARAMARK Management, LLC, ARAMARK North Carolina Technical Services, LLC, ARAMARK Processing, LLC, ARAMARK Qatar, LLC, ARAMARK Rail Services, LLC, ARAMARK RAV, LLC, ARAMARK Refreshment Services, LLC, ARAMARK Refreshment Services of Tampa, LLC, ARAMARK Schools Facilities, LLC, ARAMARK Schools, LLC, ARAMARK Senior Living Services, LLC, ARAMARK SMMS LLC, ARAMARK SMMS Real Estate LLC, ARAMARK Sports and Entertainment Group, LLC, ARAMARK Sports and Entertainment Services, LLC, ARAMARK Sports, LLC, ARAMARK Sports Facilities, LLC, ARAMARK Summer Games 1996, LLC, ARAMARK Togwotee, LLC, ARAMARK U.S. Offshore Services, LLC, ARAMARK Uniform & Career Apparel, LLC, ARAMARK Uniform Services (Baltimore) LLC, ARAMARK Uniform Services (Carmelo) LLC, ARAMARK Uniform Services (Matchpoint) LLC, ARAMARK Uniform Services (Midwest) LLC, ARAMARK Uniform Services (Texas) LLC, ARAMARK Uniform Services (Rochester) LLC, ARAMARK Uniform Services (Santa Ana) LLC, ARAMARK Uniform Services (Syracuse) LLC, ARAMARK Uniform Services (West Adams) LLC, ARAMARK WTC, LLC, Filterfresh Franchise Group, LLC, Fine Host Holdings, LLC, Harrison Conference Associates, LLC, Harry M. Stevens, LLC, Landy Textile Rental Services LLC, Lifeworks Restaurant Group, LLC, New ARAMARK, LLC and Potomac Coffee, LLC are each limited liability companies organized under the laws of Delaware.
Section 18-108 of the Delaware Limited Liability Company Act empowers a Delaware limited liability company to indemnify and hold harmless any member or manager of the limited liability company from and against any and all claims and demands whatsoever.
In accordance with this provision the operating agreement of ARAMARK Engineering Associates LLC provides that subject to certain limitations and conditions each Person (Indemnified Person) who was or is made a party or is threatened to be made a party to or is involved in any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative, arbitrative or investigative (Proceeding), or any appeal in such a Proceeding or any inquiry or investigation that could lead to such a Proceeding, because the Indemnified Person was or is a Member or an officer of the Company or the Indemnified Person was or is the legal representative of or a manager, director, officer, partner, venturer, proprietor, trustee, employee, agent or similar functionary of a Member or of an officer of the Company, shall be indemnified by the Company against judgments, penalties (including excise and similar taxes and punitive damages), fines, settlements and reasonable costs and expenses (including, without limitation, attorneys fees) actually incurred by such Indemnified Person in connection with such Proceeding, provided that the Indemnified Person acted in good faith and in a manner that the Indemnified Person reasonably believed to be in, or not opposed to, the best interest of the Company and, with respect to any criminal action or proceeding, had no reasonable cause to believe that his or her conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself, create a presumption that the Indemnified Person did not act in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the Company or, with respect to any criminal action or proceeding, that the Indemnified Person had reasonable cause to believe that his or her conduct was unlawful.
II-2
(c) ARAMARK Aviation Services Limited Partnership and ARAMARK Management Services Limited Partnership are each limited partnerships organized under the laws of Delaware.
Section 17-108 of the Delaware Revised Uniform Limited Partnership Act empowers a Delaware limited partnership to indemnify and hold harmless any partner or other persons from and against all claims and demands whatsoever. Section 15-110 of the Delaware Limited Partnership Act provides that a partnership may, and shall have the power to, indemnify and hold harmless any partner or other person from and against any and all claims and demands whatsoever.
The ARAMARK Management Services Agreement of Limited Partnership provides that to the fullest extent permitted by law, the partnership shall indemnify any person (the Person) who was or is a party, or is threatened to be made a party, to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative and whether formal or informal, by reason of the fact that the Person is or was a general partner or a stockholder, director, officer or employee of a general partner, or is or was serving at the request of a general partner or the partnership as a stockholder, director, officer, partner, trustee, employee or agent of another corporation, partnership, joint venture, trust or other enterprise (including any employee benefit plan), against all expense, liability and loss (including attorneys fees, judgments, fines, ERISA excise taxes or penalties and amounts paid in settlement) reasonably incurred or suffered by such person in connection with such action, suit or proceeding, unless such Person failed to act in good faith and in a manner that such Person actually believed to be in or not opposed to the best interests of the partnership. The indemnification shall continue as to any Person who has ceased to serve in any or all of the foregoing capacities and shall inure to the benefit of the heirs, executors and administrators of any deceased person. The right to this indemnification shall be deemed a contract right and shall include the right to be advanced currently the expenses incurred in connection with any such action, suit or proceeding.
If a claim under the previous paragraph is not paid in full by the partnership within 60 days after a written claim has been received by the partnership, except in the case of a claim for the advancement of expenses incurred in connection with any action, suit or proceeding in which case the applicable period shall be 20 days, the indemnitee may at any time thereafter bring suit against the partnership to recover the unpaid amount of the claim. If successful in whole or in part in any such suit or in a suit brought by the partnership to recover the advancement of expenses incurred in connection with any action, suit or proceeding, the indemnitee shall be entitled to be paid also the expense of prosecuting or defending such a claim. The right to indemnification and the advancement of expenses shall not be exclusive of any other right which any Person may have or hereafter acquire under any statute, agreement, act of the limited partners or otherwise.
The partnership may maintain insurance, at its expense, to protect any person against any expense, liability or loss, whether or not the partnership would have the power to indemnify such Person against such expense, liability or loss under the Delaware Act.
The partnership may, to the extent authorized from time to time by the managing general partner, grant rights to indemnification and the advancement of expenses to any employee or agent of the partnership or any affiliate lesser than or coextensive with the rights set forth above in this Section.
In no event may an indemnitee subject a limited partner to personal liability by reason of these indemnification provisions.
An indemnitee shall not be denied indemnification in whole or in part because the indemnitee had an interest in the transaction with respect to which the indemnification applies if the transaction was otherwise permitted by the terms of this Agreement.
II-3
(d) Old Time Coffee Co. and Shoreline Operating Company, Inc. are incorporated under the laws of California.
Under Section 317 of the California General Corporation Law (CGCL), a corporation has the power to indemnify any person who was or is a party or is threatened to be made a party to any proceeding (other than an action by or in the right of the corporation to procure a judgment in its favor), by reason of the fact that the person is or was an agent of the corporation, against expenses, judgments, fines, settlements and other amounts actually and reasonably incurred in connection with the proceeding, if that person acted in good faith and in a manner the person reasonably believed to be in the best interests of the corporation and, in the case of a criminal proceeding, had no reasonable cause to believe the conduct of the person was unlawful.
Expenses incurred in defending any proceeding may be advanced by the corporation prior to the final disposition of the proceeding upon receipt of an undertaking by or on behalf of the agent to repay that amount if it shall be determined ultimately that the agent is not entitled to be indemnified as authorized under Section 317.
The articles of incorporation of Shoreline Operating Company, Inc. provides that the corporation is authorized to provide indemnification of agents (as defined in Section 317 of the Corporations Code) for breach of duty to the corporation and its stockholders through bylaw provisions or through agreements with the agents, or both, in excess of the indemnification otherwise permitted by Section 317 of the Corporations Code, subject to the limits of such excess indemnification set forth in Section 204 of the Corporations Code.
(e) L&N Uniform Supply Co., LLC, Lake Tahoe Cruises, LLC, Paradise Hornblower, LLC and Tahoe Rocket LP are each limited liability companies organized under the laws of California.
Under Section 17153 of the California Limited Liability Company Act, except for a breach of duty, the articles of organization or written operating agreement of a limited liability company may provide for indemnification of any person, including, without limitation, any manager, member, officer, employee or agent of the limited liability company, against judgments, settlements, penalties, fines or expenses of any kind incurred as a result of acting in that capacity. A limited liability company shall have the power to purchase and maintain insurance on behalf of any manager, member, officer, employee or agent of the limited liability company against any liability asserted against on incurred by the person in that capacity or arising out of the persons status as a manager, member, officer, employee or agent of the limited liability company.
The amended and restated operating agreement of Paradise Hornblower, LLC provides that the Company shall indemnify any Person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding by reason of the fact that such Member is or was a Member, Manager, officer, employee or other agent of the Company or that, being or having been such a Member, Manager, officer, employee or agent, such Member is or was serving at the request of the Company as a manager, director, officer, employee or other agent of another limited liability company, corporation, partnership, joint venture, trust or other enterprise (all such persons being referred to hereinafter as an agent), to the fullest extent permitted by applicable law in effect on the date hereof and to such greater extent as applicable law may hereafter from time to time permit. The Managers shall be authorized, on behalf of the Company, to enter into indemnity agreements from time to time with any Person entitled to be indemnified by the Company hereunder, upon such terms and conditions as the Managers deem appropriate in their business judgment.
(f) American Snack & Beverage, LLC is a limited liability company organized under the laws of Florida.
Section 608.4229 of the Florida Limited Liability Company Act provides that a limited liability company may, and shall have the power to, but shall not be required to, indemnify and hold harmless any member or manager or other person from and against any and all claims and demands whatsoever. Notwithstanding that provision, indemnification or advancement of expenses shall not be made to or on behalf of any member, manager, managing member, officer, employee, or agent if a judgment or other final adjudication establishes that
II-4
the actions, or omissions to act, of such member, manager, managing member, officer, employee, or agent were material to the cause of action so adjudicated and constitute any of the following: (a) a violation of criminal law, unless the member, manager, managing member, officer, employee, or agent had no reasonable cause to believe such conduct was unlawful; (b) a transaction from which the member, manager, managing member, officer, employee, or agent derived an improper personal benefit; (c) in the case of a manager or managing member, a circumstance under which the liability provisions of Section 608-426 are applicable; or (d) willful misconduct or a conscious disregard for the best interests of the limited liability company in a proceeding by or in the right of the limited liability company to procure a judgment in its favor or in a proceeding by or in the right of a member.
Section 607.0850 of the Florida Business Corporation Act provides that a corporation may indemnify any person, including an officer or director, who was or is, or is threatened to be made, a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative (other than an action by or in the right of such corporation), by reason of the fact that such person is or was a director, officer, employee or agent of such corporation, or is or was serving at the request of such corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise. The indemnity may include expenses (including attorneys fees), judgments, fines and amounts paid in settlement actually and reasonably incurred by such person in connection with such action, suit or proceeding, provided such person acted in good faith and in a manner such person reasonably believed to be in or not opposed to the best interests of such corporation, and, with respect to any criminal actions and proceedings, had no reasonable cause to believe that his conduct was unlawful. A Florida corporation may indemnify any person, including an officer or director, who was or is, or is threatened to be made, a party to any threatened, pending or contemplated action or suit by or in the right of such corporation, under the same conditions, except that such indemnification is limited to expenses (including attorneys fees) actually and reasonably incurred by such person, and except that no indemnification is permitted without judicial approval if such person is adjudged to be liable to such corporation. Where an officer or director of a corporation is successful, on the merits or otherwise, in the defense of any action, suit or proceeding referred to above, or any claim, issue or matter therein, the corporation must indemnify that person against the expenses (including attorneys fees) which such officer or director actually and reasonably incurred in connection therewith.
(g) ARAMARK Services Management of HI, Inc. is incorporated under the laws of Hawaii.
Section 414-242 through 246 of the Hawaii Business Corporation Act provides that a corporation may indemnify an individual who is a party to a proceeding because the individual is a director against liability incurred in the proceeding if: the individual conducted the individuals self in good faith and the individual reasonably believed: (i) in the case of conduct of official capacity, that the individuals conduct was in the best interests of the corporation; and (ii) in all other cases, that the individuals conduct was at least not opposed to the best interests of the corporation; and (iii) in the case of any criminal proceeding, the individual had no reasonable cause to believe the individuals conduct was unlawful. Notwithstanding the foregoing, a corporation may not indemnify a director (a) in connection with a proceeding by or in the right of the corporation in which the director was adjudged liable to the corporation; or (b) in connection with any other proceeding charging improper personal benefit to the director, whether or not involving action in the directors official capacity, in which the director was adjudged liable on the basis that personal benefit was improperly received by the director. Furthermore, a corporation must indemnify a director who was wholly successful, on the merits or otherwise, in the defense of any proceeding to which the director was a party because the director was a director of the corporation against reasonable expenses incurred by the director in connection with the proceeding.
(h) ARAMARK Kitty Hawk, Inc. is incorporated under the laws of Idaho.
Under Sections 30-1-851 and 30-1-852 of the Idaho Business Corporation Act, an Idaho corporation: (1) shall indemnify a director who was wholly successful, on the merits or otherwise, in the defense of any proceeding to which he was a party because he was a director of the corporation against reasonable expenses incurred by him in connection with the proceeding; (2) may indemnify an individual who is a party to a
II-5
proceeding because he is a director against liability incurred in the proceeding if the officer or director conducted himself in good faith and reasonably believed, in the case of conduct in his official capacity, that his conduct was in the best interests of the corporation, and in all cases, that his conduct was at least not opposed to the best interests of the corporation; and in the case of any criminal proceeding, he had no reasonable cause to believe his conduct was unlawful; or he engaged in conduct for which broader indemnification has been made permissible or obligatory under a provision of the articles of incorporation, as authorized by section 30-1-202(2)(e), Idaho Code; and (3) may indemnify and advance expenses under this part to an officer of the corporation who is a party to a proceeding because he is an officer of the corporation to the same extent as a director; and if he is an officer but not a director, to such further extent as may be provided by the articles of incorporation, the bylaws, a resolution of the board of directors, or contract except for liability in connection with a proceeding by or in the right of the corporation other than for reasonable expenses incurred in connection with the proceeding; or liability arising out of conduct that constitutes receipt by him of a financial benefit to which he is not entitled, an intentional infliction of harm on the corporation or the shareholders, or an intentional violation of criminal law.
(i) ARAMARK Distribution Services, Inc., ARAMARK Services Management of IL, Inc. and Harrison Conference Center of Lake Bluff, Inc. are each incorporated under the laws of Illinois.
Under Section 8.75 of the Illinois Business Corporation Act of 1983, as amended, (the IBA) a corporation may indemnify any person who was or is a party, or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative (other than an action by or in the right of the corporation) by reason of the fact that he or she is or was a director, officer, employee or agent of the corporation, or who is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against expenses (including attorneys fees), judgments, fines and amounts paid in settlement actually and reasonably incurred by such person in connection with such action, suit or proceeding, if such person acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to the best interests of the corporation, and, with respect to any criminal action or proceeding, had no reasonable cause to believe his or her conduct was unlawful.
A corporation may indemnify any person who was or is a party, or is threatened to be made a party to any threatened, pending or completed action or suit by or in the right of the corporation to procure a judgment in its favor by reason of the fact that such person is or was a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against expenses (including attorneys fees) actually and reasonably incurred by such person in connection with the defense or settlement of such action or suit, if such person acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, the best interests of the corporation, provided that no indemnification shall be made with respect to any claim, issue, or matter as to which such person has been adjudged to have been liable to the corporation, unless, and only to the extent that the court in which such action or suit was brought shall determine upon application that, despite the adjudication of liability, but in view of all the circumstances of the case, such person is fairly and reasonably entitled to indemnity for such expenses as the court shall deem proper.
A corporation may purchase and maintain insurance on behalf of any person who is or was a director, officer, employee or agent of the corporation, or who is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against any liability asserted against such person and incurred by such person in any such capacity, or arising out of his or her status as such, whether or not the corporation would have the power to indemnify such person against such liability under the provisions of the IBA.
(j) ARAMARK Facility Management Corporation of Iowa is incorporated under the laws of Iowa.
Sections 851 and 856 of the Iowa Business Corporation Act (the IBCA) provides that a corporation has the power to indemnify its directors and officers against liabilities and expenses incurred by reason of such
II-6
person serving in the capacity of director or officer, if such person has acted in good faith and in a manner reasonably believed by the individual to be in or not opposed to the best interests of the corporation, and in any criminal proceeding if such person had no reasonable cause to believe that his or her conduct was unlawful. The foregoing indemnity provisions notwithstanding, in the case of actions brought by or in the right of the corporation, no indemnification shall be made to such director or officer with respect to any matter as to which such individual has been adjudged to be liable to the corporation on the basis that the director received a financial benefit to which the director was now entitled, whether or not involving action in the directors official capacity.
(k) ARAMARK FHC Kansas, Inc., ARAMARK Food Service Corporation of Kansas and ARAMARK Services of Kansas, Inc. are incorporated under the laws of Kansas.
Section 17-6305 of the Kansas General Corporation Law provides that a corporation may indemnify any person who was or is, or is threatened to be made a party, to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, other than an action by or in the right of the corporation, by reason of the fact that such person is or was a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by such person in connection with such action, suit or proceeding, including attorney fees, if such person acted in good faith and in a manner reasonably believed to be in or not opposed to the best interests of the corporation; and, with respect to any criminal action or proceeding, had no reasonable cause to believe such persons conduct was unlawful.
Section 17-6305 further provides that a corporation similarly may indemnify any such person serving in any such capacity who was or is a party or is threatened to be made a party to any threatened, pending or completed action or suit by or in the right of the corporation to procure a judgment in its favor, against expenses (including attorneys fees) actually and reasonably incurred in connection with the defense or settlement of such action or suit if such person acted in good faith and in a manner reasonably believed to be in or not opposed to the best interests of the corporation and except that no indemnification shall be made in respect of any claim, issue or matter as to which such person shall have been adjudged to be liable to the corporation unless and only to the extent that the court in which such action or suit was brought shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case, such person is fairly and reasonably entitled to indemnity for such expenses which the court shall deem proper.
Section 17-6305 also provides that to the extent that a present or former director, officer, employee or agent of a corporation has been successful in defense of any action, suit or proceeding referred to above, such person shall be indemnified against expenses actually and reasonably incurred in connection therewith, including attorney fees and that the indemnification and advancement of expenses provided by, or granted pursuant to Section 17-6305 shall not be deemed exclusive of any other rights to which those seeking indemnification or advancement of expenses may be entitled.
(l) Harrison Conference Services of Massachusetts, LLC and Harrison Conference Services of Wellesley, LLC are each limited liability companies organized under the laws of Massachusetts.
Section 8 of the Massachusetts Limited Liability Company Act provides that a limited liability company may, and shall have the power to, indemnify and hold harmless any member or manager or other person from and against any and all claims and demands whatsoever. Such indemnification may include payment by the limited liability company of expenses incurred in defending a civil or criminal action or proceeding in advance of the final disposition of such action or proceeding, upon receipt of an undertaking by the person indemnified to repay such payment if he shall be adjudicated to be not entitled to indemnification under this section which undertaking may be accepted without reference to the financial ability of such person to make repayment. Any such indemnification may be provided although the person to be indemnified is no longer a member or manager.
II-7
No indemnification shall be provided for any person with respect to any matter as to which he shall have been adjudicated in any proceeding not to have acted in good faith in the reasonable belief that his action was in the best interest of the limited liability company.
The certificate of organization or a written operating agreement may eliminate or limit the personal liability of a member or manager for breach of any duty to the limited liability company or to another member or manager.
(m) ARAMARK Services Management of MI, Inc. and Restaura, Inc. are each incorporated under the laws of Michigan.
Section 450.1561 of Michigans Business Corporation Act provides that a corporation has the power to indemnify a person who was or is a party or is threatened to be made a party to a threatened, pending, or completed action, suit, or proceeding, whether civil, criminal, administrative, or investigative and whether formal or informal, other than an action by or in the right of the corporation, by reason of the fact that he or she is or was a director, officer, employee, or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, partner, trustee, employee, or agent of another foreign or domestic corporation, partnership, joint venture, trust, or other enterprise, whether for profit or not, against expenses, including attorneys fees, judgments, penalties, fines, and amounts paid in settlement actually and reasonably incurred by him or her in connection with the action, suit, or proceeding, if the person acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the corporation or its shareholders, and with respect to a criminal action or proceeding, if the person had no reasonable cause to believe his or her conduct was unlawful.
(n) Genesis Technology Partners, LLC is a limited liability company organized under the laws of Nebraska.
Sections 21-110(f) and 21-137 of the Nebraska Uniform Limited Liability Company Act gives Nebraska limited liability companies broad powers to indemnify any member or manager or former member or manager against any debt, obligation, or other liability, except for breaches of duties and other matters set forth in the Nebraska Uniform Limited Liability Company Act.
(o) Travel Systems, LLC is a limited liability company organized under the laws of Nevada.
Under Section 86.411 of the Nevada Revised Statutes, a limited liability company may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, except an action by or in the right of the company, by reason of the fact that he is or was a manager, member, employee or agent of the company, or is or was serving at the request of the company as a manager, member, employee or agent of another limited liability company, corporation, partnership, joint venture, trust or other enterprise, against expenses, including attorneys fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by him in connection with the action, suit or proceeding if he acted in good faith and in a manner which he reasonably believed to be in or not opposed to the best interests of the company, and, with respect to any criminal action or proceeding, had no reasonable cause to believe his conduct was unlawful.
Under Section 86.421 of the Nevada Revised Statutes, a limited liability company may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action or suit by or in the right of the company to procure a judgment in its favor by reason of the fact that he is or was a manager, member, employee or agent of the company, or is or was serving at the request of the company as a manager, member, employee or agent of another limited-liability company, corporation, partnership, joint venture, trust or other enterprise against expenses, including amounts paid in settlement and attorneys fees actually and reasonably incurred by him in connection with the defense or settlement of the action or suit if he acted in good faith and in a manner in which he reasonably believed to be in or not opposed to the best interests of the company. Indemnification may not be made for any claim, issue or matter as to which such a person has been adjudged by a court of competent jurisdiction, after exhaustion of all appeals therefrom, to be liable to the
II-8
company or for amounts paid in settlement to the company, unless and only to the extent that the court in which the action or suit was brought or other court of competent jurisdiction determines upon application that in view of all the circumstances of the case, he is fairly and reasonably entitled to indemnity for such expenses as the court deems proper.
To the extent that a manager, member, employee or agent of a limited-liability company has been successful on the merits or otherwise in defense of any action, suit or proceeding described in Section 86.411 or 86.421 or in defense of any claim, issue or matter therein, the company shall indemnify him against expenses, including attorneys fees, actually and reasonably incurred by him in connection with the defense. Any indemnification under such Sections, unless ordered by a court or advanced pursuant to Section 86.441, may be made by the limited-liability company only as authorized in the specific case upon a determination that indemnification of the manager, member, employee or agent is proper in the circumstances. The determination must be made (a) by the members or managers as provided in the articles of organization or the operating agreement, (b) if there is no provision in the articles of organization or the operating agreement, by a majority in interest of the members who are not parties to the action, suit or proceeding, (c) if a majority in interest of the members who are not parties to the action, suit or proceeding so order, by independent legal counsel in a written opinion or (d) if members who are not parties to the action, suit or proceeding cannot be obtained, by independent legal counsel in a written opinion.
(p) ARAMARK Services Management of NJ, Inc., Harrison Conference Services of Princeton, Inc. and Harry M. Stevens, Inc. of New Jersey are each incorporated under the state of New Jersey.
Section 14A of the Business Corporation Act (the BCA) states that any corporation organized for any purpose under any general or special law of New Jersey shall have the power to indemnify a corporate agent against his expenses and liabilities in connection with any proceeding involving the corporate agent by reason of his being or having been such a corporate agent, other than a proceeding by or in the right of the corporation, if (a) such corporate agent acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the corporation; and (b) with respect to any criminal proceeding, such corporate agent had no reasonable cause to believe his conduct was unlawful.
(q) Harrison Conference Center of Glen Cove, Inc. is incorporated under the laws of New York.
The New York Business Corporation Law (BCL), Article 7, Sections 721-726 provide for the indemnification and advancement of expenses to officers and directors. Indemnification and advancement pursuant to the BCL are not exclusive of any other rights an officer or director may be entitled to, provided that no indemnification may be made to or on behalf of any director or officer if a judgment or other final adjudication adverse to the director or officer establishes that his acts were committed in bad faith or were the result of active and deliberate dishonesty and were material to the cause of action so adjudicated, or that the director personally gained a financial profit or other advantage to which he or she was not legally entitled.
A corporation may indemnify an officer or director, in the case of third party actions, against judgments, fines, amounts paid in settlement and reasonable expenses and, in the case of derivative actions, against amounts paid in settlement and reasonable expenses, provided that the director or officer acted in good faith, for a purpose which he or she reasonably believed to be in the best interests of the corporation and, in the case of criminal actions, had no reasonable cause to believe his conduct was unlawful. A corporation may obtain indemnification insurance indemnifying itself and its directors and officers.
The articles of incorporation of Harrison Conference Center of Glen Cove, Inc. provides that (a) any person, made a party to an action by or in the right of the corporation to procure a judgment in its favor, by reason of the fact that he, his testator or intestate, is or was a director or officer of the corporation, may be indemnified against the reasonable expenses, including attorneys fees, actually and necessarily incurred by him in connection with the defense of such action, or in connection with an appeal therein, except in relation to matters as to which such director or officer is adjudged to have breached his duty to the corporation under Section 717 of the New York
II-9
Business Corporation Law. (b) The indemnification authorized under paragraph (a) shall in no case include: (1) Amounts paid in settling or otherwise disposing of a threatened action, or a pending action with or without court approval; or (2) Expenses incurred in defending a threatened action, or a pending action which is settled or otherwise disposed of without court approval.
Any person, made, or threatened to be made a party to an action or proceeding other than one by or in the right of the Corporation to procure a judgment in its favor, whether civil or criminal including an action by or in the right of any other corporation of any type or kind, domestic or foreign, which any director or officer of the Corporation served in any capacity at the request of the Corporation, by reason of the fact that he, his testator, or intestate, was a director or officer of the Corporation, or served such other corporation in any capacity, may be indemnified against judgments, fines, amounts paid in settlement and reasonable expenses, including attorneys fees actually and necessarily incurred as a result of such action or proceeding, or any appeal therein, if such director or officer acted, in good faith, for a purpose which he reasonably believed to be in the best interests of the Corporation and, in criminal actions or proceedings, in addition, had no reasonable cause to believe that his conduct was unlawful.
(r) ARAMARK Technical Services North Carolina, Inc. is incorporated under the laws of North Carolina.
Sections 55-8-50 through 55-8-58 of the North Carolina Business Corporation Act permit a corporation to indemnify its directors, officers, employees or agents under either or both a statutory or nonstatutory scheme of indemnification. Under the statutory scheme, a corporation may, with certain exceptions, indemnify a director, officer, employee or agent of the corporation who was, is, or is threatened to be made, a party to any threatened, pending or completed legal action, suit or proceeding, whether civil, criminal, administrative or investigative, because such person is or was a director, officer, agent or employee of the corporation, or is or was serving at the request of such corporation as a director, officer, employee or agent of another corporation or enterprise. This indemnity may include the obligation to pay any judgment, settlement, penalty, fine (including an excise tax assessed with respect to an employee benefit plan) and reasonable expenses incurred in connection with a proceeding (including counsel fees), but no such indemnification may be granted unless such director, officer, agent or employee conducted himself in good faith, reasonably believed that his conduct in his official capacity with the corporation was in the best interests of the corporation or that in all other cases his conduct at least was not opposed to the corporations best interests, and in the case of any criminal proceeding, had no reasonable cause to believe his conduct was unlawful.
A corporation may not indemnify a director, officer, agent or employee under the statutory scheme in connection with a proceeding by or in the right of the corporation in which the director, officer, agent or employee was adjudged liable to the corporation or in connection with a proceeding in which a director, officer, agent or employee was adjudged liable on the basis of having received an improper personal benefit. In addition, Section 55-8-57 of the North Carolina Business Corporation Act permits a corporation to indemnify or agree to indemnify any of its directors, officers, employees or agents against liability and expenses (including counsel fees) in any proceeding (including proceedings brought by or on behalf of the corporation) arising out of their status as such or their activities in any of such capacities; provided, however, that a corporation may not indemnify or agree to indemnify a person against liability or expenses such person may incur on account of activities that were, at the time taken, known or believed by the person to be clearly in conflict with the best interests of the corporation.
Sections 55-8-52 and 55-8-56 of the North Carolina Business Corporation Act require a corporation, unless limited by its articles of incorporation, to indemnify a director or officer who has been wholly successful, on the merits or otherwise, in the defense of any proceeding to which such director or officer was a party because he is or was a director of officer of the corporation against reasonable expenses incurred in connection with the proceeding. Unless a corporations articles of incorporation provide otherwise, a director or officer also may apply for and obtain court-ordered indemnification if the court determines that such director or officer is fairly and reasonably entitled to such indemnification as provided in Sections 55-8-54 and 55-8-56. Finally,
II-10
Section 55-8-57 of the North Carolina Business Corporation Act provides that a corporation may purchase and maintain insurance on behalf of an individual who is or was a director, officer, employee or agent of the corporation against liability asserted against or incurred by such persons, whether or not the corporation is otherwise authorized by the North Carolina Business Corporation Act to indemnify such party.
The bylaws of the North Carolina Registrant provide, in relevant part, that the corporation shall indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative (a proceeding), other than a proceeding by or in the right of the corporation, by reason of the fact that the person is or was a director, officer, or employee of the corporation, or is or was serving at the request of the corporation as a director, officer, or employee of another corporation, partnership, joint venture, trust or other enterprise, including service with respect to an employee benefit plan, against expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by the person in connection with the defense of such proceeding if the person acted in good faith and in a manner the person reasonably believed to be in or not opposed to the best interests of the corporation, and, with respect to any criminal action or proceeding, had no reasonable cause to believe their conduct was unlawful. Not opposed to the best interest of the corporation shall include actions taken in service to an employee benefit plan that are in the interest of the participants and beneficiaries of the employee benefit plan.
(s) Harrison Conference Services of North Carolina, LLC is a limited liability company organized under the laws of North Carolina.
Section 57C-3-32 of the North Carolina Limited Liability Company Act provides that the articles of organization or a written operating agreement may eliminate or limit the personal liability of a manager, director, or executive for monetary damages for breach of any duty (provided for in Section 57C-3-22 other than liability under 57C-4-07) as manager, director, or executive and provides for indemnification of a manager, member, director, or executive for judgments, settlements, penalties, fines, or expenses incurred in a proceeding to which the member, manager, director, or executive is a party because the person is or was a manager, member, director, or executive.
No provision permitted under this section shall limit, eliminate, or indemnify against the liability of a manager, director, or executive for: (i) acts or omissions that the manager, director, or executive knew at the time of the acts or omissions were clearly in conflict with the interests of the limited liability company, (ii) any transaction from which the manager, director, or executive derived an improper personal benefit, or (iii) acts or omissions occurring prior to the date the provision became effective, except that indemnification may be provided if approved by all the members.
(t) ARAMARK Services Management of OH, Inc. is incorporated under the laws of Ohio.
Section 1701.13(E) of the Ohio Revised Code sets forth the conditions and limitations governing the indemnification of officers, directors and other persons. Section 1701.13(E) provides that a corporation shall have the power to indemnify any person who was or is a party or threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative (other than an action by or in the right of the corporation) by reason of the fact that he or she is or was a director, officer, employee or agent of the corporation or is or was serving at the request of the corporation in as a director, trustee, officer, employee, member, manager, or agent of another corporation domestic or foreign, nonprofit or for profit, a limited liability company or a partnership, joint venture, trust, or other enterprise, against expenses, including attorneys fees, judgments, fines, and amounts paid in settlement actually and reasonably incurred in connection with such action if he acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the corporation and, with respect to a criminal proceeding, if he had no reasonable cause to believe his conduct was unlawful.
II-11
With respect to a suit by or in the right of the corporation, indemnity may be provided to the foregoing persons under Section 1701.13(E) on a basis similar to that set forth above, except that no indemnity may be provided in respect of certain claims, including any claim, issue or matter as to which such person has been adjudged to be liable to the corporation for negligence or misconduct in performing his or her duty to the corporation unless and to the extent that the Court of Common Pleas or the court in which such action, suit or proceeding was brought determines that despite the adjudication of liability but in view of all the circumstances of the case such person is fairly and reasonably entitled to indemnity for such expenses as the court deems proper. Moreover, Section 1701.13(E) provides for mandatory indemnification of a director, officer, employee or agent of the corporation to the extent that such person has been successful in defense of any such action, suit or proceeding and provides that a corporation shall pay the expenses of an officer or director in defending an action, suit or proceeding upon receipt of an undertaking to repay such amounts if it is ultimately determined that such person is not entitled to be indemnified.
Section 1701.13(E) establishes provisions for determining whether a given person is entitled to indemnification, and also provides that the indemnification provided by or granted under Section 1701.13(E) is not exclusive of any rights to indemnity or advancement of expenses to which such person may be entitled under any articles, regulations, agreement, vote of shareholders or disinterested directors or otherwise.
(u) ARAMARK American Food Services, LLC is a limited liability company organized under the laws of Ohio.
Section 1705.32 of the Ohio Limited Liability Company Act provides that a limited liability company may indemnify or agree to indemnify any person who was or is a party, or who is threatened to be made a party, to any threatened, pending, or completed civil, criminal, administrative, or investigative action, suit, or proceeding, other than an action by or in right of the company, because he is or was a manager, member, partner, officer, employee, or agent of the company or is or was serving at the request of the company as a manager, director, trustee, officer, employee, or agent of another limited liability company, corporation, partnership, joint venture, trust, or other enterprise. The company may indemnify or agree to indemnify a person in that position against expenses, including attorneys fees, judgments, fines, and amounts paid in settlement that actually and reasonably were incurred by him in connection with the action, suit, or proceeding if he acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the company and, in connection with any criminal action or proceeding, had no reasonable cause to believe his conduct was unlawful.
With respect to a suit by or in the right of the company, indemnity may be provided to the foregoing persons under Section 1705.32 on a basis similar to that set forth above, except that no indemnity may be provided in respect of certain claims, including any claim, issue or matter as to which such person has been adjudged to be liable for negligence or misconduct in the performance of his duty to the company unless and to the extent that the Court of Common Pleas or the court in which such action or suit was brought determines, upon application, that despite the adjudication of liability but in view of all the circumstances of the case such person is fairly and reasonably entitled to indemnity for such expenses as the court deems proper. Moreover, Section 1705.32 provides for mandatory indemnification of a manager, officer, employee or agent of a limited liability company to the extent that such person has been successful in defense of any claim, issue, or matter in an action, suit or proceeding referred to in those divisions, he shall be indemnified against expenses, including attorneys fees, that were actually and reasonably incurred by him in connection with the action suit and proceeding.
(v) ARAMARK Consumer Discount Company, Harry M. Stevens, Inc. of Penn. and MyAssistant, Inc. are each incorporated under the laws of Pennsylvania.
Under Section 1741 of the Pennsylvania Business Corporation Law of 1988 (the PBCL), subject to certain limitations, a corporation has the power to indemnify directors, officers and other parties under certain prescribed circumstances against expenses (including attorneys fees), judgments, fines and amounts paid in settlement actually and reasonably incurred in connection with a threatened, pending or completed action or proceeding, whether civil, criminal, administrative or investigative, to which any of them is a party or threatened to be made a
II-12
party by reason of his being a representative of the corporation or serving at the request of the corporation as a representative of another corporation, partnership, joint venture, trust or other enterprise, if he acted in good faith and in a manner he reasonably believed to be in, or not opposed to, the best interests of the corporation and, with respect to any criminal proceeding, had no reasonable cause to believe his conduct was unlawful.
Expenses incurred by parties in defending any action may be paid by the corporation in advance of the final disposition of such action or proceeding upon receipt of an undertaking by or on behalf of the party to repay such amount if it shall ultimately be determined that he is not entitled to be indemnified by the corporation.
(w) ARAMARK Services Management of SC, Inc. is incorporated under the laws of South Carolina.
Under Sections 33-8-510 and 33-8-520 of the South Carolina Business Corporation Act, a corporation may indemnify an individual made a party to a proceeding because he is or was a director against liability incurred in the proceeding if: (1) he conducted himself in good faith; and (2) he reasonably believed: (i) in the case of conduct in his official capacity with the corporation, that his conduct was in its best interest; and (ii) in all other cases, that his conduct was at least not opposed to its best interest; and (3) in the case of any criminal proceeding, he had no reasonable cause to believe his conduct was unlawful.
A corporation may not indemnify a director under this section in connection with a proceeding by or in right of the corporation in which the director was adjudged liable to the corporation or in connection with any other proceeding charging improper personal benefit to him, whether or not involving action in his official capacity, in which he was adjudged liable on the basis that personal benefit was improperly received by him.
Unless limited by its articles of incorporation, a corporation shall indemnify a director who was wholly successful, on the merits or otherwise, in the defense of any proceeding to which he was a party because he is or was a director of the corporation against reasonable expenses incurred by him in connection with the proceeding.
(x) ARAMARK Healthcare Support Services of Texas, Inc. and, Brand Coffee Service, Inc. are incorporated under the laws of Texas.
Section 8.051 of Texas Business Organization Code states that: (a) An enterprise shall indemnify a governing person, former governing person, or delegate against reasonable expenses actually incurred by the person in connection with a proceeding in which the person is a respondent because the person is or was a governing person or delegate if the person is wholly successful, on the merits or otherwise, in the defense of the proceeding. (b) A court that determines, in a suit for indemnification, that a governing person, former governing person, or delegate is entitled to indemnification under this section shall order indemnification and award to the person the expenses incurred in securing the indemnification.
Section 8.052 states that (a) on application of a governing person, former governing person, or delegate and after notice is provided as required by the court, a court may order an enterprise to indemnify the person to the extent the court determines that the person is fairly and reasonably entitled to indemnification in view of all the relevant circumstances. (b) This section applies without regard to whether the governing person, former governing person, or delegate applying to the court satisfies the requirements of Section 8.101 or has been found liable: (1) to the enterprise; or (2) because the person improperly received a personal benefit, without regard to whether the benefit resulted from an action taken in the persons official capacity. (c) The indemnification ordered by the court under this section is limited to reasonable expenses if the governing person, former governing person, or delegate is found liable: (1) to the enterprise; or (2) because the person improperly received a personal benefit, without regard to whether the benefit resulted from an action taken in the persons official capacity.
Section 8.101 states that (a) An enterprise may indemnify a governing person, former governing person, or delegate who was, is, or is threatened to be made a respondent in a proceeding to the extent permitted by Section 8.102 if it is determined in accordance with Section 8.103 that: (1) the person: (A) acted in good faith;
II-13
(B) reasonably believed: (i) in the case of conduct in the persons official capacity, that the persons conduct was in the enterprises best interests; and (ii) in any other case, that the persons conduct was not opposed to the enterprises best interests; and (C) in the case of a criminal proceeding, did not have a reasonable cause to believe the persons conduct was unlawful; (2) with respect to expenses, the amount of expenses other than a judgment is reasonable; and (3) indemnification should be paid. (b) Action taken or omitted by a governing person or delegate with respect to an employee benefit plan in the performance of the persons duties for a purpose reasonably believed by the person to be in the interest of the participants and beneficiaries of the plan is for a purpose that is not opposed to the best interests of the enterprise. (c) Action taken or omitted by a delegate to another enterprise for a purpose reasonably believed by the delegate to be in the interest of the other enterprise or its owners or members is for a purpose that is not opposed to the best interests of the enterprise. (d) A person does not fail to meet the standard under Subsection (a)(1) solely because of the termination of a proceeding by: (1) judgment; (2) order; (3) settlement; (4) conviction; or (5) a plea of nolo contendere or its equivalent.
Section 8.102 states that (a) Subject to Subsection (b), an enterprise may indemnify a governing person, former governing person, or delegate against: (1) a judgment; and (2) expenses, other than a judgment, that are reasonable and actually incurred by the person in connection with a proceeding. (b) Indemnification under this subchapter of a person who is found liable to the enterprise or is found liable because the person improperly received a personal benefit: (1) is limited to reasonable expenses actually incurred by the person in connection with the proceeding; (2) does not include a judgment, a penalty, a fine, and an excise or similar tax, including an excise tax assessed against the person with respect to an employee benefit plan; and (3) may not be made in relation to a proceeding in which the person has been found liable for: (A) willful or intentional misconduct in the performance of the persons duty to the enterprise; (B) breach of the persons duty of loyalty owed to the enterprise; or (C) an act or omission not committed in good faith that constitutes a breach of a duty owed by the person to the enterprise. (c) A governing person, former governing person, or delegate is considered to have been found liable in relation to a claim, issue, or matter only if the liability is established by an order, including a judgment or decree of a court, and all appeals of the order are exhausted or foreclosed by law.
(y) ARAMARK Business Dining Services of Texas, LLC, ARAMARK Educational Services of Texas, LLC, ARAMARK Food Service of Texas, LLC and ARAMARK Sports and Entertainment Services of Texas, LLC are each limited liability companies organized under the laws of Texas.
Section 2.20 of the Texas Limited Liability Company Act provides that, subject to such standards and restrictions, if any, as are set forth in its articles of organization or in its regulations, a limited liability company shall have the power to indemnify members and managers, officers and other persons and purchase and maintain liability insurance for such persons.
(z) ARAMARK Educational Services of Vermont, Inc. is incorporated under the laws of Vermont.
Section 8.51 of the Vermont Business Corporation Act (the VBCA) permits a corporation to indemnify an individual who is or was a director against judgments, penalties, fines, settlements and reasonable expenses actually incurred by them in connection with any proceeding to which they may be made a party by reason of their service in that capacity if: (i) the director conducted himself or herself in good faith, (ii) the director reasonably believed that his or her conduct, in an official capacity with the corporation, was in the best interests of the corporation and, in all other cases, the conduct was at least not opposed to its best interests, and (iii) in a proceeding brought by a governmental entity, the director had no reasonable cause to believe his or her conduct was unlawful, and the director is not finally found to have engaged in a reckless or intentional unlawful act.
The termination of a proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendre is not, of itself, determinative that the director did not meet the standard of conduct necessary for indemnification. Notwithstanding the foregoing, a corporation may not indemnify a director if the director was adjudged liable to the corporation in a proceeding by or in the right of a corporation, or on the basis that a personal benefit was improperly received by the director in a proceeding charging improper personal benefit to
II-14
the director. In addition, Section 8.52 of the VBCA provides that, unless limited in a corporations charter, a corporation shall indemnify its directors who are wholly successful, on the merits or otherwise, in the defense of any proceeding to which the directors are parties by reason of their service in those capacities against reasonable expenses incurred in connection with the proceeding.
(aa) Overall Laundry Services, Inc. incorporated under the laws of Washington.
Sections 23B.08.510 through 23B.08.600 of the Washington Business Corporation Act contain specific provisions relating to the indemnification of directors and officers of Washington corporations. Section 23B.08.510 provides that a corporation may indemnify an individual made a party to a proceeding because the individual is or was a director against liability incurred in the proceeding if: (a) he conducted himself in good faith; and (b) he reasonably believed: (i) in the case of conduct in his official capacity with the limited liability company, that his conduct was in its best interests; and (ii) in all other cases, that his conduct was at least not opposed to its best interests; and (c) in the case of any criminal proceeding, he had no reasonable cause to believe that his conduct was unlawful. A directors conduct with respect to an employee benefit plan for a purpose he reasonably believed to be in the interests of the participants in and beneficiaries of the plan is conduct that satisfies the requirement of conduct that was not opposed to the best interests of the corporation.
Under Section 23B.08.510 a corporation may not indemnify a director in connection with a proceeding by or in right of the corporation in which the director was adjudged liable to the corporation or in connection with any other proceeding charging improper personal benefit to the director, whether or not involving action it the directors official capacity, in which the director was adjudged liable on the basis that personal benefit was improperly received by the director.
Section 23B.08.520 provides that unless limited by its articles of incorporation, a corporation shall indemnify a director who was wholly successful, on the merits or otherwise, in defense of any proceeding to which the director was a party because of being a director of the corporation against reasonable expenses incurred by the director in connection with the proceeding. Section 23B.08.540 provides for court ordered indemnification in certain circumstances listed in the statute and Section 23B.08.570 provides that unless the articles of incorporation of a corporation provides otherwise an officer of a corporation who is not a director is entitled to mandatory indemnification under Section 23B.08.520 and is entitled to apply for court ordered indemnification under Section 23B.08.540 in each case to the same extent as a director.
The articles of incorporation of Overall Laundry Services, Inc. provides that in furtherance of and not in limitation of the general powers conferred by the State Laws of Washington, the corporation shall also have the power to indemnify directors, trustees, officers, employees or agents of the corporation in any manner and with respect to any matter now or hereafter permitted by statute.
(bb) ARAMARK Services Management of WI, Inc., is incorporated under the laws of Wisconsin.
Under Section 180.0851 of the Wisconsin Business Corporation Law, a corporation shall indemnify a director or officer, to the extent such person is successful on the merits or otherwise in the defense of a proceeding, for all reasonable expenses incurred in the proceeding, if such person was a party to such proceeding because he or she was a director or officer of the corporation. In all other cases, the corporation shall indemnify a director or officer against liability incurred in a proceeding to which such person was a party because he or she was a director or officer of the corporation, unless liability was incurred because he or she breached or failed to perform a duty owed to the Registrant and such breach or failure to perform constitutes: (i) a willful failure to deal fairly with the corporation or its shareholders in connection with a matter in which the director or officer has a material conflict of interest; (ii) a violation of criminal law, unless the director or officer had reasonable cause to believe his or her conduct was lawful or no reasonable cause to believe his or her conduct was unlawful; (iii) a transaction from which the director or officer derived an improper personal profit; or (iv) willful misconduct.
II-15
Section 180.0858 of the Wisconsin Business Corporation Law provides that subject to certain limitations, the mandatory indemnification provisions do not preclude any additional right to indemnification or allowance of expenses that a director or officer may have under the corporations articles of incorporation or bylaws.
Section 180.0859 of the Wisconsin Business Corporation Law provides that it is the public policy of the State of Wisconsin to require or permit indemnification, allowance of expenses and insurance to the extent required or permitted under Sections 180.0850 to 180.0858 of the Wisconsin Business Corporation Law for any liability incurred in connection with a proceeding involving a federal or state statute, rule or regulation regulating the offer, sale or purchase of securities.
(cc) ARAMARK Capital Asset Services, LLC and Kowalski-Dickow Associates, LLC are each limited liability companies organized under the laws of the state of Wisconsin.
Section 183.0106(2) of the Wisconsin Limited Liability Company Act permits a limited liability company to indemnify a member, manager, employee, officer or agent or any other person. Section 183.0403(2) provides that a company shall indemnify or allow reasonable expenses to and pay liabilities of each member and, if management of the limited liability company is vested in one or more managers, of each manager, incurred with respect to a proceeding if that member or manager was a party to the proceeding in the capacity of a member or manager.
Item 22. | Undertakings |
The undersigned registrants hereby undertake:
(1) To file, during any period in which offers or sales are being made, a post-effective amendment to this registration statement:
(i) To include any prospectus required by Section 10(a)(3) of the Securities Act of 1993;
(ii) To reflect in the prospectus any facts or events arising after the effective date of the registration statement (or the most recent post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the registration statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end of the estimated maximum offering range may be reflected in the form of prospectus filed with the Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price represent no more than a 20% change in the maximum aggregate offering price set forth in the Calculation of Registration Fee table in the effective registration statement; and
(iii) To include any material information with respect to the plan of distribution not previously disclosed in the registration statement or any material change to such information in the registration statement.
(2) That, for the purpose of determining any liability under the Securities Act of 1933, each such post-effective amendment shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.
(3) To remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering.
(4) that, for the purpose of determining liability under the Securities Act to any purchaser, if the registrants are subject to Rule 430C, each prospectus filed pursuant to Rule 424(b) as part of a registration statement relating to an offering, other than registration statements relying on Rule 430B or other than prospectuses filed in reliance on Rule 430A, shall be deemed to be part of and included in the registration statement as of the date it is first used after effectiveness. Provided, however, that no statement made in a registration statement or prospectus that
II-16
is part of the registration statement or made in a document incorporated or deemed incorporated by reference into the registration statement or prospectus that is part of the registration statement will, as to a purchaser with a time of contract of sale prior to such first use, supersede or modify any statement that was made in the registration statement or prospectus that was part of the registration statement or made in any such document immediately prior to such date of first use; and
(5) That, for the purpose of determining liability of the registrant under the Securities Act to any purchaser in the initial distribution of the securities:
The undersigned registrant undertakes that in a primary offering of securities of the undersigned registrant pursuant to this registration statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are offered or sold to such purchaser by means of any of the following communications, the undersigned registrant will be a seller to the purchaser and will be considered to offer or sell such securities to such purchaser:
(i) Any preliminary prospectus or prospectus of the undersigned registrant relating to the offering required to be filed pursuant to Rule 424;
(ii) Any free writing prospectus relating to the offering prepared by or on behalf of the undersigned registrant or used or referred to by the undersigned registrant;
(iii) The portion of any other free writing prospectus relating to the offering containing material information about the undersigned registrant or its securities provided by or on behalf of the undersigned registrant; and
(iv) Any other communication that is an offered in the offering made by the undersigned registrant to the purchaser.
Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be permitted to directors, officers, or controlling persons of the registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Act and is therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the registrants of expenses incurred or paid by a director, officer or controlling person of the registrants in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the registrants will, unless in the opinion of it counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue.
The undersigned registrant hereby undertakes to respond to requests for information that is incorporated by reference into the prospectus pursuant to Item 4, 10(b), 11, or 13 of this form, within one business day of receipt of such request, and to send the incorporated documents by first class mail or other equally prompt means. This includes information contained in documents filed subsequent to the effective date of the registration statement through the date of responding to the request.
The undersigned registrant hereby undertakes to supply by means of a post-effective amendment all information concerning a transaction, and the company being acquired involved therein, that was not the subject of and included in the registration statement when it became effective.
II-17
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK HOLDINGS CORPORATION | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
Executive Vice President and Chief Financial Officer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds and Harold Dichter and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph Neubauer Joseph Neubauer |
Chairman of the Board and Director | |
/s/ Eric J. Foss Eric J. Foss |
Chief Executive Officer, President and Director | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Executive Vice President, Chief Financial Officer (Principal Financial Officer) | |
/s/ Joseph Munnelly Joseph Munnelly |
Senior Vice President, Controller and Chief Accounting Officer (Principal Accounting Officer) | |
/s/ Todd M. Abbrecht Todd M. Abbrecht |
Director | |
/s/ Lawrence T. Babbio, Jr. Lawrence T. Babbio, Jr. |
Director | |
/s/ David A. Barr David A. Barr |
Director |
Signature |
Capacity | |
/s/ Leonard S. Coleman, Jr. Leonard S. Coleman, Jr. |
Director | |
/s/ Daniel J. Heinrich Daniel J. Heinrich |
Director | |
/s/ James E. Ksansnak James E. Ksansnak |
Director | |
/s/ Sanjeev Mehra Sanjeev Mehra |
Director | |
/s/ Stephen P. Murray Stephen P. Murray |
Director | |
/s/ Stephen Sadove Stephen Sadove |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CORPORATION | ||
By: |
/s/ Eric J. Foss | |
Name: |
Eric J. Foss | |
Title: |
Chief Executive Officer and President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Eric J. Foss Eric J. Foss |
Chief Executive Officer and President (Principal Executive Officer) and Director | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Executive Vice President, Chief Financial Officer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Senior Vice President, Controller and Chief Accounting Officer (Principal Accounting Officer) | |
/s/ Joseph Neubauer Joseph Neubauer |
Chairman of the Board of Directors |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
1ST & FRESH, LLC | ||
By: |
/s/ Gary Crompton | |
Name: |
Gary Crompton | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Gary Crompton Gary Crompton |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ADDISON CONCESSIONS, INC. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
AMERICAN SNACK & BEVERAGE, LLC | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK AMERICAN FOOD SERVICES, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK ASIA MANAGEMENT, LLC | ||
By: |
/s/ Martin K. Welch | |
Name: |
Martin K. Welch | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Martin K. Welch Martin K. Welch |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Japan, Inc., the Sole Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK AVIATION SERVICES LIMITED PARTNERSHIP | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer, ARAMARK SMMS LLC, the General Partner |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member of ARAMARK SMMS LLC, the General Partner |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK BUSINESS & INDUSTRY, LLC | ||
By: |
/s/ Gary Crompton | |
Name: |
Gary Crompton | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Gary Crompton Gary Crompton |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK BUSINESS CENTER, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK BUSINESS DINING SERVICES OF TEXAS, LLC | ||
By: |
/s/ Gary Crompton | |
Name: |
Gary Crompton | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Gary Crompton Gary Crompton |
President (Principal Executive Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK BUSINESS FACILITIES, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
President (Principal Executive Officer) and Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CAMPUS, LLC | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CAPITAL ASSET SERVICES, LLC | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CLEANROOM SERVICES (PUERTO RICO), INC. | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CLEANROOM SERVICES, LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CONFECTION, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CONSTRUCTION AND ENERGY SERVICES, LLC | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CONSTRUCTION SERVICES, INC. | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CONSUMER DISCOUNT COMPANY | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
President and Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
President and Treasurer (Principal Executive Officer and Principal Financial Officer) and Sole Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CORRECTIONAL SERVICES, LLC | ||
By: |
/s/ John Hanner | |
Name: |
John Hanner | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ John Hanner John Hanner |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK CTS, LLC | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Corporation, the Sole Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK DISTRIBUTION SERVICES, INC. | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK EDUCATIONAL GROUP, LLC | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Corporation, the Sole Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK EDUCATIONAL SERVICES OF TEXAS, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer), Director of ARAMARK Corporation, the indirect controlling Member and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK EDUCATIONAL SERVICES OF VERMONT, INC. | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK EDUCATIONAL SERVICES, LLC | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK ENGINEERING ASSOCIATES, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK SM Management Services, Inc., the Sole Member, and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK ENTERTAINMENT, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013
ARAMARK EXECUTIVE MANAGEMENT SERVICES USA, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FACILITIES MANAGEMENT, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FACILITY MANAGEMENT CORPORATION OF IOWA | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FACILITY SERVICES, LLC | ||
By: |
/s/ Joseph J. Tinney, Jr. | |
Name: |
Joseph J. Tinney, Jr. | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph J. Tinney, Jr. Joseph J. Tinney, Jr. |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Corporation, the Sole Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC BUSINESS SERVICES, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer), Director of ARAMARK Corporation, the indirect controlling Member and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC CAMPUS SERVICES, LLC | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC CORRECTIONAL SERVICES, LLC | ||
By: |
/s/ John Hanner | |
Name: |
John Hanner | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ John Hanner John Hanner |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC HEALTHCARE SUPPORT SERVICES, LLC | ||
By: |
/s/ Michael Leone | |
Name: |
Michael Leone | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Michael Leone Michael Leone |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC KANSAS, INC. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC REFRESHMENT SERVICES, LLC | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC SCHOOL SUPPORT SERVICES, LLC | ||
By: |
/s/ Dennis Maple | |
Name: |
Dennis Maple | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Dennis Maple Dennis Maple |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Financial Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC SERVICES, LLC | ||
By: |
/s/ Joseph M. Munnelly | |
Name: |
Joseph M. Munnelly | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
President and Assistant Treasurer (Principal Executive Officer and Principal Accounting Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC SPORTS AND ENTERTAINMENT SERVICES, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FHC, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FOOD AND SUPPORT SERVICES GROUP, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) and Director | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FOOD SERVICE CORPORATION OF KANSAS | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FOOD SERVICE OF TEXAS, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FOOD SERVICE, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK FSM, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK HEALTHCARE SUPPORT SERVICES OF TEXAS, INC. | ||
By: |
/s/ Michael Leone | |
Name: |
Michael Leone | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Michael Leone Michael Leone |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Director and Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK HEALTHCARE SUPPORT SERVICES OF THE VIRGIN ISLANDS, INC. | ||
By: |
/s/ Michael Leone | |
Name: |
Michael Leone | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Michael Leone Michael Leone |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK HEALTHCARE SUPPORT SERVICES, LLC | ||
By: |
/s/ Michael Leone | |
Name: |
Michael Leone | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Michael Leone Michael Leone |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK HEALTHCARE TECHNOLOGIES, LLC | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK INDIA HOLDINGS LLC | ||
By: |
/s/ Martin K. Welch | |
Name: |
Martin K. Welch | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Martin K. Welch Martin K. Welch |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK INDUSTRIAL SERVICES, LLC | ||
By: |
/s/ Joseph J. Tinney, Jr. | |
Name: |
Joseph J. Tinney, Jr. | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph J. Tinney, Jr. Joseph J. Tinney, Jr. |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK JAPAN, INC. | ||
By: |
/s/ Martin K. Welch | |
Name: |
Martin K. Welch | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Martin K. Welch Martin K. Welch |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK KITTY HAWK, INC. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK MANAGEMENT, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
President (Principal Executive Officer) and Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK MARKETING SERVICES GROUP, INC. | ||
By: |
/s/ John Orobono | |
Name: |
John Orobono | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ John Orobono John Orobono |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK MANAGEMENT SERVICES LIMITED PARTNERSHIP | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer, ARAMARK SMMS LLC, the General Partner |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member of ARAMARK SMMS LLC, the General Partner |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK NORTH CAROLINA TECHNICAL SERVICES, LLC | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK ORGANIZATIONAL SERVICES, INC. | ||
By: |
/s/ Joseph M. Munnelly | |
Name: |
Joseph M. Munnelly | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
President (Principal Executive Officer and Principal Accounting Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK PROCESSING, LLC | ||
By: |
/s/ Joseph J. Tinney, Jr. | |
Name: |
Joseph J. Tinney, Jr. | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph J. Tinney, Jr. Joseph J. Tinney, Jr. |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Accounting Officer | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK QATAR, LLC | ||
By: |
/s/ Martin K. Welch | |
Name: |
Martin K. Welch | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Martin K. Welch Martin K. Welch |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK RAIL SERVICES, LLC | ||
By: |
/s/ Joseph J. Tinney, Jr. | |
Name: |
Joseph J. Tinney, Jr. | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph J. Tinney, Jr. Joseph J. Tinney, Jr. |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK RAV, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member, and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK RBI, INC. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK REFRESHMENT SERVICES OF TAMPA, LLC | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK REFRESHMENT SERVICES, LLC | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SCHOOLS FACILITIES, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
President (Principal Executive Officer) and Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SCHOOLS, LLC | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SCM, INC. | ||
By: |
/s/ John Orobono | |
Name: |
John Orobono | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ John Orobono John Orobono |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SENIOR LIVING SERVICES, LLC | ||
By: |
/s/ Michael Leone | |
Name: |
Michael Leone | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Michael Leone Michael Leone |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SENIOR NOTES COMPANY | ||
By: |
/s/ Joseph M. Munnelly | |
Name: |
Joseph M. Munnelly | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
President (Principal Executive Officer and Principal Accounting Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF HI, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF IL, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF MI, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF NJ, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF OH, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF SC, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES MANAGEMENT OF WI, INC. | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer and Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) and Sole Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES OF KANSAS, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SERVICES OF PUERTO RICO, INC. | ||
By: |
/s/ Gary Crompton | |
Name: |
Gary Crompton | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Gary Crompton Gary Crompton |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SM MANAGEMENT SERVICES, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
President and Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
President and Treasurer (Principal Executive Officer and Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SMMS LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SMMS REAL ESTATE LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SPORTS AND ENTERTAINMENT GROUP, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SPORTS AND ENTERTAINMENT SERVICES OF TEXAS, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SPORTS AND ENTERTAINMENT SERVICES, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SPORTS FACILITIES, LLC | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SPORTS, LLC | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) and Director of ARAMARK Corporation, the indirect controlling Member | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK SUMMER GAMES 1996, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK TECHNICAL SERVICES NORTH CAROLINA, INC. | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK TOGWOTEE, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK U.S. OFFSHORE SERVICES, LLC | ||
By: |
/s/ Joseph M. Munnelly | |
Name: |
Joseph M. Munnelly | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
President and Assistant Treasurer (Principal Executive Officer and Principal Accounting Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM & CAREER APPAREL GROUP, INC. | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM & CAREER APPAREL, LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the Sole Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM MANUFACTURING COMPANY | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (BALTIMORE), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (CARMELO) LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (MATCHPOINT), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (MIDWEST), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (ROCHESTER), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (SANTA ANA), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (SYRACUSE), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (TEXAS), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK UNIFORM SERVICES (WEST ADAMS), LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK VENUE SERVICES, INC. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK WTC, LLC | ||
By: |
/s/ Bruce Fears | |
Name: |
Bruce Fears | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Bruce Fears Bruce Fears |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
ARAMARK/ HMS, LLC | ||
By: |
/s/ Joseph M. Munnelly | |
Name: |
Joseph M. Munnelly | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
President (Principal Executive Officer and Principal Accounting Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
BRAND COFFEE SERVICE, INC. | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
COHR HOLDINGS, INC. | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
COHR INC. | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
D.G. MAREN II, INC. | ||
By: |
/s/ Mark Nelson | |
Name: |
Mark Nelson | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mark Nelson Mark Nelson |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
DELSAC VIII, INC. | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
FILTERFRESH COFFEE SERVICE, INC. | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
FILTERFRESH FRANCHISE GROUP, LLC | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
FINE HOST HOLDINGS, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer), and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
GENESIS TECHNOLOGY PARTNERS, LLC | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
GTP ACQUISITION CO. | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE ASSOCIATES, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE CENTER OF GLEN COVE, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer), Director and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE CENTER OF LAKE BLUFF, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer), Director and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE SERVICES OF MASSACHUSETTS, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE SERVICES OF NORTH CAROLINA, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE SERVICES CENTER OF PRINCETON, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer), Director and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRISON CONFERENCE CENTER OF WELLESLEY, LLC | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRY M. STEVENS, INC. OF NEW JERSEY | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRY M. STEVENS, INC. OF PENN. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
HARRY M. STEVENS, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
KOWALSKI-DICKOW ASSOCIATES, LLC | ||
By: |
/s/ Michael Leone | |
Name: |
Michael Leone | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Michael Leone Michael Leone |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
L&N UNIFORM SUPPLY, LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
LAKE TAHOE CRUISES, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
LANDY TEXTILE RENTAL SERVICES, LLC | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Uniform & Career Apparel Group, Inc., the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
LIFEWORKS RESTAURANT GROUP, LLC | ||
By: |
/s/ Gary Crompton | |
Name: |
Gary Crompton | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Gary Crompton Gary Crompton |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
MPBP HOLDINGS, INC. | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
MYASSISTANT, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
NEW ARAMARK LLC | ||
By: |
/s/ L. Frederick Sutherland | |
Name: |
L. Frederick Sutherland | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the Sole Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
OLD TIME COFFEE CO. | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
OVERALL LAUNDRY SERVICES, INC. | ||
By: |
/s/ Brad Drummond | |
Name: |
Brad Drummond | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Brad Drummond Brad Drummond |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
PARADISE HORNBLOWER, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
POTOMAC COFFEE, LLC | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
REMEDPAR, INC. | ||
By: |
/s/ Kenneth Sandifer | |
Name: |
Kenneth Sandifer | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Kenneth Sandifer Kenneth Sandifer |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
RESTAURA, INC. | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director and serving as Principal Executive Officer | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
SHORELINE OPERATING COMPANY, INC. | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
TAHOE ROCKET LP | ||
By: |
/s/ Karen A. Wallace | |
Name: |
Karen A. Wallace | |
Title: |
Treasurer, ARAMARK Sports and Entertainment, LLC, the General Partner |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member of ARAMARK Sports and Entertainment Services, LLC, the General Partner |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
TRAVEL SYSTEMS, LLC | ||
By: |
/s/ Marc Bruno | |
Name: |
Marc Bruno | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Marc Bruno Marc Bruno |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director of ARAMARK Corporation, the indirect controlling Member |
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, the registrant has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Philadelphia, Commonwealth of Pennsylvania, on December 17, 2013.
VAN HOUTTE USA HOLDINGS INC. | ||
By: |
/s/ Mike Walsh | |
Name: |
Mike Walsh | |
Title: |
President |
POWER OF ATTORNEY
Each person whose signature appears below hereby constitutes and appoints Stephen R. Reynolds, Harold B. Dichter and Robert T. Rambo Jr. and each of them, the true and lawful attorneys-in-fact and agents of the undersigned, with full power of substitution and resubstitution, for and in the name, place and stead of the undersigned, in any and all capacities, to sign this Registration Statement and any and all amendments (including post-effective amendments) to this Registration Statement, including any filings pursuant to Rule 462(b) under the Securities Act of 1933, as amended, and to file the same, with all exhibits thereto, and all other documents in connection therewith, with the Securities and Exchange Commission, and hereby grants to such attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every act and anything necessary to be done, as fully to all intents and purposes as the undersigned might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of them, or their or his substitute, or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration Statement and power of attorney have been signed by the following persons in the capacities indicated on December 17, 2013.
Signature |
Capacity | |
/s/ Mike Walsh Mike Walsh |
President (Principal Executive Officer) | |
/s/ Karen A. Wallace Karen A. Wallace |
Treasurer (Principal Financial Officer) and Director | |
/s/ Joseph M. Munnelly Joseph M. Munnelly |
Assistant Treasurer (Principal Accounting Officer) | |
/s/ L. Frederick Sutherland L. Frederick Sutherland |
Director |
EXHIBIT INDEX
Exhibit |
Description | |
2.1 | Agreement and Plan of Merger dated as of August 8, 2006 between ARAMARK Corporation, RMK Acquisition Corporation and RMK Finance LLC (incorporated by reference to exhibit 2.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on August 8, 2006, pursuant to the Exchange Act (file number 001-16807)). | |
2.2 | Certificate of Ownership and Merger (merging ARAMARK Corporation into ARAMARK Services, Inc.) (incorporated by reference to Exhibit 99.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on April 5, 2007, pursuant to the Exchange Act (file number 001-16807)). | |
3.1 | Form of Amended and Restated Certificate of Incorporation of ARAMARK Holdings Corporation (incorporated by reference to Exhibit 3.1 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
3.2 | Form of Amended and Restated By-laws of ARAMARK Holdings Corporation (incorporated by reference to Exhibit 3.2 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
3.3 | Certificate of Incorporation of ARAMARK Corporation (incorporated by reference to Exhibit 3.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on April 5, 2007, pursuant to the Exchange Act (file number 001-16807)). | |
3.4 | By-laws of ARAMARK Corporation (incorporated by reference to Exhibit 3.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on April 5, 2007, pursuant to the Exchange Act (file number 001-16807)). | |
3.5* | Certificate of Formation of 1st& Fresh, LLC | |
3.6* | Operating Agreement of 1st& Fresh, LLC | |
3.7 | Certificate of Incorporation of Addison Concessions, Inc. (incorporated by reference to Exhibit 3.3 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.8 | By-laws of Addison Concessions, Inc. (incorporated by reference to Exhibit 3.4 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.9 | Articles of Organization of American Snack & Beverage, LLC (incorporated by reference to Exhibit 3.5 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.10 | Limited Liability Company Agreement of American Snack & Beverage, LLC (incorporated by reference to Exhibit 3.6 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.11 | Articles of Organization of ARAMARK American Food Services, LLC (incorporated by reference to Exhibit 3.7 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.12 | Limited Liability Company Agreement of ARAMARK American Food Services, LLC (incorporated by reference to Exhibit 3.8 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.13 | Certificate of Formation of ARAMARK Asia Management, LLC (incorporated by reference to Exhibit 3.9 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.14 | Limited Liability Company Agreement of ARAMARK Asia Management, LLC (incorporated by reference to Exhibit 3.10 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.15* | Certificate of Formation of ARAMARK Business & Industry, LLC | |
3.16 | Certificate of Limited Partnership of ARAMARK Aviation Services Limited Partnership (incorporated by reference to Exhibit 3.11 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.17 | Agreement of Limited Partnership of ARAMARK Aviation Services Limited Partnership (incorporated by reference to Exhibit 3.12 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.18* | Operating Agreement of ARAMARK Business & Industry, LLC | |
3.19* | Certificate of Formation of ARAMARK Business Center, LLC | |
3.20* | Limited Liability Company Agreement of ARAMARK Business Center, LLC | |
3.21 | Certificate of Formation of ARAMARK Business Dining Services of Texas, LLC (incorporated by reference to Exhibit 3.13 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.22 | Company Agreement of ARAMARK Business Dining Services of Texas, LLC (incorporated by reference to Exhibit 3.14 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.23* | Certificate of Formation of ARAMARK Business Facilities, LLC | |
3.24* | Operating Agreement of ARAMARK Business Facilities, LLC | |
3.25 | Certificate of Formation of ARAMARK Campus, LLC (incorporated by reference to Exhibit 3.15 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.26 | Limited Liability Company Agreement of ARAMARK Campus, LLC (incorporated by reference to Exhibit 3.16 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.27 | Articles of Organization of ARAMARK Capital Asset Services, LLC (incorporated by reference to Exhibit 3.17 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.28 | Limited Liability Company Agreement of ARAMARK Capital Asset Services, LLC (incorporated by reference to Exhibit 3.18 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.29 | Certificate of Formation of ARAMARK Cleanroom Services, LLC (incorporated by reference to Exhibit 3.19 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.30 | Limited Liability Company Agreement of ARAMARK Cleanroom Services, LLC (incorporated by reference to Exhibit 3.20 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.31 | Certificate of Incorporation of ARAMARK Cleanroom Services (Puerto Rico), Inc. (incorporated by reference to Exhibit 3.21 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.32 | By-laws of ARAMARK Cleanroom Services (Puerto Rico), Inc. (incorporated by reference to Exhibit 3.22 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.33 | Certificate of Formation of ARAMARK Confection, LLC (incorporated by reference to Exhibit 3.25 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.34 | Limited Liability Company Agreement of ARAMARK Confection, LLC (incorporated by reference to Exhibit 3.26 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.35* | Certificate of Formation of ARAMARK Construction and Energy Services, LLC | |
3.36* | Limited Liability Company Agreement of ARAMARK Construction and Energy Services, LLC | |
3.37* | Certificate of Incorporation of ARAMARK Construction Services, Inc. | |
3.38* | By-laws of ARAMARK Construction Services, Inc. | |
3.39 | Articles of Incorporation of ARAMARK Consumer Discount Company (incorporated by reference to Exhibit 3.27 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.40 | By-laws of ARAMARK Consumer Discount Company (incorporated by reference to Exhibit 3.28 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.41 | Certificate of Formation of ARAMARK Correctional Services, LLC (incorporated by reference to Exhibit 3.29 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.42 | Limited Liability Company Agreement of ARAMARK Correctional Services, LLC (incorporated by reference to Exhibit 3.30 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.43 | Certificate of Formation of ARAMARK CTS, LLC (incorporated by reference to Exhibit 3.31 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.44 | Limited Liability Company Operating Agreement of ARAMARK CTS, LLC (incorporated by reference to Exhibit 3.32 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.45 | Articles of Incorporation of ARAMARK Distribution Services, Inc. (incorporated by reference to Exhibit 3.33 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.46 | Bylaws of ARAMARK Distribution Services, Inc. (incorporated by reference to Exhibit 3.34 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.47 | Certificate of Formation of ARAMARK Educational Group, LLC (incorporated by reference to Exhibit 3.35 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.48 | Limited Liability Company Agreement of ARAMARK Educational Group, LLC (incorporated by reference to Exhibit 3.36 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.49 | Certificate of Formation of ARAMARK Educational Services of Texas, LLC (incorporated by reference to Exhibit 3.37 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.50 | Company Agreement of ARAMARK Educational Services of Texas, LLC (incorporated by reference to Exhibit 3.38 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.51 | Articles of Association of ARAMARK Educational Services of Vermont, Inc. (incorporated by reference to Exhibit 3.39 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.52 | By-laws of ARAMARK Educational Services of Vermont, Inc. (incorporated by reference to Exhibit 3.40 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.53 | Certificate of Formation of ARAMARK Educational Services, LLC (incorporated by reference to Exhibit 3.41 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.54 | Limited Liability Company Agreement of ARAMARK Educational Services, LLC (incorporated by reference to Exhibit 3.42 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.55 | Certificate of Formation of ARAMARK Engineering Associates, LLC (incorporated by reference to Exhibit 3.43 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.56 | Operating Agreement of ARAMARK Engineering Associates, LLC (incorporated by reference to Exhibit 3.44 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.57 | Certificate of Formation of ARAMARK Entertainment, LLC (incorporated by reference to Exhibit 3.45 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.58 | Limited Liability Company Agreement of ARAMARK Entertainment, LLC (incorporated by reference to Exhibit 3.46 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.59 | Certificate of Incorporation of ARAMARK Executive Management Services USA, Inc. (incorporated by reference to Exhibit 3.47 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.60 | By-laws of ARAMARK Executive Management Services USA, Inc. (incorporated by reference to Exhibit 3.48 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.61 | Certificate of Formation of ARAMARK Facilities Management, LLC (incorporated by reference to Exhibit 3.49 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.62 | Limited Liability Company Agreement of ARAMARK Facilities Management, LLC (incorporated by reference to Exhibit 3.50 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.63 | Articles of Incorporation of ARAMARK Facility Management Corporation of Iowa (incorporated by reference to Exhibit 3.51 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.64 | Bylaws of ARAMARK Facility Management Corporation of Iowa (incorporated by reference to Exhibit 3.52 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.65 | Certificate of Formation of ARAMARK Facility Services, LLC (incorporated by reference to Exhibit 3.53 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.66 | Operating Agreement of ARAMARK Facility Services, LLC (incorporated by reference to Exhibit 3.54 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.67 | Certificate of Formation of ARAMARK FHC Business Services, LLC (incorporated by reference to Exhibit 3.55 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.68 | Limited Liability Company Agreement of ARAMARK FHC Business Services, LLC (incorporated by reference to Exhibit 3.56 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.69 | Certificate of Formation of ARAMARK FHC Campus Services, LLC (incorporated by reference to Exhibit 3.57 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.70 | Limited Liability Company Agreement of ARAMARK FHC Campus Services, LLC (incorporated by reference to Exhibit 3.58 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.71 | Certificate of Formation of ARAMARK FHC Correctional Services, LLC (incorporated by reference to Exhibit 3.59 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.72 | Limited Liability Company Agreement of ARAMARK FHC Correctional Services, LLC (incorporated by reference to Exhibit 3.60 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.73 | Certificate of Formation of ARAMARK FHC Healthcare Support Services, LLC (incorporated by reference to Exhibit 3.61 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.74 | Limited Liability Company Agreement of ARAMARK FHC Healthcare Support Services, LLC (incorporated by reference to Exhibit 3.62 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.75 | Articles of Incorporation of ARAMARK FHC Kansas, Inc. (incorporated by reference to Exhibit 3.63 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.76 | By-laws of ARAMARK FHC Kansas, Inc. (incorporated by reference to Exhibit 3.64 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.77 | Certificate of Formation of ARAMARK FHC Refreshment Services, LLC (incorporated by reference to Exhibit 3.65 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.78 | Limited Liability Company Agreement of ARAMARK FHC Refreshment Services, LLC (incorporated by reference to Exhibit 3.66 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.79 | Certificate of Formation of ARAMARK FHC School Support Services, LLC (incorporated by reference to Exhibit 3.67 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.80 | Limited Liability Company Agreement of ARAMARK FHC School Support Services, LLC (incorporated by reference to Exhibit 3.68 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.81 | Certificate of Formation of ARAMARK FHC Services, LLC (incorporated by reference to Exhibit 3.69 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.82 | Limited Liability Company Agreement of ARAMARK FHC Services, LLC (incorporated by reference to Exhibit 3.70 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.83 | Certificate of Formation ARAMARK FHC Sports and Entertainment Services, LLC (incorporated by reference to Exhibit 3.71 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.84 | Limited Liability Company Agreement of ARAMARK FHC Sports and Entertainment Services, LLC (incorporated by reference to Exhibit 3.72 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.85 | Certificate of Formation of ARAMARK FHC, LLC (incorporated by reference to Exhibit 3.73 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.86 | Limited Liability Company Agreement of ARAMARK FHC, LLC (incorporated by reference to Exhibit 3.74 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.87 | Certificate of Incorporation of ARAMARK Food and Support Services Group, Inc. (incorporated by reference to Exhibit 3.75 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.88 | By-laws of ARAMARK Food and Support Services Group, Inc. (incorporated by reference to Exhibit 3.76 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.89 | Certificate of Formation of ARAMARK Food Service, LLC (incorporated by reference to Exhibit 3.77 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.90 | Limited Liability Company Agreement of ARAMARK Food Service, LLC (incorporated by reference to Exhibit 3.78 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.91 | Articles of Incorporation of ARAMARK Food Service Corporation of Kansas (incorporated by reference to Exhibit 3.79 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.92 | By-laws of ARAMARK Food Service Corporation of Kansas (incorporated by reference to Exhibit 3.80 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.93 | Certificate of Formation of ARAMARK Food Service of Texas, LLC (incorporated by reference to Exhibit 3.81 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.94 | Company Agreement of ARAMARK Food Service of Texas, LLC (incorporated by reference to Exhibit 3.82 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.95 | Certificate of Formation of ARAMARK FSM, LLC (incorporated by reference to Exhibit 3.83 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.96 | Limited Liability Company Agreement of ARAMARK FSM, LLC (incorporated by reference to Exhibit 3.84 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.97 | Articles of Incorporation of ARAMARK Healthcare Support Services of Texas, Inc. (incorporated by reference to Exhibit 3.85 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.98 | By-laws of ARAMARK Healthcare Support Services of Texas, Inc. (incorporated by reference to Exhibit 3.86 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.99 | Articles of Incorporation of ARAMARK Healthcare Support Services of the Virgin Islands, Inc. (incorporated by reference to Exhibit 3.87 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.100 | By-laws of ARAMARK Healthcare Support Services of the Virgin Islands, Inc. (incorporated by reference to Exhibit 3.88 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.101 | Certificate of Formation of ARAMARK Healthcare Support Services, LLC (incorporated by reference to Exhibit 3.89 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.102 | Limited Liability Company Agreement of ARAMARK Healthcare Support Services, LLC (incorporated by reference to Exhibit 3.90 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.103 | Certificate of Formation of ARAMARK/HMS, LLC (incorporated by reference to Exhibit 3.91 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.104 | Limited Liability Company Agreement of ARAMARK/HMS, LLC (incorporated by reference to Exhibit 3.92 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.105* | Certificate of Formation of ARAMARK Healthcare Technologies, LLC | |
3.106 | Limited Liability Company Agreement of ARAMARK Healthcare Technologies, LLC (incorporated by reference to Exhibit 3.24 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.107 | Certificate of Formation of ARAMARK India Holdings LLC (incorporated by reference to Exhibit 3.93 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.108 | Operating Agreement of ARAMARK India Holdings LLC (incorporated by reference to Exhibit 3.94 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.109 | Certificate of Formation of ARAMARK Industrial Services, LLC (incorporated by reference to Exhibit 3.95 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.110 | Limited Liability Company Agreement of ARAMARK Industrial Services, LLC (incorporated by reference to Exhibit 3.96 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.111 | Certificate of Incorporation of ARAMARK Japan, Inc. (incorporated by reference to Exhibit 3.97 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.112 | By-laws of ARAMARK Japan, Inc. (incorporated by reference to Exhibit 3.98 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.113 | Articles of Incorporation of ARAMARK Kitty Hawk, Inc. (incorporated by reference to Exhibit 3.99 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.114 | By-laws of ARAMARK Kitty Hawk, Inc. (incorporated by reference to Exhibit 3.100 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.115* | Certificate of Formation of ARAMARK Management, LLC | |
3.116* | Operating Agreement of ARAMARK Management, LLC | |
3.117 | Certificate of Limited Partnership of ARAMARK Management Services Limited Partnership (incorporated by reference to Exhibit 3.101 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.118 | Agreement of Limited Partnership of ARAMARK Management Services Limited Partnership (incorporated by reference to Exhibit 3.102 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.119 | Restated Certificate of Incorporation of ARAMARK Marketing Services Group, Inc. (incorporated by reference to Exhibit 3.103 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.120 | By-laws of ARAMARK Marketing Services Group, Inc. (incorporated by reference to Exhibit 3.104 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.121* | Certificate of Formation of ARAMARK North Carolina Technical Services, LLC | |
3.122* | Operating Agreement of ARAMARK North Carolina Technical Services, LLC | |
3.123 | Certificate of Incorporation of ARAMARK Organizational Services, Inc. (incorporated by reference to Exhibit 3.105 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.124 | By-laws of ARAMARK Organizational Services, Inc. (incorporated by reference to Exhibit 3.106 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.125* | Certificate of Formation of ARAMARK Processing, LLC | |
3.126* | Operating Agreement of ARAMARK Processing, LLC | |
3.127* | Certificate of Formation of ARAMARK Qatar, LLC | |
3.128* | Operating Agreement of ARAMARK Qatar, LLC | |
3.129* | Certificate of Formation of ARAMARK Rail Services, LLC | |
3.130* | Operating Agreement of ARAMARK Rail Services, LLC |
Exhibit |
Description | |
3.131 | Certificate of Formation of ARAMARK RAV, LLC (incorporated by reference to Exhibit 3.107 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.132 | Limited Liability Company Agreement of ARAMARK RAV, LLC (incorporated by reference to Exhibit 3.108 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.133 | Certificate of Incorporation of ARAMARK RBI, Inc. (incorporated by reference to Exhibit 3.109 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.134 | By-laws of ARAMARK RBI, Inc. (incorporated by reference to Exhibit 3.110 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.135* | Certificate of Formation of ARAMARK Refreshment Services of Tampa, LLC | |
3.136* | Operating Agreement of ARAMARK Refreshment Services of Tampa, LLC | |
3.137 | Certificate of Formation of ARAMARK Refreshment Services, LLC (incorporated by reference to Exhibit 3.111 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.138 | Limited Liability Company Agreement of ARAMARK Refreshment Services, LLC (incorporated by reference to Exhibit 3.112 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.139* | Certificate of Formation of ARAMARK Schools Facilities, LLC | |
3.140* | Operating Agreement of ARAMARK Schools Facilities, LLC | |
3.141 | Certificate of Formation of ARAMARK Schools, LLC (incorporated by reference to Exhibit 3.113 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.142 | Limited Liability Company Agreement of ARAMARK Schools, LLC (incorporated by reference to Exhibit 3.114 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.143 | Certificate of Incorporation of ARAMARK SCM, Inc. (incorporated by reference to Exhibit 3.115 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.144 | By-laws of ARAMARK SCM, Inc. (incorporated by reference to Exhibit 3.116 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.145 | Certificate of Formation of ARAMARK Senior Living Services, LLC (incorporated by reference to Exhibit 3.117 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.146 | Limited Liability Company Agreement of ARAMARK Senior Living Services, LLC (incorporated by reference to Exhibit 3.118 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.147 | Certificate of Incorporation of ARAMARK Senior Notes Company (incorporated by reference to Exhibit 3.119 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.148 | By-laws of ARAMARK Senior Notes Company (incorporated by reference to Exhibit 3.120 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.149 | Articles of Incorporation of ARAMARK Services Management of HI, Inc. (incorporated by reference to Exhibit 3.121 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.150 | By-laws of ARAMARK Services Management of HI, Inc. (incorporated by reference to Exhibit 3.122 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.151 | Articles of Incorporation of ARAMARK Services Management of IL, Inc. (incorporated by reference to Exhibit 3.123 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.152 | By-laws of ARAMARK Services Management of IL, Inc. (incorporated by reference to Exhibit 3.124 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.153 | Articles of Incorporation of ARAMARK Services Management of MI, Inc. (incorporated by reference to Exhibit 3.125 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.154 | By-laws of ARAMARK Services Management of MI, Inc. (incorporated by reference to Exhibit 3.126 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.155 | Certificate of Incorporation of ARAMARK Services Management of NJ, Inc. (incorporated by reference to Exhibit 3.127 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.156 | By-laws of ARAMARK Services Management of NJ, Inc. (incorporated by reference to Exhibit 3.128 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.157 | Articles of Incorporation of ARAMARK Services Management of OH, Inc. (incorporated by reference to Exhibit 3.129 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.158 | By-laws of ARAMARK Services Management of OH, Inc. (incorporated by reference to Exhibit 3.130 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.159 | Articles of Incorporation of ARAMARK Services Management of SC, Inc. (incorporated by reference to Exhibit 3.131 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.160 | By-laws of ARAMARK Services Management of SC, Inc. (incorporated by reference to Exhibit 3.132 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.161 | Articles of Incorporation of ARAMARK Services Management of WI, Inc. (incorporated by reference to Exhibit 3.133 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.162 | By-laws of ARAMARK Services Management of WI, Inc. (incorporated by reference to Exhibit 3.134 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.163 | Articles of Incorporation of ARAMARK Services of Kansas, Inc. (incorporated by reference to Exhibit 3.135 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.164 | By-laws of ARAMARK Services of Kansas, Inc. (incorporated by reference to Exhibit 3.136 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.165 | Restated Certificate of Incorporation of ARAMARK Services of Puerto Rico, Inc. (incorporated by reference to Exhibit 3.137 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.166 | By-laws of ARAMARK Services of Puerto Rico, Inc. (incorporated by reference to Exhibit 3.138 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.167 | Certificate of Incorporation of ARAMARK SM Management Services, Inc. (incorporated by reference to Exhibit 3.139 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.168 | By-laws of ARAMARK SM Management Services, Inc. (incorporated by reference to Exhibit 3.140 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.169 | Certificate of Formation of ARAMARK SMMS LLC (incorporated by reference to Exhibit 3.141 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.170 | Limited Liability Company Agreement of ARAMARK SMMS LLC (incorporated by reference to Exhibit 3.142 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.171 | Certificate of Formation of ARAMARK SMMS Real Estate LLC (incorporated by reference to Exhibit 3.143 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.172 | Limited Liability Agreement of ARAMARK SMMS Real Estate LLC (incorporated by reference to Exhibit 3.144 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.173 | Certificate of Formation of ARAMARK Sports and Entertainment Group, LLC (incorporated by reference to Exhibit 3.145 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.174 | Limited Liability Company Agreement of ARAMARK Sports and Entertainment Group, LLC (incorporated by reference to Exhibit 3.146 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.175 | Certificate of Formation of ARAMARK Sports and Entertainment Services of Texas, LLC (incorporated by reference to Exhibit 3.147 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.176 | Company Agreement of ARAMARK Sports and Entertainment Services of Texas, LLC (incorporated by reference to Exhibit 3.148 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.177 | Certificate of Formation of ARAMARK Sports and Entertainment Services, LLC (incorporated by reference to Exhibit 3.149 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.178 | Limited Liability Company Agreement of ARAMARK Sports and Entertainment Services, LLC (incorporated by reference to Exhibit 3.150 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.179 | Certificate of Formation of ARAMARK Sports Facilities, LLC (incorporated by reference to Exhibit 3.151 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.180 | Operating Agreement of ARAMARK Sports Facilities, LLC (incorporated by reference to Exhibit 3.152 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.181 | Certificate of Formation of ARAMARK Sports, LLC (incorporated by reference to Exhibit 3.153 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.182 | Limited Liability Company Agreement of ARAMARK Sports, LLC (incorporated by reference to Exhibit 3.154 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.183 | Certificate of Formation of ARAMARK Summer Games 1996, LLC (incorporated by reference to Exhibit 3.155 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.184 | Limited Liability Company Agreement of ARAMARK Summer Games 1996, LLC (incorporated by reference to Exhibit 3.156 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.185* | Restated Articles of Incorporation of ARAMARK Technical Services North Carolina, Inc. | |
3.186* | By-laws of ARAMARK Technical Services North Carolina, Inc. | |
3.187* | Certificate of Formation of ARAMARK Togwotee, LLC | |
3.188* | Operating Agreement of ARAMARK Togwotee, LLC | |
3.189 | Certificate of Formation of ARAMARK U.S. Offshore Services, LLC (incorporated by reference to Exhibit 3.157 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.190 | Limited Liability Company Agreement of ARAMARK U.S. Offshore Services, LLC (incorporated by reference to Exhibit 3.158 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.191 | Certificate of Incorporation of ARAMARK Uniform & Career Apparel Group, Inc. (incorporated by reference to Exhibit 3.159 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.192 | By-laws of ARAMARK Uniform & Career Apparel Group, Inc. (incorporated by reference to Exhibit 3.160 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.193 | Certificate of Formation of ARAMARK Uniform & Career Apparel, LLC (incorporated by reference to Exhibit 3.161 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.194 | Limited Liability Company Agreement of ARAMARK Uniform & Career Apparel, LLC (incorporated by reference to Exhibit 3.162 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.195 | Restated Certificate of Incorporation of ARAMARK Uniform Manufacturing Company (incorporated by reference to Exhibit 3.163 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.196 | By-laws of ARAMARK Uniform Manufacturing Company (incorporated by reference to Exhibit 3.164 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.197* | Certificate of Formation of ARAMARK Uniform Services (Baltimore) LLC | |
3.198 | Operating Agreement of ARAMARK Uniform Services (Baltimore) LLC (incorporated by reference to Exhibit 3.171 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.199* | Certificate of Formation of ARAMARK Uniform Services (Carmelo) LLC | |
3.200* | Operating Agreement of ARAMARK Uniform Services (Carmelo) LLC | |
3.201 | Certificate of Formation of ARAMARK Uniform Services (Matchpoint) LLC (incorporated by reference to Exhibit 3.165 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.202 | Operating Agreement of ARAMARK Uniform Services (Matchpoint) LLC (incorporated by reference to Exhibit 3.166 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.203 | Certificate of Formation of ARAMARK Uniform Services (Midwest) LLC (Delaware) (incorporated by reference to Exhibit 3.167 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.204 | Operating Agreement of ARAMARK Uniform Services (Midwest) LLC (Delaware) (incorporated by reference to Exhibit 3.168 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.205 | Certificate of Formation of ARAMARK Uniform Services (Texas) LLC (incorporated by reference to Exhibit 3.169 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.206 | Operating Agreement of ARAMARK Uniform Services (Texas) LLC (incorporated by reference to Exhibit 3.170 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.207 | Certificate of Formation of ARAMARK Uniform Services (Rochester) LLC (incorporated by reference to Exhibit 3.171 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.208 | Limited Liability Company Agreement of ARAMARK Uniform Services (Rochester) LLC (incorporated by reference to Exhibit 3.172 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.209 | Certificate of Formation of ARAMARK Uniform Services (Santa Ana) LLC (incorporated by reference to Exhibit 3.173 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.210 | Limited Liability Company Agreement of ARAMARK Uniform Services (Santa Ana) LLC (incorporated by reference to Exhibit 3.174 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.211 | Certificate of Formation of ARAMARK Uniform Services (Syracuse) LLC (incorporated by reference to Exhibit 3.175 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.212 | Limited Liability Company Agreement ARAMARK Uniform Services (Syracuse) LLC (incorporated by reference to Exhibit 3.176 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.213 | Certificate of Formation of ARAMARK Uniform Services (West Adams) LLC (incorporated by reference to Exhibit 3.179 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.214 | Operating Agreement of ARAMARK Uniform Services (West Adams) LLC (incorporated by reference to Exhibit 3.180 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.215* | Certificate of Formation of ARAMARK WTC, LLC | |
3.216* | Limited Liability Company Agreement of ARAMARK WTC, LLC | |
3.217* | Articles of Amendment to the Articles of Incorporation of Brand Coffee Service, Inc. | |
3.218* | By-laws of Brand Coffee Service, Inc. | |
3.219* | Amended and Restated Certificate of Incorporation of COHR Holdings, Inc. | |
3.220* | By-laws of COHR Holdings, Inc. | |
3.221* | Restated Certificate of Incorporation of COHR, Inc. | |
3.222* | By-laws of COHR, Inc. | |
3.223* | Certificate of Incorporation of D.G. Maren II, Inc. | |
3.224* | By-laws of D.G. Maren II, Inc. | |
3.225 | Certificate of Incorporation of ARAMARK Venue Services, Inc. (incorporated by reference to Exhibit 3.181 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.226 | By-laws of ARAMARK Venue Services, Inc. (incorporated by reference to Exhibit 3.182 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.227 | Certificate of Incorporation of Delsac VIII, Inc. (incorporated by reference to Exhibit 3.183 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.228 | By-laws of Delsac VIII, Inc. (incorporated by reference to Exhibit 3.184 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.229* | Amended and Restated Certificate of Incorporation of Filterfresh Coffee Service, Inc. | |
3.230* | By-laws of Filterfresh Coffee Services, Inc. | |
3.231* | Certificate of Formation of Filterfresh Franchise Group, LLC | |
3.232* | Limited Liability Company Agreement of Filterfresh Franchise Group, LLC | |
3.233 | Certificate of Formation of Fine Host Holdings, LLC (incorporated by reference to Exhibit 3.185 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.234 | Limited Liability Company Agreement of Fine Host Holdings, LLC (incorporated by reference to Exhibit 3.186 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.235* | Articles of Organization of Genesis Technology Partners, LLC | |
3.236* | Limited Liability Company Agreement of Genesis Technology Partners, LLC | |
3.237* | Certificate of Incorporation of GTP Acquisition Co. | |
3.238* | By-laws of GTP Acquisition Co. | |
3.239 | Certificate of Formation of Harrison Conference Associates, LLC (incorporated by reference to Exhibit 3.189 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.240 | Limited Liability Company Agreement of Harrison Conference Associates, LLC (incorporated by reference to Exhibit 3.190 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.241 | Certificate of Incorporation of Harrison Conference Center of Glen Cove, Inc. (incorporated by reference to Exhibit 3.191 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.242 | By-laws of Harrison Conference Center of Glen Cove, Inc. (incorporated by reference to Exhibit 3.192 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.243 | Articles of Incorporation of Harrison Conference Center of Lake Bluff, Inc. (incorporated by reference to Exhibit 3.193 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.244 | By-laws of Harrison Conference Center of Lake Bluff, Inc. (incorporated by reference to Exhibit 3.194 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.245 | Certificate of Organization of Harrison Conference Services of Massachusetts, LLC (incorporated by reference to Exhibit 3.195 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.246 | Operating Agreement of Harrison Conference Services of Massachusetts, LLC (incorporated by reference to Exhibit 3.196 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.247 | Articles of Organization of Harrison Conference Services of North Carolina, LLC (incorporated by reference to Exhibit 3.197 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.248 | Operating Agreement of Harrison Conference Services of North Carolina, LLC (incorporated by reference to Exhibit 3.198 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.249 | Certificate of Incorporation of Harrison Conference Services of Princeton, Inc. (incorporated by reference to Exhibit 3.199 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.250 | By-laws of Harrison Conference Services of Princeton, Inc. (incorporated by reference to Exhibit 3.200 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.251 | Certificate of Organization of Harrison Conference Services of Wellesley, LLC (incorporated by reference to Exhibit 3.201 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.252 | Operating Agreement of Harrison Conference Services of Wellesley, LLC (incorporated by reference to Exhibit 3.202 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.253 | Certificate of Formation of Harry M. Stevens, LLC (incorporated by reference to Exhibit 3.203 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.254 | Operating Agreement of Harry M. Stevens, LLC (incorporated by reference to Exhibit 3.204 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.255 | Certificate of Incorporation of Harry M. Stevens, Inc. of New Jersey (incorporated by reference to Exhibit 3.205 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.256 | By-laws of Harry M. Stevens, Inc. of New Jersey (incorporated by reference to Exhibit 3.206 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.257 | Articles of Incorporation of Harry M. Stevens, Inc. of Penn. (incorporated by reference to Exhibit 3.207 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.258 | By-laws of Harry M. Stevens, Inc. of Penn. (incorporated by reference to Exhibit 3.208 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.259 | Articles of Organization of Kowalski-Dickow Associates, LLC (incorporated by reference to Exhibit 3.209 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.260 | Limited Liability Company Agreement of Kowalski-Dickow Associates, LLC (incorporated by reference to Exhibit 3.210 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.261 | Articles of Organization-Conversion of L&N Uniform Supply, LLC (incorporated by reference to Exhibit 3.211 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.262 | Operating Agreement of L&N Uniform Supply, LLC (incorporated by reference to Exhibit 3.212 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.263 | Articles of Organization-Conversion of Lake Tahoe Cruises, LLC (incorporated by reference to Exhibit 3.213 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.264 | Operating Agreement of Lake Tahoe Cruises, LLC (incorporated by reference to Exhibit 3.214 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.265 | Certificate of Formation of Landy Textile Rental Services, LLC (incorporated by reference to Exhibit 3.215 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.266 | Operating Agreement of Landy Textile Rental Services, LLC (incorporated by reference to Exhibit 3.216 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.267* | Certificate of Formation of Lifeworks Restaurant Group LLC | |
3.268* | Operating Agreement of Lifeworks Restaurant Group, LLC | |
3.269* | Amended and Restated Certificate of Incorporation of MPBP Holdings, Inc. | |
3.270* | By-laws of MPBP Holdings, Inc. | |
3.271 | Articles of Incorporation of MyAssistant, Inc. (incorporated by reference to Exhibit 3.217 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.272 | By-laws of MyAssistant, Inc. (incorporated by reference to Exhibit 3.218 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.273* | Certificate of Formation of New ARAMARK LLC | |
3.274* | Limited Liability Company Agreement of New ARAMARK LLC | |
3.275* | Certificate of Incorporation of Old Time Coffee Co. | |
3.276* | By-laws of Old Time Coffee Co. | |
3.277 | Articles of Incorporation of Overall Laundry Services, Inc. (incorporated by reference to Exhibit 3.219 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.278 | By-laws of Overall Laundry Services, Inc. (incorporated by reference to Exhibit 3.220 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.279 | Articles of Organization of Paradise Hornblower, LLC (incorporated by reference to Exhibit 3.221 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.280 | Amended and Restated Operating Agreement of Paradise Hornblower, LLC (incorporated by reference to Exhibit 3.222 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.281 | Restated Articles of Incorporation of Restaura, Inc. (incorporated by reference to Exhibit 3.223 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.282 | By-laws of Restaura, Inc. (incorporated by reference to Exhibit 3.224 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.283* | Certificate of Formation of Potomac Coffee, LLC | |
3.284* | Limited Liability Company Agreement of Potomac Coffee, LLC | |
3.285* | Certificate of Incorporation of ReMedPar, Inc. | |
3.286* | By-laws of ReMedPar, Inc. | |
3.287 | Articles of Incorporation of Shoreline Operating Company, Inc. (incorporated by reference to Exhibit 3.227 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). |
Exhibit |
Description | |
3.288 | By-laws of Shoreline Operating Company, Inc. (incorporated by reference to Exhibit 3.228 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.289 | Certificate of Limited Partnership of Tahoe Rocket LP (incorporated by reference to Exhibit 3.229 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.290 | Limited Partnership Agreement of Tahoe Rocket LP (incorporated by reference to Exhibit 3.230 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.291 | Articles of Organization of Travel Systems, LLC (incorporated by reference to Exhibit 3.233 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.292 | Operating Agreement of Travel Systems, LLC (incorporated by reference to Exhibit 3.234 to ARAMARK Corporations Form S-4 filed with the SEC on June 7, 2007, pursuant to the Exchange Act (file number 333-143569)). | |
3.293* | Certificate of Incorporation of Van Houtte USA Holdings Inc. | |
3.294* | By-laws of Van Houtte USA Holdings Inc. | |
4.1 | Indenture, dated as of March 7, 2013, among ARAMARK Corporation, the guarantors named therein and The Bank of New York Mellon, as trustee (incorporated by reference to Exhibit 4.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 7. 2013 pursuant to the Exchange Act (file number 001-04762)). | |
4.2 | Registration Rights Agreement, dated as of March 7, 2013, among ARAMARK Corporation, the guarantors named therein, Goldman, Sachs & Co. and J.P. Morgan Securities LLC, as representatives of the several initial purchasers (incorporated by reference to Exhibit 4.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 7. 2013 pursuant to the Exchange Act (file number 001-04762)). | |
4.3* | First Supplemental Indenture, dated as of December 17, 2013, among ARAMARK Holdings Corporation and The Bank of New York Mellon, as trustee. | |
4.4* | Second Supplemental Indenture, dated as of December 17, 2013, among the entities listed in Schedule I thereto and The Bank of New York Mellon, as trustee. | |
5.1* | Opinion of Simpson Thacher & Bartlett LLP. | |
5.2* | Opinion of Stephen R. Reynolds, Executive Vice President, General Counsel and Secretary to ARAMARK Holdings Corporation. | |
10.1 | Employment Agreement dated November 2, 2004 between ARAMARK Corporation and Joseph Neubauer (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K/A filed with the SEC on November 8, 2004, pursuant to the Exchange Act (file number 001-04762)). | |
10.2 | Amendment, effective as of January 26, 2007, to the Employment Agreement dated November 2, 2004 between ARAMARK Corporation and Joseph Neubauer (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on February 1, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.3 | Amendment, effective as of November 15, 2007, to the Employment Agreement dated November 2, 2004 between ARAMARK Corporation and Joseph Neubauer (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 16, 2007, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.4 | Letter relating to Joseph Neubauers Employment Agreement dated November 14, 2008 (incorporated by reference to Exhibit 10.4 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 15, 2008, pursuant to the Exchange Act (file number 001-04762)). | |
10.5 | Letter relating to Joseph Neubauers Employment Agreement dated May 7, 2012 (incorporated by reference to Exhibit 10.7 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 9, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.6 | Third Amendment dated as of November 14, 2012 to the Employment Agreement, dated as of November 2, 2004, as amended from time to time, between ARAMARK Corporation and Joseph Neubauer (incorporated by reference to Exhibit 10.4 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 19, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.7 | Letter Agreement dated May 7, 2012 between ARAMARK Corporation and Eric Foss (incorporated by reference to Exhibit 10.4 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 9, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.8 | Agreement Relating to Employment and Post-Employment Competition dated May 7, 2012 between ARAMARK Corporation and Eric Foss (incorporated by reference to Exhibit 10.5 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 9, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.9 | Amendment, effective as of June 25, 2013, to the Letter Agreement dated May 7, 2012 between ARAMARK Corporation and Eric Foss (incorporated by reference to Exhibit 10.6 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 26, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.10 | Form of Agreement Relating to Employment and Post-Employment Competition and Schedule 1 listing each Executive Officer who is a party to such Agreement (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on July 19, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.11 | Form of Amendment to Agreement Relating to Employment and Post-Employment Competition (incorporated by reference to Exhibit 10.8 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 15, 2008, pursuant to the Exchange Act (file number 001-04762)). | |
10.12 | Agreement Relating to Employment and Post-Employment Competition dated November 14, 2007 between ARAMARK Corporation and Joseph Munnelly (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on February 6, 2008, pursuant to the Exchange Act (file number 001-04762)). | |
10.13 | Agreement Relating to Employment and Post-Employment Competition dated November 8, 2004 between ARAMARK Corporation and Karen A. Wallace (incorporated by reference to Exhibit 10.21 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 20, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.14 | Offer Letter dated July 20, 2012 between ARAMARK and Stephen R. Reynolds (incorporated by reference to Exhibit 10.12 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 20, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.15 | Agreement Relating to Employment and Post-Employment Competition dated December 6, 2012 between ARAMARK Corporation and Stephen R. Reynolds (incorporated by reference to Exhibit 10.13 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 20, 2012, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.16 | Agreement Relating to Employment and Post-Employment Competition dated July 1, 2013 between ARAMARK Corporation and Christina Takoudes Morrison (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on August 7, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.17 | Form of Indemnification Agreement and attached schedule (incorporated by reference to Exhibit 10.4 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on August 10, 2005, pursuant to the Exchange Act (file number 001-04762)). | |
10.18 | Indemnification Agreement dated May 7, 2012 between Eric Foss and ARAMARK Corporation (incorporated by reference to Exhibit 10.6 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 9, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.19 | Indemnification Agreement dated December 15, 2011 between Joseph Munnelly and ARAMARK Corporation (incorporated by reference to Exhibit 10.13 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 15, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.20 | Indemnification Agreement dated December 12, 2012 between Karen A. Wallace and ARAMARK Corporation (incorporated by reference to Exhibit 10.21 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 20, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.21 | Indemnification Agreement dated December 12, 2012 between Stephen R. Reynolds and ARAMARK Corporation (incorporated by reference to Exhibit 10.22 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 20, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.22 | Fifth Amended and Restated ARAMARK Holdings Corporation 2007 Management Stock Incentive Plan (incorporated by reference to Exhibit 10.22 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.23 | Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.5 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on February 1, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.24 | Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on August 8, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.25 | Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 16, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.26 | Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 1, 2010, pursuant to the Exchange Act (file number 001-04762)). | |
10.27 | Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 22, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.28 | Amendment to Outstanding Non-Qualified Stock Option Agreements dated March 1, 2010 (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 1, 2010, pursuant to the Exchange Act (file number 001-04762)). | |
10.29 | Form of Amendment to Outstanding Non-Qualified Stock Option Agreements (incorporated by reference to Exhibit 10.4 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 22, 2011, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.30 | Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 9, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.31 | Form of Non-Qualified Installment Stock Purchase Opportunity Agreement (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 22, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.32 | Form of Non-Qualified Installment Stock Purchase Opportunity Agreement (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 9, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.33 | Form of Non-Qualified Installment Stock Purchase Opportunity Agreement (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 19, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.34 | Form of Non-Qualified Stock Option Award Agreement (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 26, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.35 | Form of Time-Based Restricted Stock Unit Award Agreement with ARAMARK Holdings Corporation (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 26, 2013, pursuant to the Exchange Act (file number 00104762)). | |
10.36 | Form of Restricted Stock Award Agreement with ARAMARK Holdings Corporation (incorporated by reference to Exhibit 10.4 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on June 26, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.37 | Form of Replacement Stock Option Award Agreement with ARAMARK Holdings Corporation (incorporated by reference to Exhibit 10.5 to ARAMARK Corporations Current Report on Form 8K filed with the SEC on June 26, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.38 | Schedule 1s to Outstanding Non-Qualified Stock Option Agreements (incorporated by reference to Exhibit 10.18 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 15, 2009, pursuant to the Exchange Act (file number 001-04762)). | |
10.39 | Schedules 1 to Outstanding Non-Qualified Stock Option Agreements (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 1, 2010, pursuant to the Exchange Act (file number 001-04762)). | |
10.40 | New Schedule 1 to Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 18, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.41 | Revised Schedule 1s to outstanding Non-Qualified Stock Option Agreements (incorporated by reference to Exhibit 10.3 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 18, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.42 | New Schedule 1 to Form of Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 19, 2012, pursuant to the Exchange Act (file number 001-04762)). | |
10.43 | Revised Schedule 1s to outstanding Non-Qualified Stock Option Agreements (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 19, 2012, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.44 | Amended and Restated ARAMARK 2001 Stock Unit Retirement Plan (incorporated by reference to Exhibit 10.22 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 19, 2003, pursuant to the Exchange Act (file number 001-04762)). | |
10.45 | Second Amended and Restated ARAMARK Savings Incentive Retirement Plan (incorporated by reference to Exhibit 10.45 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.46 | Form of Deferred Stock Unit Award Agreement (incorporated by reference to Exhibit 10.46 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.47 | ARAMARK 2001 Deferred Compensation Plan (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Registration Statement on Form S-8 filed with the SEC on May 24, 2002, pursuant to the Securities Act (Registration No. 333-89120)). | |
10.48 | Second Amended and Restated ARAMARK 2005 Deferred Compensation Plan (incorporated by reference to Exhibit 10.48 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.49 | Amended and Restated ARAMARK Holdings Corporation Senior Executive Performance Bonus Plan (incorporated by reference to Exhibit 10.49 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.50 | Amended and Restated Executive Leadership Council Management Incentive Bonus Plan (2014) (incorporated by reference to Exhibit 10.50 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.51 | ARAMARK Holdings Corporation Hardship Stock Repurchase Policy (incorporated by reference to Exhibit 10.35 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 15, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.52 | Limited Liquidity Program (incorporated by reference to Exhibit 10.36 to ARAMARK Corporations Annual Report on Form 10-K filed with the SEC on December 15, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.53 | Amended Survivor Income Protection Plan (incorporated by reference to Exhibit 10.5 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on August 8, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.54 | Form of Amended and Restated Stockholders Agreement (incorporated by reference to Exhibit 10.54 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on December 2, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.55 | Form of Amended and Restated Registration Rights and Coordination Committee Agreement (incorporated by reference to Exhibit 10.55 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on December 2, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.56 | U.S. Pledge and Security Agreement, dated as of January 26, 2007, among ARAMARK Intermediate Holdco Corporation, RMK Acquisition Corporation, ARAMARK Corporation, the Subsidiary Parties from time to time party thereto and Citibank, N.A., as collateral agent (incorporated by reference to Exhibit 10.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on February 1, 2007, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.57 | Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, by and among ARAMARK Corporation (as successor to RMK Acquisition Corporation, ARAMARK Canada Ltd., ARAMARK Investments Limited, ARAMARK Ireland Holdings Limited, ARAMARK Holdings GmbH & Co KG, ARAMARK GmbH, ARAMARK Intermediate Holdco Corporation, the Guarantors (as defined therein) party thereto, the Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent and LC facility issuing bank and the other parties thereto from time to time (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 31, 2010, pursuant to the Exchange Act (file number 001-04762)). | |
10.58 | Amendment Agreement No. 1, dated as of April 18, 2011, to the Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, by and among ARAMARK Corporation (as successor to RMK Acquisition Corporation), ARAMARK Canada Ltd., ARAMARK Investments Limited, ARAMARK Ireland Holdings Limited, ARAMARK Holdings GmbH & Co KG, ARAMARK GmbH, ARAMARK Intermediate Holdco Corporation, the Guarantors (as defined therein) party thereto, the Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent and LC facility issuing bank and the other parties thereto from time to time (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on April 18, 2011, pursuant to the Exchange Act (file number 001-04762)). | |
10.59 | Amendment Agreement No. 2, dated as of February 29, 2012, to the Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, by and among ARAMARK Corporation (as successor to RMK Acquisition Corporation), ARAMARK Canada Ltd., ARAMARK Investments Limited, ARAMARK Ireland Holdings Limited, ARAMARK Holdings GmbH & Co KG, ARAMARK GmbH, ARAMARK Intermediate Holdco Corporation, the Guarantors (as defined therein) party thereto, the Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent and LC facility issuing bank and the other parties thereto from time to time (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 1, 2012, pursuant to the Exchange Act (file number 001-04672). | |
10.60 | Amendment Agreement No. 3, dated as of December 20, 2012, to the Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, as amended by Amendment Agreement No. 1 dated as of April 18, 2011 and as amended by Amendment Agreement No. 2 dated as of February 29, 2012, by and among ARAMARK Corporation (as successor to RMK Acquisition Corporation), ARAMARK Canada Ltd., ARAMARK Investments Limited, ARAMARK Ireland Holdings Limited, ARAMARK Holdings GmbH & Co KG, ARAMARK GmbH, ARAMARK Intermediate Holdco Corporation, the Guarantors (as defined therein) party thereto, the Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent and LC facility issuing bank and the other parties thereto from time to time (incorporated by reference to Exhibit 10.57 to the Companys Annual Report on Form 10-K filed with the SEC on December 20, 2012, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.61 | Amendment Agreement No. 4, dated as of February 22, 2013, to the Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, as amended by Amendment Agreement No. 1 dated as of April 18, 2011, as amended by Amendment Agreement No. 2 dated as of February 29, 2012 and as amended by Amendment Agreement No. 3 dated as of December 20, 2012 by and among ARAMARK Corporation (as successor to RMK Acquisition Corporation), ARAMARK Canada Ltd., ARAMARK Investments Limited, ARAMARK Ireland Holdings Limited, ARAMARK Holdings GmbH & Co KG, ARAMARK GmbH, ARAMARK Intermediate Holdco Corporation, the Guarantors (as defined therein) party thereto, the Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent and LC facility issuing bank and the other parties thereto from time to time (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on February 28, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.62 | Amendment Agreement No. 5, dated as of March 22, 2013, to the Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, as amended by Amendment Agreement No. 1 dated as of April 18, 2011, as amended by Amendment Agreement No. 2 dated as of February 29, 2012, as amended by Amendment Agreement No. 3 dated as of April 20, 2012 and as amended by Amendment Agreement No. 4 dated as of February 22, 2013 by and among ARAMARK Corporation (as successor to RMK Acquisition Corporation), ARAMARK Canada Ltd., ARAMARK Investments Limited, ARAMARK Ireland Holdings Limited, ARAMARK Holdings GmbH & Co KG, ARAMARK GmbH, ARAMARK Intermediate Holdco Corporation, the Guarantors (as defined therein) party thereto, the Lenders (as defined therein), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent and LC facility issuing bank and the other parties thereto from time to time (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 28, 2013, pursuant to the Exchange Act (file number 001-04762)). | |
10.63 | Assumption Agreement, dated as of March 30, 2007, relating to the Credit Agreement dated as of January 26, 2007 among ARAMARK Corporation, the other Borrowers and Loan Guarantors party thereto, the Lenders party thereto, Citibank, N.A., as administrative agent and collateral agent for the Lenders, and the other parties thereto from time to time (incorporated by reference to Exhibit 99.2 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on April 5, 2007, pursuant to the Exchange Act (file number 001-04762)). | |
10.64* | Joinder Agreement, dated as of December 17, 2013, between each New Subsidiary listed on Schedule I thereto and JPMorgan Chase Bank, N.A., as agent. | |
10.65 | Amended and Restated Master Distribution Agreement effective as of March 5, 2011 between SYSCO Corporation and ARAMARK Food and Support Services Group, Inc. (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Quarterly Report on Form 10-Q filed with the SEC on May 12, 2011, pursuant to the Exchange Act (file number 001-04762)) (Portions omitted pursuant to a request for confidential treatment). | |
10.66 | Share Purchase Agreement among Veris plc, ARAMARK Ireland Holdings Limited, ARAMARK Investments Limited and ARAMARK Corporation dated October 2009 (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on November 4, 2009, pursuant to the Exchange Act (file number 001-04762)). | |
10.67 | Agreement and Plan of Merger by and among MPBP Holdings, Inc., ARAMARK Clinical Technology Services, LLC, RMK Titan Acquisition Corporation, ARAMARK Corporation and the stockholders of MPBP Holdings, Inc. party thereto dated March 18, 2011 (incorporated by reference to Exhibit 10.1 to ARAMARK Corporations Current Report on Form 8-K filed with the SEC on March 24, 2011, pursuant to the Exchange Act (file number 001-04762)). |
Exhibit |
Description | |
10.68 | ARAMARK 2005 Deferred Compensation Plan for Directors (incorporated by reference to Exhibit 10.67 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.69 | Revised Schedule 1s to Outstanding Non-Qualified Stock Option Agreements (incorporated by reference to Exhibit 10.68 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.70 | Form of Amendment to Outstanding Non-Qualified Stock Option Agreement (incorporated by reference to Exhibit 10.69 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.71 | ARAMARK Holdings Corporation 2013 Stock Incentive Plan (incorporated by reference to Exhibit 10.70 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.72 | Form of Non-Qualified Stock Option Award under 2013 Stock Incentive Plan (incorporated by reference to Exhibit 10.71 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.73 | Form of Restricted Stock Unit Award under 2013 Stock Incentive Plan (incorporated by reference to Exhibit 10.72 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
10.74 | Form of Deferred Stock Unit Award under 2013 Stock Incentive Plan (incorporated by reference to Exhibit 10.73 to ARAMARK Holdings Corporations Form S-1/A filed with the SEC on November 19, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
12.1* | Ratio of Earnings to Fixed Charges. | |
21.1 | List of subsidiaries of ARAMARK Holdings Corporation (incorporated by reference to Exhibit 21.1 to ARAMARK Holdings Corporations Form S-1 filed with the SEC on September 9, 2013, pursuant to the Exchange Act (file number 333-191057)). | |
23.1* | Consent of Independent Registered Public Accounting FirmKPMG LLP. | |
23.2* | Consent of Independent AuditorsDeloitte Touche Tohmatsu LLC. | |
23.3* | Consent of Simpson Thacher & Bartlett LLP (included in exhibit 5.1). | |
23.4* | Consent of Stephen R. Reynolds, Executive Vice President, General Counsel and Secretary of ARAMARK Holdings Corporation (included in exhibit 5.2). | |
24.1* | Power of Attorney (included on the signature page hereto). | |
25* | Form T-1 Statement of Eligibility under the Trust Indenture Act of 1939 of the Bank of New York with respect to the Indenture | |
99.1* | Form of Letter of Transmittal | |
99.2* | Form of Letter to Brokers, Dealers | |
99.3* | Form of Letter to Clients | |
99.4* | Form of Notice of Guaranteed Delivery |
* | Filed herewith. |
| Identifies exhibits that consist of a management contract or compensatory plan or arrangement. |
Exhibit 3.5
CERTIFICATE OF FORMATION
OF
1st & Fresh, LLC
1. | The name of the limited liability company (the Company) is |
1st & Fresh, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 8th day of July, 2008.
By: | /s/ Lilly Dorsa | |
Lilly Dorsa Organizer |
Exhibit 3.6
OPERATING AGREEMENT
OF
1ST AND FRESH, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of 1st and Fresh, LLC (the Company), dated and effective as of July 8,2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Business & Industry, LLC (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean 1st and Fresh, LLC a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Business & Industry, LLC and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1 Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Business & Industry, LLC Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino Vice president |
3
Exhibit 3.15
CERTIFICATE OF FORMATION
OF
ARAMARK BUSINESS & INDUSTRY, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Business & Industry, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 8th day of July, 2008.
By: | /s/ Lilly Dorsa | |
Lilly Dorsa Organizer |
Exhibit 3.18
OPERATING AGREEMENT
OF
ARAMARK Business & Industry, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Business & Industry, (the Company), dated and effective as of July 8, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean ARAMARK Business & Industry, LLC a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (I) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino | ||
Assoc. Vice President, Tax |
3
Exhibit 3.19
CERTIFICATE OF FORMATION
OF
ARAMARK BUSINESS CENTER, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Business Center, LLC
2. | The address of its registered office in the State of Delaware is: Corporation Trust Center, 1209 Orange Street, Wilmington, New Castle County, Delaware 19801. The name of its registered agent at such address is: The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 28th day of August, 2013.
By: | /s/ Lilly Dorsa | |
Lilly Dorsa Organizer |
Exhibit 3.20
LIMITED LIABILITY COMPANY AGREEMENT
OF
ARAMARK BUSINESS CENTER, LLC
A Delaware Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT (the Agreement) of ARAMARK Business Center, LLC (the Company), dated and effective as of August 28, 2013 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK Business Center, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
5.2. Management. Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation Sole Member | ||
By: | /s/ KAREN A. WALLACE | |
Karen A. Wallace, Vice President and Treasurer |
Exhibit 3.23
CERTIFICATE OF FORMATION
OF
ARAMARK BUSINESS FACILITIES, LLC
1. The name of the limited liability company (the Company) is
ARAMARK Business Facilities, LLC
2. The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of Its registered agent at such address is The Corporation Trust Company.
3. The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act.
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this fourth day of November, 2008.
By: | /s/ LILLY DORSA | |
Lilly Dorsa Organizer |
Exhibit 3.24
OPERATING AGREEMENT
OF
ARAMARK BUSINESS FACILITIES, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Business Facilities, LLC, (the Company), dated and effective as of November 5, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK Business Facilities, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland Senior Vice President |
3
Exhibit 3.35
CERTIFICATE OF FORMATION
OF
ARAMARK CONSTRUCTION AND ENERGY SERVICES, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Construction and Energy Services, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 26th day of August 2010.
By: | /s/ LILLY DORSA | |
Lilly Dorsa Organizer |
Exhibit 3.36
LIMITED LIABILITY COMPANY AGREEMENT
OF
ARAMARK CONSTRUCTION AND ENERGY SERVICES, LLC
A Delaware Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT (the Agreement) of ARAMARK Construction and Energy Services, LLC (the Company), dated and effective as of August 26, 2010 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Facility Services, LLC (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK Construction and Energy Services, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Facility Services, LLC and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
5.2. Management. Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Facility Services, LLC Sole Member | ||
By: | /s/ CHRISTOPHER S. HOLLAND | |
Christopher S. Holland, Treasurer |
Exhibit 3.37
CERTIFICATE OF INCORPORATION
OF
ARAMARK CONSTRUCTION SERVICES, INC.
FIRST: The name of the corporation is ARAMARK Construction Services, Inc.
SECOND: The registered office of the corporation is to be located at 1209 Orange Street, in the City of Wilmington, in the County of New Castle, in the State of Delaware. The name of its registered agent at that address is The Corporation Trust Company.
THIRD: The purpose of the corporation is to engage in any lawful act or activity for which a corporation may be organized under the General Corporation Law of Delaware.
FOURTH: The corporation shall be authorized to issue 1,000 shares all of which are to be of one class and with a par value of $ 1.00 per share.
FIFTH: The name and mailing address of the incorporator is as follows:
Name |
Address | |
Lilly Dorsa | 1101 Market Street | |
Philadelphia, Pennsylvania 19107 |
SIXTH: Elections of directors need not be by written ballot.
SEVENTH: The original by-laws of the corporation shall be adopted by the initial incorporator named herein. Thereafter the Board of Directors shall have the power, in addition to the stockholders, to make, alter, or repeal the by-laws of the corporation.
EIGHTH: Whenever a compromise or arrangement is proposed between this corporation and its creditors or any class of them and/or between this corporation and its stockholders or any class of them, any court of equitable jurisdiction within the State of Delaware may, on the application in a summary way of this corporation or of any creditor or stockholder thereof or on the application of any receiver or receivers appointed for this corporation under the provisions of Section 291 of Title 8 of the Delaware Code or on the application of trustees in dissolution or of any receiver or receivers appointed for this corporation under the provisions of Section 279 of Title 8 of the Delaware Code order a meeting of creditors or class of creditors, and/or of the stockholders or class of stockholders of this corporation, as the case may be, to be summoned in such manner as the said court directs. If a majority in number representing three-fourths in value of the creditors or class of creditors, and/or of the stockholders or class of stockholders of this corporation, as the case may be, agree to any compromise or arrangement and to any reorganization of this corporation as consequence of such compromise or arrangement, the said compromise or arrangement and the said reorganization shall, if sanctioned by the court to which the said application has been made, be binding on all the creditors or class of creditors, and/or on all the stockholders or class of stockholders, of this corporation, as the case may be, and also on this corporation.
NINTH: The corporation reserves the right to amend, alter, change or repeal any provision contained in this Certificate of Incorporation, in the manner now or hereafter prescribed by statute, and all rights conferred upon stockholders are granted subject to this reservation.
I, THE UNDERSIGNED, being the incorporator hereinbefore named, for the purpose of forming a corporation pursuant to the General Corporation Law of the State of Delaware, do make this Certificate, hereby declaring and certifying that this is my act and deed and that the facts herein stated are true, and accordingly have hereunto set my hand this 10th day of December, 2010
/s/ Lilly Dorsa |
Lilly Dorsa |
Incorporator |
Exhibit 3.38
B Y - L A W S
of
ARAMARK CONSTRUCTION SERVICES, INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special
meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.105
STATE OF DELAWARE
CERTIFICATE OF AMENDMENT
1. | The name of the limited liability company is ARAMARK Clinical Technology Services, LLC. |
2. | The Certificate of Formation of the limited liability company is hereby amended as follows: |
1. | The name of the limited liability company is ARAMARK Healthcare Technologies, LLC. |
3. | This Certificate of Amendment of the Certificate of Formation shall become effective on April 30, 2012. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate on the 26th day of April, 2012.
By | /s/ George M. Gowen III | |
George M. Gowen, III | ||
Authorized Agent |
CERTIFICATE OF FORMATION
OF
ARAMARK CLINICAL TECHNOLOGY SERVICES, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK CLINICAL TECHNOLOGY SERVICES, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 26th day of March, 2007.
By: | /s/ RICHARD NEGRIN | |
Richard Negrin | ||
Organizer |
Exhibit 3.115
CERTIFICATE OF FORMATION
OF
ARAMARK Management, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Management, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 20th day of December, 2007.
By: | /s/ LILLY DORSA | |
Lilly Dorsa | ||
Organizer |
Exhibit 3.116
OPERATING AGREEMENT
OF
ARAMARK Management, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Management, LLC (the Company), dated and effective as of December 20, 2007 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK Management, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Lilly Dorsa is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation | ||
Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland Senior Vice President |
3
Exhibit 3.121
CERTIFICATE OF FORMATION
OF
ARAMARK NORTH CAROLINA TECHNICAL SERVICES, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK North Carolina Technical Services, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 22nd day of August, 2007
By: | /s/ JOHN G. WIXTED | |
John G. Wixted | ||
Organizer |
Exhibit 3.122
OPERATING AGREEMENT
OF
ARAMARK NORTH CAROLINA TECHNICAL SERVICES, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK North Carolina Technical Services, LLC, (the Company), dated and effective as of August 22, 2007 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Facility Services, LLC (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK North Carolina Technical Services, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Facility Services, LLC. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
5.2. Management. Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Facility Services, LLC Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino, Vice President |
Exhibit 3.125
CERTIFICATE OF FORMATION
OF
ARAMARK PROCESSING, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Processing, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 8th day of May, 2008.
By: | /s/ Lilly Dorsa | |
Lilly Dorsa Organizer |
Exhibit 3.126
OPERATING AGREEMENT
OF
ARAMARK Processing, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Processing, LLC (the Company), dated and effective as of May 9, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Management Services Limited Partnership, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK Processing, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Management Services Limited Partnership and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Management Services Limited Partnership Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino, Vice President | ||
ARAMARK SMMS, LLC, General Partner |
3
Exhibit 3.127
CERTIFICATE OF FORMATION
OF
ARAMARK QATAR, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Qatar, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this eighth day of August, 2007
By: | /s/ MEGAN C. TIMMINS | |
Megan C. Timmins | ||
Organizer |
Exhibit 3.128
OPERATING AGREEMENT
OF
ARAMARK QATAR, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Qatar, LLC, (the Company), dated and effective as of August 8, 2007 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK U.S. Offshore Services, LLC (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK Qatar, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK U.S. Offshore Services, LLC. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Lilly Dorsa is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK U.S. Offshore Services, LLC Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino, Vice President |
Exhibit 3.129
CERTIFICATE OF FORMATION
OF
ARAMARK RAIL SERVICES, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Rail Services, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 9th day of October, 2008
By: | /s/ LILLY DORSA | |
Lilly Dorsa | ||
Organizer |
Exhibit 3.130
OPERATING AGREEMENT
OF
ARAMARK Rail Services, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Rail Services, LLC, (the Company), dated and effective as of October 10, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Business & Industry, LLC, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean ARAMARK Rail Services, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Business & Industry, LLC and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Business & Industry, LLC Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland | ||
Treasurer |
3
Exhibit 3.135
CERTIFICATE OF FORMATION
OF
ARAMARK REFRESHMENT SERVICES OF TAMPA, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Refreshment Services of Tampa, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 17th day of June, 2008.
By: | /s/ LILLY DORSA | |
Lilly Dorsa Organizer |
Exhibit 3.136
OPERATING AGREEMENT
OF
ARAMARK REFRESHMENT SERVICES OF TAMPA, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Refreshment Services of Tampa, LLC (the Company), dated and effective as of June 17, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Refreshment Services, LLC, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean ARAMARK Refreshment Services of Tampa, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean ARAMARK Refreshment Services, LLC and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Refreshment Services, LLC Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino, Vice President |
3
Exhibit 3.139
CERTIFICATE OF FORMATION
OF
ARAMARK SCHOOLS FACILITIES, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Schools Facilities, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this fourth day of November, 2008.
By: | /s/ LILLY DORSA | |
Lilly Dorsa | ||
Organizer |
Exhibit 3.140
OPERATING AGREEMENT
OF
ARAMARK SCHOOLS FACILITIES, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Schools Facilities, LLC, (the Company), dated and effective as of November 5, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean ARAMARK Schools Facilities, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland | ||
Senior Vice President |
3
Exhibit 3.185
RESTATED ARTICLES OF INCORPORATION
OF
ARAMARK TECHNICAL SERVICES NORTH CAROLINA, INC.
Pursuant to §55-10-07 of the General Statutes of North Carolina, the undersigned corporation, originally formed on October 10, 1967, which changed its name to Entergy Operations Services North Carolina, Inc., which changed its name to ARAMARK Technical Services North Carolina, Inc., hereby submits the following for the purpose of restating its Articles of Incorporation.
1. The name of the corporation is ARAMARK Technical Services North Carolina, Inc.
2. The period of the corporation shall be perpetual.
3. The nature of the business, objects and purposes to be transacted, promoted and carried on by the corporation are as follows:
To conduct and carry on any and all lawful business or enterprise, including the business of builders and contractors for the purpose of building, erecting, altering, repairing or doing any other work in connection with any and all classes of building and improvements of any kind and nature, whatsoever, including the building, rebuilding, alteration, repairing or improvement of houses, factories, buildings, works, or erections of every kind and description whatsoever, including locating, laying out and construction of roads, avenues, docks, slips, sewers, bridges, wells, walls, canals, and generally in all classes of buildings, erections and works, both public and private, or integral parts thereof, and to perform engineering and architectural work, and generally to do and perform any and all works as builders and contractors and with that end in covering the building and contracting business and the work connected therewith.
4. The aggregate number of shares which the corporation shall have the authority to issue is One Thousand (1000), divided into one class. The designation of each class, series, if any, within each class, and the par, value, if any, of the shares of each class, or a statement that the shares of any class are without par value is as follows:
CLASS |
NUMBER OF SHARES | PAR VALUE PER SHARE |
||||||
Common |
1,000 | $ | 100.00 |
The preferences, limitations and relative rights in respect of the shares of each class are as follows:
None
5. The address of the registered office of the corporation is 150 Fayetteville Street, Box 1011, Raleigh, North Carolina in Wake County and the name of the registered agent at such address is CT Corporation System.
6. The names and addresses of the incorporators of this corporation are:
Vernon Glenn Avery, Jr. Murray W. Ferguson Harold Stokes Williams |
811 Princess Street, Wilmington, NC 2930 Park Avenue, Wilmington, NC 719 Wilba Road, Mebane, NC |
7. The street and mailing address of the principal office of the corporation is 1101 Market Street, Philadelphia, PA 19107 in Philadelphia County. The telephone number is 800-999-8989.
IN WITNESS WHEREOF, I have hereunto set my hand, this 16th day of July, 2013
ARAMARK TECHNICAL SERVICES NORTH CAROLINA, INC. | ||
By: | /s/ John G. Wixted | |
John G. Wixted Assistant Secretary |
2
Exhibit 3.186
B Y - L A W S
of
ARAMARK TECHNICAL SERVICES NORTH CAROLINA, INC.
Incorporated under the laws of North Carolina
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including without limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all
meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Sections 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.187
CERTIFICATE OF FORMATION
OF
ARAMARK TOGWOTEE, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Togwotee, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 17th day of March, 2008.
By: | /s/ Lilly Dorsa | |
Lilly Dorsa | ||
Organizer |
Exhibit 3.188
OPERATING AGREEMENT
OF
ARAMARK TOGWOTEE, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Togwotee, LLC, (the Company), dated and effective as of March 17, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Sports and Entertainment Services, LLC, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean ARAMARK Togwotee, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean ARAMARK Sports and Entertainment Services, LLC. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Sports and Entertainment Services, LLC Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino, Vice President |
3
Exhibit 3.197
STATE OF DELAWARE
CERTIFICATE OF AMENDMENT
1. |
Name of Limited Liability Company: | ARAMARK Uniform Services | ||
(Pittsburgh) LLC | ||||
2. |
The Certificate of Formation of the limited liability company is hereby amended as follows:
| |||
By changing the First Article thereof so that, as amended, said Article shall be and read as follows:
The name of the limited liability company is
ARAMARK Uniform Services (Baltimore) LLC
| ||||
IN WITNESS WHEREOF, the undersigned has executed this Certificate on the third day of March , A.D. 2008 . |
By: |
/s/ Megan C. Timmins | |
Authorized Person(s) | ||
Name: | Megan C. Timmins | |
Print or Type |
CERTIFICATE OF FORMATION
OF
ARAMARK UNIFORM SERVICES (PITTSBURGH) LLC
1. The name of the limited liability company (the Company) is
ARAMARK Uniform Services (Pittsburgh) LLC
2. The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company.
3. The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act.
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this second day of March, 2006.
By: | /s/ Lilly Dorsa | |
Lilly Dorsa Organizer |
Exhibit 3.199
CERTIFICATE OF FORMATION
OF
ARAMARK UNIFORM SERVICES (CARMELO) LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK Uniform Services (Carmelo) LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this 26th day of June, 2008.
By: | /s/ LILLY DORSA | |
Lilly Dorsa | ||
Organizer |
Exhibit 3.200
OPERATING AGREEMENT
OF
ARAMARK UNIFORM SERVICES (CARMELO) LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of ARAMARK Uniform Services (Carmelo) LLC (the Company), dated and effective as of June 27th, 2008 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Uniform & Career Apparel, LLC, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean ARAMARK Uniform Services (Carmelo) LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean ARAMARK Uniform & Career Apparel, LLC. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2 Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Uniform & Career Apparel, LLC Sole Member | ||
By: | /s/ Alexander P. Marino | |
Alexander P. Marino, Vice President |
3
Exhibit 3.215
CERTIFICATE OF FORMATION
OF
ARAMARK WTC, LLC
1. | The name of the limited liability company (the Company) is |
ARAMARK WTC, LLC
2. | The address of its registered office in the State of Delaware is: Corporation Trust Center, 1209 Orange Street, Wilmington, New Castle County, Delaware 19801. The name of its registered agent at such address is: The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation on April 26, 2012
By: | /s/ Kimberly S. Cook | |
Kimberly S. Cook Organizer |
Exhibit 3.216
LIMITED LIABILITY COMPANY AGREEMENT
OF
ARAMARK WTC, LLC
A Delaware Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT (the Agreement) of ARAMARK WTC, LLC (the Company), dated and effective as of April 26, 2012 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Sports and Entertainment Services, LLC (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean ARAMARK WTC, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Sports and Entertainment Services, LLC and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
5.2. Management. Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Sports and Entertainment Services, LLC | ||
Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland Treasurer |
Exhibit 3.217
ARTICLES OF AMENDMENT
TO THE
ARTICLES OF INCORPORATION
|
||||
STATE OF TEXAS | )( | |||
COUNTY OF HARRIS |
)( |
Pursuant to the provisions of Articles 2.10 and 4.04 of the Texas Business Corporation Act, the undersigned corporation adopts the following Articles of Amendment to its Articles of Incorporation:
ARTICLE ONE
The name of the corporation is WEST LOOP 610 BUILDING, INC.
ARTICLE TWO
The following amendment to the Articles of Incorporation was adopted and unanimously approved by the shareholders and directors of the corporation on October 30, 1981.
The name of the corporation is changed from WEST LOOP 610 BUILDING, INC., to BRAND COFFEE SERVICE, INC.
ARTICLE THREE
The following amendment to the Articles of Incorporation was adopted and unanimously approved by the shareholders and directors of the corporation on October 30, 1981.
The address, including street number, of its present registered office as shown in the records of the Secretary of the State of Texas, prior to filing these Articles of Amendment is 800 Bank of the Southwest Building, Houston, Texas 77002.
The address, including street and number, to which its registered office is to be changed is 1010 Washington Ave., Houston, Texas 77002.
The name of its present registered agent, as shown in the records of the Secretary of the State of Texas, prior to filing these Articles of Amendment is William C. Liedtke, III.
The name of the new registered agent is Barry E. DeBakey.
The address of its registered office and the address of the business office of its registered agent, as changed, will be identical.
Such changes were unanimously authorized and approved by the shareholders and directors of the Corporation on October 30, 1981.
DATED October 30, 1981.
BRAND COFFEE SERVICE, INC., | ||||||
Formerly | ||||||
WEST LOOP 610 BUILDING, INC. | ||||||
BY: | /s/ Barry E. DeBakey | |||||
BARRY E. DeBAKEY, President | ||||||
and | ||||||
BY: |
/s/ Michael S. Chadwick | |||||
MICHAEL S. CHADWICK, Secretary |
STATE OF TEXAS | )( | |||
COUNTY OF HARRIS | )( |
BEFORE ME, a notary public, on this day personally appeared BARRY E. DeBAKEY and MICHAEL S. CHADWICK known to me to be the persons whose names are subscribed to the foregoing document and, being by me first duly sworn, each declared that the statements contained therein are true and correct.
Given under my hand and seal of office this 30TH day of October, 1981.
NOTARY PUBLIC STATE OF TEXAS |
My commission expires August 22, 1981 |
-2-
ARTICLES OF AMENDMENT TO THE ARTICLES OF INCORPORATION OF WORLD VENDING COMPANY |
Pursuant to the provisions of Art. 4.04 of the Texas Business Corporation Act, the undersigned corporation adopts the following Articles of Amendment to its Articles of Incorporation which changes the name of the corporation from World Vending Company to West Loop 610 Building, Inc.:
ARTICLE ONE. The name of the corporation is World Vending Company.
ARTICLE TWO. The following amendment to its Articles of Incorporation was adopted by the shareholders of the corporation on October 4, 1979:
ARTICLE 1 of its Articles of Incorporation is hereby amended so as to read as follows:
Article 1.
The name of the Corporation is West Loop 610 Building, Inc.
ARTICLE THREE. The number of shares of the corporation outstanding at the time of such adoption was 100; and the number of shares entitled to vote thereon was 100.
ARTICLE FOUR. The holders of all the shares outstanding and entitled to vote on said amendment have signed a consent in writing adopting said amendment.
Dated October 4, 1979.
WORLD VENDING COMPANY | ||
By | /s/ B. E. DeBakey | |
B. E. DeBakey President | ||
By | /s/ Michael S. Chadwick | |
Michael S. Chadwick Secretary |
-3-
THE STATE OF TEXAS | § | |||
§ | ||||
COUNTY OF HARRIS | § |
I, Judith Ann Tarpey, a notary public, do hereby certify that on this fourth day of October, 1979, personally appeared before me B. E. DeBakey, who, being by me first duly sworn, declared that he is the President of World Vending Company, that he signed the foregoing document as President of the corporation and that the statements therein contained are true.
/s/ Judith Ann Tarpey |
Notary Public in and for Harris County, Texas |
-4-
ARTICLES OF INCORPORATION
OF
WORLD VENDING COMPANY |
The undersigned, natural person of the age of eighteen (18) years or more and a citizen of the State of Texas, acting as sole incorporator of a corporation under the provisions of the Texas Business Corporation Act, adopts the following Articles of Incorporation:
ARTICLE 1.
The name of the Corporation is World Vending Company.
ARTICLE 2.
The period of duration of the Corporation is perpetual.
ARTICLE 3.
The purpose for which the Corporation is organized is to engage in any or all lawful acts, activities or businesses for which a corporation may be organized under the Texas Business Corporation Act.
ARTICLE 4.
The aggregate number of shares which the Corporation shall have authority to issue is ten thousand (10,000) shares of common stock with the par value of ten cents ($.10) per share.
ARTICLE 5.
The Corporation will not commence business until it has received for the issuance of its shares consideration of the value of at least One Thousand Dollars ($1,000.00), consisting of money, labor done or property actually received.
ARTICLE 6.
Without necessity for action by its shareholders, the Corporation may purchase, directly or indirectly, its own shares to the extent of the aggregate of unrestricted capital surplus available therefor and unrestricted reduction surplus available therefor.
-5-
ARTICLE 7.
Section 7.1. The shareholders of the Corporation shall not have a preemptive right to acquire additional, unissued, or treasury shares of the Corporation or securities of the Corporation convertible into or carrying a right to subscribe to or acquire such shares.
Section 7.2. No shareholder of the Corporation shall have the right to cumulate his votes in the election of directors.
ARTICLE 8.
Section 8.1. Notwithstanding any provision of the Texas Business Corporation Act which requires the vote or concurrence of the holders of more than a majority of the shares of the Corporation entitled to vote to take an action, the vote or concurrence of the holders of a majority of the shares of the Corporation entitled to vote shall be sufficient to take such action.
Section 8.2. The holders of at least a majority of the shares of the Corporation entitled to vote, represented in person or by proxy, shall constitute a quorum at any meeting of the shareholders of the Corporation.
Section 8.3. Any contract or other transaction between the Corporation and one or more of its directors or between the Corporation and another corporation, partnership, joint venture, trust or other enterprise of which one or more of the Corporations directors are shareholders, members, officers, directors or employees or in which they are otherwise interested, shall be valid for all purposes, notwithstanding the presence of such director or directors at the meeting of the Board of Directors, Executive Committee or other committee of the Corporation which acts upon or in reference to such contract or transaction and notwithstanding his or their
-6-
participation in such action if the fact of such interest shall be disclosed or known to the Board of Directors, Executive Committee or other committee, as the case may be, and such body shall, nevertheless, authorize, approve or ratify such contract or transaction by vote of a majority of the directors present at the meeting of the Board of Directors or a majority of the members of the Executive Committee or other committee, as the case may be. Such interested director or directors shall be counted in determining whether any necessary quorum is present but shall not be counted in calculating the majority necessary to carry any such vote. This Section 8.3 shall not be construed to invalidate any contract or other transaction which would otherwise be valid under applicable common or statutory law.
ARTICLE 9.
Section 9.1. Each director and officer of the Corporation, and any person who may have served at the request of the Corporation as a director or officer of another corporation in which it owns shares or of which it is a creditor, shall be indemnified by the Corporation against any costs and expenses, including counsel fees, actually and necessarily incurred in connection with the defense of any civil, criminal, administrative or other claim, action, suit or proceeding (whether by or in the right of the Corporation or otherwise) in which he may become involved or with which he may be threatened, by reason of his being or having been a director or officer of the Corporation, or by reason of his serving or having served at the request of the Corporation as a director or officer of another corporation as aforesaid, and against any payments in settlement of any such claim, action, suit or proceeding or in satisfaction of any related judgment, fine or penalty upon receipt by the Corporation of an opinion of independent legal counsel,
-7-
acceptable to both the Corporation and the person to be indemnified, that he acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the Corporation, and in respect of any criminal action, reasonably believed that his conduct was lawful.
Section 9.2. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself, create a presumption that the person to be indemnified did not act in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the Corporation, and in respect of any criminal action or proceeding, did not reasonably believe that his conduct was lawful.
Section 9.3. The foregoing right of indemnification shall not be deemed exclusive of any other rights to which any director, officer or other person may be entitled under any other bylaw, agreement, vote of shareholders or disinterested directors, as a matter of law or otherwise, both as transaction in his official capacity and as to action in another capacity while holding such office and shall continue as to a person who has ceased to be a director, officer or representative and shall inure to the benefit of the heirs, executors and administrators of such a person. No person shall be entitled to indemnification pursuant to this Article 9 in relation to any matter as to which indemnification shall not be permitted by law.
ARTICLE 10.
The address of the initial registered office of the Corporation is 2900 South Tower, Pennzoil Place, Houston, Texas 77002, and the name of the initial registered agent of the Corporation at such address is Christopher L. Rafferty.
-8-
ARTICLE 11.
The initial Board of Directors shall consist of three (3) members who shall serve as directors until the first annual meeting of shareholders or until their successors shall have been elected and qualified, and whose names and addresses are as follows:
Name |
Address | |||
Michael S. Chadwick | 2608 Ella Lee Houston, Texas 77019 | |||
B. S. DeBakey | 2016 Harold Street Houston, Texas 77098 | |||
H. Ben Taub | 909 Franklin Houston, Texas 77002 |
ARTICLE 12.
The name and address of the incorporator of the Corporation is as follows:
Name |
Address | |||
Christopher L. Rafferty | 2900 South Tower Pennzoil Place Houston, Texas 77002 |
IN WITNESS WHEREOF, I have hereunto set my hand this 8th day of July, 1976.
/s/ Christopher L. Rafferty |
Christopher L. Rafferty |
THE STATE OF TEXAS | § | |
§ | ||
COUNTY OF HARRIS | § |
I, A. Estelle Fulton, a Notary Public, do hereby certify that on this 8th day of July, 1976, personally appeared before me, Christopher L. Rafferty, who being by me first duly sworn, declared that he is the person who signed the foregoing document as incorporator, and that the statements therein contained are ture.
/s/ A. Estelle Fulton |
Notary Public in and for Harris County, TEXAS |
-9-
Exhibit 3.218
November 3, 2008
B Y - L A W S
of
Brand Coffee Service, Inc.
Incorporated under the laws of Texas
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including without limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times
fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.219
AMENDED AND RESTATED
CERTIFICATE OF INCORPORATION
OF
COHR HOLDINGS, INC.
Cohr Holdings, Inc., a corporation organized and existing under the laws of the State of Delaware, DOES HEREBY CERTIFY AS FOLLOWS:
SECTION 1. The name of the corporation is Cohr Holdings, Inc. The original Certificate of Incorporation was filed with the Secretary of State of the State of Delaware on February 1, 2006.
SECTION 2. This Restated Certificate of Incorporation, having been duly adopted in accordance with Sections 228 and 242 of the General Corporation Law of the State of Delaware and by the written consent of the stockholders of Cohr Holdings, Inc., restates and further amends the provisions of the Certificate of Incorporation as amended or supplemented heretofore. As so restated and further amended, the Restated Certificate of Incorporation reads as follows:
1. Name. The name of this corporation is Cohr Holdings, Inc.
2. Registered Office. The registered office of this corporation in the State of Delaware is located at 2711 Centerville Road, Suite 400 in the City of Wilmington 19808, County of New Castle. The name of its registered agent at such address is Corporation Service Company.
3. Purpose. The purpose of this corporation is to engage in any lawful act or activity for which corporations may be organized under the General Corporation Law of the State of Delaware.
4. Stock. The total number of shares of stock that this corporation shall have authority to issue is 1,000 shares of Common Stock, $0.001 par value per share. Each share of Common Stock shall be entitled to one vote.
5. Change in Number of Shares Authorized. Except as otherwise provided in the provisions establishing a class of stock, the number of authorized shares of any class or series of stock may be increased or decreased (but not below the number of shares thereof then outstanding) by the affirmative vote of the holders of a majority of the voting power of the corporation entitled to vote irrespective of the provisions of Section 242(b)(2) of the General Corporation Law of the State of Delaware.
6. Election of Directors. The election of directors need not be by written ballot unless the by-laws shall so require.
7. Authority of Directors. In furtherance and not in limitation of the power conferred upon the board of directors by law, the board of directors shall have power to make, adopt, alter, amend and repeal from time to time by-laws of this corporation, subject to the right of the stockholders entitled to vote with respect thereto to alter and repeal by-laws made by the board of directors.
8. Liability of Directors. A director of this corporation shall not be liable to the corporation or its stockholders for monetary damages for breach of fiduciary duty as a director, except to the extent that exculpation from liability is not permitted under the General Corporation Law of the State of Delaware as in effect at the time such liability is determined. No amendment or repeal of this paragraph 9 shall apply to or have any effect on the liability or alleged liability of any director of the corporation for or with respect to any acts or omissions of such director occurring prior to such amendment or repeal.
9. Indemnification. This corporation shall, to the maximum extent permitted from time to time under the law of the State of Delaware, indemnify and upon request advance expenses to any person who is or was a party or is threatened to be made a party to any threatened, pending or completed action, suit, proceeding or claim, whether civil, criminal, administrative or investigative, by reason of the fact that such person is or was or has agreed to be a director or officer of this corporation or while a director or officer is or was serving at the request of this corporation as a director, officer, partner, trustee, employee or agent of any corporation, partnership, joint venture, trust or other enterprise, including service with respect to employee benefit plans, against expenses (including attorneys fees and expenses), judgments, fines, penalties and amounts paid in settlement incurred (and not otherwise recovered) in connection with the investigation, preparation to defend or defense of such action, suit, proceeding or claim; provided, however, that the foregoing shall not require this corporation to indemnify or advance expenses to any person in connection with any action, suit, proceeding, claim or counterclaim initiated by or on behalf of such person. Such indemnification shall not be exclusive of other indemnification rights arising under any by-law, agreement, vote of directors or stockholders or otherwise and shall inure to the benefit of the heirs and legal representatives of such person. The indemnification and exculpation protections afforded pursuant to this paragraph 9 shall also be afforded for any liability for acts or omissions occurring on or prior to the date of this filing that existed in favor of the current or former directors, officers, partners or employees of any predecessor to the corporation by merger as provided in the respective organizational documents or in indemnification agreements of such predecessor, which the corporation expressly assumes and which shall continue in full force and effect in accordance with their respective terms for a period of not less than six (6) years from the date hereof. Any person seeking indemnification under this paragraph 9 shall be deemed to have met the standard of conduct required for such indemnification unless the contrary shall be established. Any repeal or modification of the foregoing provisions of this paragraph 9 shall not adversely affect any right or protection of a director or officer of this corporation with respect to any acts or omissions of such director or officer occurring prior to such repeal or modification.
-2-
10. Records. The books of this corporation may (subject to any statutory requirements) be kept outside the State of Delaware as may be designated by the board of directors or in the by-laws of this corporation.
11. Meeting of Stockholders of Certain Classes. If at any time this corporation shall have a class of stock registered pursuant to the provisions of the Securities Exchange Act of 1934, for so long as such class is so registered, any action by the stockholders of such class must be taken at an annual or special meeting of stockholders and may not be taken by written consent.
[The remainder of this page is intentionally left blank.]
-3-
The Company has caused this certificate to be executed by the undersigned officer as of this 31st day of January, 2007.
/s/ Carrie Blankenheim |
Name: Carrie Blankenheim Title: Chief Financial Officer & Secretary |
Exhibit 3.220
B Y - L A W S
of
COHR HOLDINGS, INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the
Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.221
RESTATED CERTIFICATE OF INCORPORATION
OF
COHR INC.
Pursuant to Sections 228, 242 and 245 of the General Corporation Law of the State of Delaware. The present name of the corporation is COHR Inc. (hereinafter the Corporation). The name under which the Corporation was originally incorporated is MasterPlan Inc., and the date of filing the original Certificate of Incorporation of the Corporation with the Secretary of the State of Delaware is May 7, 1999, a corporation organized and existing under the laws of the State of Delaware, hereby certifies that:
First: The name of the corporation is COHR Inc.
Second: The address of the Corporations initial registered office in Delaware and the name of the Corporations initial registered agent at that address are as follows:
Corporation Service Company
2711 Centerville Rd.
Suite 400
Wilmington, DE 19808
Third: The purpose for which the Corporation is formed is to engage in any lawful act or activity for which corporations may be organized under the General Corporation Law of Delaware.
Fourth: The total number of shares of stock which the Corporation will have authority to issue is 100 shares of Common Stock, par value $1.00 per share.
Fifth: The directors of the Corporation will have the power to amend the by-laws of the Corporation.
Sixth: No director will be liable to the Corporation or its stockholders for monetary damages for breach of fiduciary duty as a director, except (i) for any breach of the directors duty of loyalty to the Corporation or its stockholders, (ii) for acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law, (iii) under Section 174 of the Delaware General Corporation Law, or (iv) for any transaction from which the director derived an improper personal benefit.
Seventh: The provisions of the Certificate of Incorporation of the Corporation as heretofore amended and/or supplemented, and as herein amended, are restated and integrated into the single instrument which is hereinafter set forth, and which is entitled Restated Certificate of Incorporation of COHR Inc. without any further amendment other than the amendments herein certified and without any discrepancy between the provisions of the said single instrument hereinafter set forth.
Eighth: The amendments and restatement of the Restated Certificate of Incorporation herein certified have been duly adopted by the shareholders in accordance with the provisions of Sections 228, 242 and 245 of the General Corporation Law of the State of Delaware.
IN WITNESS WHEREOF, I have signed this Certificate on March 31, 2006.
/s/ Bruce Cree |
Name: Bruce Cree Title: President |
Exhibit 3.222
BY-LAWS
of
COHR INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the
Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their
offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.223
CERTIFICATE OF INCORPORATION
OF
D.G. MAREN II, INC.
FIRST: The name of the corporation is D. G. Maren ll, Inc.
SECOND: The registered office of the corporation is to be located at 1208 Orange Street, in the City of Wilmington, in the County of New Castle, in the State of Delaware. The name of its registered agent at that address is The Corporation Trust Company.
THIRD: The purpose of the corporation is solely to operate Burger King restaurants, and any lawful act or activity for which a corporation may be organized under the General Corporation Law of Delaware, reasonably related to the operation of Burger King restaurants.
FOURTH: The corporation shall be authorized to issue 1,000 shares all of which are to be of one class and with a par value of $1.00 per share.
FIFTH: The name and mailing address of the incorporator is as follows:
Name |
Address | |
Lilly Dorsa | 1101 Market Street | |
Philadelphia, Pennsylvania 19107 |
SIXTH: Elections of directors need not be by written ballot.
SEVENTH: The original by-laws of the corporation shall be adopted by the initial incorporator named herein. Thereafter the Board of Directors shall have the power, in addition to the stockholders, to make, alter, or repeal the by-laws of the corporation.
EIGHTH: Whenever a compromise or arrangement is proposed between this corporation and its creditors or any class of them and/or between this corporation and its stockholders or any class of them, any court of equitable jurisdiction within the State of Delaware may, on the application in a summary way of this corporation or of any creditor or stockholder thereof or on the application of any receiver or receivers appointed for this corporation under the provisions of Section 291 of Title 8 of the Delaware Code or on the application of trustees in dissolution or of any receiver or receivers appointed for this corporation under the provisions of Section 279 of Title 8 of the Delaware Code order a meeting of creditors or class of creditors, and/or of the stockholders or class of stockholders of this corporation, as the case may be, to be summoned in such manner as the said court directs. If a majority in number representing three-fourths in value of the creditors or class of creditors and/or of the stockholders or class of stockholders of this corporation, as the case may be, agree to any compromise or arrangement and to any reorganization of this corporation as consequence of such compromise or arrangement, the said compromise or arrangement and the said reorganization shall, if sanctioned by the court to which the said application has been made, be binding on all the creditors or class of creditors, and/or on all the stockholders or class of stockholders, of this corporation, as the case may be, and also on this corporation.
NINTH: The corporation reserves the right to amend, alter, change or repeal any provision contained in this Certificate of Incorporation, in the manner now or hereafter prescribed by statute, and all rights conferred upon stockholders are granted subject to this reservation; provided, however, that no such amendment, alteration, change or repeal shall conflict with the terms of any Burger King Franchise Agreement to which the Corporation is a party.
I, THE UNDERSIGNED, being the incorporator hereinbefore named, for the purpose of forming a corporation pursuant to the General Corporation Law of the State of Delaware, do make this Certificate, hereby declaring and certifying that this is my act and deed and that the facts herein stated are true, and accordingly have hereunto set my hand this 21st day of August, 1997.
/s/ Lilly Dorsa |
Lilly Dorsa |
Incorporator |
Exhibit 3.224
BY-LAWS
of
D.G. MAREN, II. INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable
provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.229
AMENDED AND RESTATED
CERTIFICATE OF INCORPORATION
OF
FILTERFRESH COFFEE SERVICE, INC.
* * * * * *
Filterfresh Coffee Service, Inc., a corporation organized and existing under the laws of the State of Delaware (the Corporation), hereby certifies as follows:
1. The name of the Corporation is Filterfresh Coffee Service, Inc. The name under which the Corporation was originally incorporated is Filterfresh Corporation. The date of filing of its original Certificate of Incorporation with the Secretary of State was September 10, 1984.
2. This Amended and Restated Certificate of Incorporation was duly adopted by unanimous written consent of the stockholders in accordance with the applicable provisions of Section 228, 242 and 245 of the General Corporation Law of the State of Delaware.
3. This Amended and Restated Certificate of Incorporation restates and integrates and further amends the certificate of incorporation of the Corporation as heretofore amended, supplemented and/or restated (the Certificate of Incorporation).
4. The text of the Certificate of Incorporation as amended and restated in its entirety is amended and restated in its entirety as follows:
FIRST: The name of the corporation is Filterfresh Coffee Service, Inc.
SECOND: The registered office of the corporation is to be located at 1209 Orange Street, in the City of Wilmington, in the County of New Castle, in the State of Delaware, 19801. The name of its registered agent at that address is The Corporation Trust Company.
THIRD: The purpose of the corporation is to engage in any lawful act or activity for which a corporation may be organized under the General Corporation Law of Delaware.
FOURTH: The corporation shall be authorized to issue 1,000 shares all of which are to be of one class and with a par value of $1.00 per share.
SIXTH: Elections of directors need not be by written ballot.
SEVENTH: The Board of Directors shall have the power, separate from and in addition to the stockholders, to make, alter, or repeal the by-laws of the corporation.
EIGHTH: Whenever a compromise or arrangement is proposed between the corporation and its creditors or any class of them and/or between the corporation and its stockholders or any class of them, any court of equitable jurisdiction within the State of Delaware may, on the application in a summary way of the corporation or of any creditor or stockholder thereof or on the
application of any receiver or receivers appointed for the corporation under the provisions of Section 291 of Title 8 of the Delaware Code or on the application of trustees in dissolution or of any receiver or receivers appointed for the corporation under the provisions of Section 279 of Title 8 of the Delaware Code order a meeting of creditors or class of creditors, and/or of the stockholders or class of stockholders of the corporation, as the case may be, to be summoned in such manner as the said court directs. If a majority in number representing three-fourths in value of the creditors or class of creditors, and/or of the stockholders or class of stockholders of the corporation, as the case may be, agree to any compromise or arrangement and to any reorganization of the corporation as consequence of such compromise or arrangement, the said compromise or arrangement and the said reorganization shall, if sanctioned by the court to which the said application has been made, be binding on all the creditors or class of creditors, and/or on all the stockholders or class of stockholders, of the corporation, as the case may be, and also on the corporation.
NINTH: The corporation reserves the right to amend, alter, change or repeal any provision contained in this Certificate of Incorporation, in the manner now or hereafter prescribed by statute, and all rights conferred upon stockholders are granted subject to this reservation.
IN WITNESS WHEREOF, said Filterfresh Coffee Service, Inc. has caused this Certificate to be signed by Megan C. Timmins, its Secretary, this 17th day of July, 2013.
Filterfresh Coffee Service, Inc. | ||
By | /s/ Megan C.Timmins | |
Megan C. Timmins, Secretary |
Exhibit 3.230
BY-LAWS
of
FILTERFRESH COFFEE SERVICE, INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.231
CERTIFICATE OF FORMATION
OF
FILTERFRESH FRANCHISE GROUP, LLC
1. Name. The name of the limited liability company is FILTERFRESH FRANCHISE GROUP, LLC (the LLC).
2. Address. The address of the LLCs registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent as such address is The Corporation Trust Company.
IN WITNESS WHEREOF, the undersigned hereby affirm under the penalties of perjury that the facts stated herein are true as of the 14 day of July, 2000.
FILTERFRESH CORPORATION | ||
By: | /s/ Christian Pouliot | |
Christian Pouliot, Chief Executive Officer |
Exhibit 3.232
LIMITED LIABILITY COMPANY AGREEMENT
OF
FILTERFRESH FRANCHISE GROUP, LLC
A Delaware Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT (the Agreement) of Filterfresh Franchise Group, LLC (the Company), dated and effective as of October 3, 2011 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, Filterfresh Coffee Service, Inc. is the sole member of the Company (the Member); and
WHEREAS, the Member desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean Filterfresh Franchise Group, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean Filterfresh Coffee Service, Inc. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. The Member has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
a. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. The Member has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, the Member is admitted as the sole member of the Company, New members of the company may be admitted upon the written consent of the Member.
5.2. Management. Except as otherwise specifically provided in this Agreement, the Member shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) The Member shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Member without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by the Member, and shall also have such powers and duties as may from time to time be conferred upon them by the Member.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the Member has hereunto set its hand as of the day and year first above written.
Filterfresh Coffee Service, Inc. Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland Treasurer |
Exhibit 3.235
ARTICLES OF ORGANIZATION
OF
GENESIS TECHNOLOGY PARTNERS, LLC
The undersigned, for the purposes of organizing a limited liability company under the Nebraska Limited Liability Company Act, does hereby certify and adopt the following Articles of Organization:
ARTICLE I.
Name
The name of the Company shall be Genesis Technology Partners, LLC
ARTICLE II.
Duration
The period of duration of the Company shall be perpetual.
ARTICLE III.
Purposes
The purposes for which the Company is organized are to engage in or undertake any and all lawful business or enterprise whatsoever, and conduct any and all lawful activities which shall at any time appear conducive to or expedient for the protection or benefit of the Company and its Members.
ARTICLE IV.
Principal Place of Business
The address of the Companys principal place of business in Nebraska is 13808 F Street, Omaha, Nebraska 68137.
ARTICLE V.
Registered Agent
The street address of the initial registered office of the Company is 10050 Regency Circle, Suite 200, Omaha, Nebraska, 68114, and the name of the initial registered agent at such address is Thomas R. Pansing, Jr.
ARTICLE VI.
Contributions to Capital
The total amount of cash contributed to capital is $100; and a description and agreed value of property other than cash contributed is as follows: none. No member has agreed to make additional contributions to the Company.
ARTICLE VII.
Additional Members
The members of the Company shall have the right to admit additional members from time to time, upon approval by a majority in interest of the members, and upon such additional terms and conditions of admission as may be determined by the members.
ARTICLE VIII.
Continuation of Business
In the event of the death, retirement, resignation, expulsion, bankruptcy, or dissolution of a member or on the occurrence of any other event which terminates the continued membership of a member in the Company, the then remaining members of the Company shall have the right to continue the business of the Company by the consent of at least a majority in interest of the remaining members.
ARTICLE IX.
Management
Management of Company shall be vested in its members in proportion to their interests in the capital of the Company, as determined by the Operating Agreement. The names and addresses of the members are as follows:
Cassling Diagnostic Imaging, Inc.
13808 F Street
Omaha, NE 68137-1102
ARTICLE X.
Indemnification
The Company shall provide indemnification of Members and other persons from and against liabilities, costs and expenses arising or resulting in any manner, directly or indirectly, from or in connection with authorized conduct of the business of the Company in accordance with the terms of the Operating Agreement.
-2-
Executed in duplicate by the undersigned on the 1 day of September, 1998.
CASSLING DIAGNOSTIC IMAGING, INC., | ||
Incorporator and Member | ||
By: | /s/ Mike Cassling | |
Title: | President |
-3-
Exhibit 3.236
LIMITED LIABILITY COMPANY AGREEMENT
OF
GENESIS TECHNOLOGY PARTNERS, LLC
A Nebraska Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT dated and effective as of March 18, 2011 (the Agreement) of Genesis Technology Partners, LLC, a limited liability company organized September 4, 1998 under the Nebraska Limited Liability Company Act by the filing of Articles of Organization in the office of the Secretary of State of Nebraska (the Company), is entered into by the undersigned for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, COHR, Inc. (COHR) is the sole member of the Company; and
WHEREAS, COHR desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Nebraska Limited Liability Company Act, as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean Genesis Technology Partners, LLC, a Nebraska limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean COHR, Inc. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. COHR has (a) organized the Company pursuant to the Act and (b) caused Articles of Organization to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
a. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Nebraska is CT Corporation System, 1024 K Street, Lincoln, NE 68508. The registered office of the Company in the State of Nebraska is c/o CT Corporation System, 1024 K Street, Lincoln, NE 68508.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. COHR has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, COHR is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of COHR.
5.2. Management. Except as otherwise specifically provided in this Agreement, COHR shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Nebraska and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) COHR shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by COHR without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by COHR, and shall also have such powers and duties as may from time to time be conferred upon them by COHR.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
COHR, INC. Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland Treasurer |
Exhibit 3.237
CERTIFICATE OF INCORPORATION
OF
GTP ACQUISITION CO.
I, the undersigned, for the proposes of incorporating and organizing a corporation under the General Corporation Law of the State of Delaware, do execute this Certificate of Incorporation and do hereby certify as follows:
FIRST: The name of the Corporation is GTP Acquisition Co. (the Corporation).
SECOND: The address of the registered office of the Corporation in the State of Delaware is 1209 Orange Street, Wilmington, County of New Castle, State of Delaware 19801. The name of the Corporations registered agent is The Corporation Trust Company.
THIRD: The purpose of the Corporation is to engage in any lawful act or activity for which corporations may be organized under the General Corporation Law of the State of Delaware.
FOURTH: The total number of shares of stock which the Corporation shall have authority to issue is 1,000,000 shares of common stock, par value $0.001 per share (Common Stock). The preferences, privileges and relative rights relating to the Common Stock are as follows:
A. Voting. The holders of the Common Stock are entitled to one vote for each share held at all meetings of stockholders (and written actions in lieu of meetings). There shall be no cumulative voting.
B. Dividends. Dividends may be declared and paid on the Common Stock from funds lawfully available therefor as and when determined by the Board of Directors.
C. Liquidation. Upon the dissolution or liquidation of the Corporation, whether voluntary or involuntary, holders of Common Stock will be entitled to receive all assets of the Corporation available for distribution to its stockholders.
FIFTH: The incorporator of the corporation is Mark R. Carman, whose mailing address is c/o Stoel Rives LLP, 201 South Main Street, Suite 1100, Salt Lake City, Utah 84111.
SIXTH: Unless and except to me extent that the Bylaws of the Corporation shall so require, the election of directors of the Corporation need not be by written ballot.
SEVENTH: In furtherance and not in limitation of the powers conferred by the laws of the State of Delaware, the Board of Directors of the Corporation is expressly authorized and empowered to make, alter and repeal the Bylaws of the Corporation, subject to the power of the stockholders of the Corporation to alter or repeal any Bylaw whether adopted by them or otherwise.
EIGHTH: A director of the Corporation shall not be liable to the Corporation or its stockholders for monetary damages for breach of fiduciary duty as a director, except to the extent such exemption from liability or limitation thereof is not permitted under the General Corporation Law of the State of Delaware as the same exists or may hereafter be amended. Any amendment, modification or repeal of the foregoing sentence shall not adversely affect any right or protection of a director of the Corporation existing hereunder with respect to any act or omission occurring prior to the time of such amendment, modification or repeal.
NINTH: The Corporation reserves the right at any time, and from time to time, to amend, alter, change or repeal any provision contained in this Certificate of Incorporation, and other provisions authorized by the laws of the State of Delaware at the time in force may be added or inserted, in the manner now or hereafter prescribed by law; and all rights, preferences and privileges of whatsoever nature conferred upon stockholders, directors or any other persons whomsoever by and pursuant to this Certificate of Incorporation in its present form or as hereafter amended are granted subject to the rights reserved in this article.
The undersigned, being the sole incorporator hereinabove named, hereby acknowledges that the foregoing certificate of incorporation is his act and deed on this November 7, 2003.
/s/ Mark R. Carman |
Mark R. Carman |
Exhibit 3.238
BY-LAWS
of
GTP ACQUISITION CO.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the
Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.267
CERTIFICATE OF FORMATION
OF
LIFEWORKS RESTAURANT GROUP, LLC
1. | The name of the limited liability company (the Company) is |
Lifeworks Restaurant Group, LLC
2. | The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company. |
3. | The purpose of the Company is to engage in any and all business in which limited liability companies are permitted under the Delaware Limited Liability Company Act. |
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation this tenth day of March, 2010.
By: | /s/ LILLY DORSA | |
Lilly Dorsa Organizer |
Exhibit 3.268
OPERATING AGREEMENT
OF
LIFEWORKS RESTAURANT GROUP, LLC
A Delaware Limited Liability Company
THIS OPERATING AGREEMENT (the Agreement) of Lifeworks Restaurant Group, LLC (the Company), dated and effective as of March 10, 2010 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation, (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1. Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean Lifeworks Restaurant Group, LLC a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
3.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1. Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.2. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
2
5.3. Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.4. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1. Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (I) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland Senior Vice President and Treasurer |
3
Exhibit 3.269
AMENDED AND RESTATED
CERTIFICATE OF INCORPORATION
OF
MPBP HOLDINGS, INC.
(Pursuant to Sections 242 and 245 of the
General Corporation Law of the State of Delaware)
MPBP Holdings, Inc., a corporation organized and existing under and by virtue of the provisions of the General Corporation Law of the State of Delaware, as the same may be amended from time to time (the General Corporation Law).
DOES HEREBY CERTIFY:
1. That the name of this corporation is MPBP Holdings, Inc. and the Certificate of Incorporation of this corporation was originally filed with the Secretary of State of the State of Delaware on December 14, 2006, as amended on January 31, 2007, (the Certificate of Incorporation).
2. That the Board of Directors duly adopted resolutions proposing to amend and restate the Certificate of Incorporation of this corporation, declaring said amendment and restatement to be advisable and in the best interests of this corporation and its stockholders, and authorizing the appropriate officers of this corporation to solicit the consent of the stockholders therefor, which resolution setting forth the proposed amendment and restatement is as follows:
RESOLVED, that the Certificate of Incorporation of this corporation be amended and restated in its entirety to read as follows:
FIRST: The name of the corporation is MPBP Holdings, Inc.
SECOND: The registered office of the corporation is to be located at 1209 Orange Street, in the City of Wilmington, in the County of New Castle, in the State of Delaware. The name of its registered agent at that address is The Corporation Trust Company.
THIRD: The purpose of the corporation is to engage in any lawful act or activity for which a corporation may be organized under the General Corporation Law of Delaware.
FOURTH: The corporation shall be authorized to issue 1,000 shares all of which are to be of one class and with a par value of $1.00 per share.
FIFTH: Elections of directors need not be by written ballot.
SIXTH: The Board of Directors shall have the power, in addition to the stockholders, to make, alter, or repeal the by laws of the corporation.
SEVENTH: Whenever a compromise or arrangement is proposed between this corporation and its creditors or any class of them and/or between this corporation and its stockholders or any class of them, any court of equitable jurisdiction within the State of Delaware may, on the application in a summary way of this corporation or of any creditor or stockholder thereof or on the application of any receiver or receivers appointed for this corporation under the provisions of Section 291 of Title 8 of the Delaware Code or on the application of trustees in dissolution or of any receiver or receivers appointed for this corporation under the provisions of Section 279 of Title 8 of the Delaware Code order a meeting of creditors or class of creditors, and/or of the stockholders or class of stockholders of this corporation, as the case may be, to be summoned in such manner as the said court directs. If a majority in number representing three fourths in value of the creditors or class of creditors, and/or of the stockholders or class of stockholders of this corporation, as the case may be, agree to any compromise or arrangement and to any reorganization of this corporation as consequence of such compromise or arrangement, the said compromise or arrangement and the said reorganization shall, if sanctioned by the court to which the said application has been made, be binding on all the creditors or class of creditors, and/or on all the stockholders or class of stockholders, of this corporation, as the case may be, and also on this corporation.
EIGHTH: The corporation reserves the right to amend, alter, change or repeal any provision contained in this Certificate of Incorporation, in the manner now or hereafter prescribed by statute, and all rights conferred upon stockholders are granted subject to this reservation.
3. That the foregoing amendment and restatement was approved by the holders of the requisite number of shares of this corporation in accordance with Section 228 of the General Corporation Law.
4. That this Amended and Restated Certificate of Incorporation, which restates and integrates and further amends the provisions of this corporations Certificate of Incorporation, has been duly adopted in accordance with Sections 242 and 245 of the General Corporation Law.
IN WITNESS WHEREOF, this Amended and Restated Certificate of Incorporation has been executed by a duly authorized officer of this corporation on this 18th day of March, 2011.
By: | /s/ Christopher S. Holland | |
Name: | Christopher S. Holland | |
Title: | Treasurer |
[Signature Page to Amended and Restated Certificate of Incorporation]
Exhibit 3.270
B Y - L A W S
of
MPBP HOLDINGS, INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the
Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.273
CERTIFICATE OF FORMATION
OF
New ARAMARK LLC
Dated as of May 1, 2006
This Certificate of Formation for New ARAMARK LLC is being duly executed and filed by the undersigned, as an authorized person, to form a limited liability company under the Delaware Limited Liability Company Act (6 Del.C. §18-201, et seq.).
1. The name of the limited liability company formed hereby is New ARAMARK LLC (the Company).
2. The address of the registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, 1209 Orange Street, Wilmington, Delaware 19801. The name and address of the registered agent of the Company are The Corporation Trust Company, 1209 Orange Street, Wilmington, New Castle County, Delaware 19801.
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation of New ARAMARK LLC as of the date first above written and submits it for filing in accordance with the Delaware Limited Liability Company Act.
/s/ Douglas Bacon | ||
Name: | Douglas Bacon | |
Title: | Authorized Person |
Exhibit 3.274
LIMITED LIABILITY COMPANY AGREEMENT
OF
NEW ARAMARK LLC
A Delaware Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT (the Agreement) of New ARAMARK LLC (the Company), dated and effective as of June 4, 2010 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, ARAMARK Corporation (ARAMARK) is the sole member of the Company; and
WHEREAS, ARAMARK desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company. Company shall mean New ARAMARK LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member. Member shall mean ARAMARK Corporation and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. ARAMARK has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
1.1. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. ARAMARK has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1 Members. Upon execution of this Agreement, ARAMARK is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of ARAMARK.
5.2. Management. Except as otherwise specifically provided in this Agreement, ARAMARK shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) ARAMARK shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by ARAMARK without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by ARAMARK, and shall also have such powers and duties as may from time to time be conferred upon them by ARAMARK.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (I) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the member has hereunto set its hand as of the day and year first above written.
ARAMARK Corporation Sole Member | ||
By: | /s/ Michael J. OHara | |
Michael J. OHara, Vice President |
Exhibit 3.275
CERTIFICATE OF AMENDMENT OF ARTICLES OF
INCORPORATION OF
CALIFORNIA SUNSHINE COFFEE CO.
The undersigned certify that:
1. They are the Vice President and the Assistant Secretary, respectively of California Sunshine Coffee Co., a California corporation.
2. Article One of the Articles of Incorporation of this corporation is amended to read as follows:
The name of this Corporation is Old Time Coffee Co.
3. The foregoing amendment of the Articles of Incorporation has been duly approved by the Board of Directors.
4. The foregoing amendment of the Articles of Incorporation has been duly approved by the required vote of shareholders in accordance with Section 902, California Corporations Code. The total number of outstanding shares of this Corporation is 100 common shares. The number of shares voting in favor of the amendment exceeded the vote required. The percentage vote required was more than 50%.
We further declare under penalty of perjury under the laws of the State of California that the matters set forth in this certificate are true and correct of our own knowledge.
Date: April 10, 2013 | /s/ Patricia A. Rapone | |||
Patricia A. Rapone, Vice President | ||||
/s/ Gregory C. Ott | ||||
Gregory C. Ott, Assistant Secretary: |
ARTICLES OF INCORPORATION
I
The name of this corporation is California Sunshine Coffee Co.
II
The purpose of the corporation is to engage in any lawful act or activity for which a corporation may be organized under the GENERAL CORPORATION LAW of California other than the banking business, the trust company business or the practice of a profession permitted to be incorporated by the California Corporations Code.
III
The name and address in the State of California of this corporations initial agent for service of process is:
Name DON RUDGER
STREET Address 16330 Jamison Creek Rd.
City Boulder Creek State CALIFORNIA Zip 95006
IV
This corporation is authorized to issue only one class of shares of stock; and the total number of shares which this corporation is authorized to issue is 100,000.
/s/ Don Rudger |
Incorporator |
Exhibit 3.276
BYLAWS
OF
OLD TIME COFFEE CO.
ARTICLE I
OFFICES
Section 1. The principal executive office shall be located in Philadelphia, Pennsylvania.
Section 2. The corporation may also have offices at such other places both within and without the State of California as the board of directors may from time to time determine or the business of the corporation may require.
ARTICLE II
ANNUAL MEETINGS OF SHAREHOLDERS
Section 1. All meetings of shareholders for the election of directors shall be held at such place either within or without the State of California as shall be designated from time to time by the board of directors and stated in the notice of the meeting. Meetings of shareholders for any other purpose may be held at such time and place, within or without the State of California, as shall be stated in the notice of the meeting or in a duly executed waiver of notice thereof. If no other place is stated or fixed, shareholders meetings shall be held at the principal executive office of the corporation.
Section 2. Annual meetings of shareholders shall be held at such date and time as shall be designated from time to time by the board of directors and stated in the notice of the meeting, at which they shall elect by a majority vote a board of directors and transact such other business as may properly be brought before the meeting.
Section 3. Written or printed notice of the annual meeting stating the place, day, hour, and purpose and purposes of the meeting shall be given by first-class mail or electronic transmission in accordance with law to each shareholder entitled to vote thereat not less than 10 (or, if sent by third-class mail, 30) nor more than 60 days before the date of the meeting. Notice may be sent by third-class mail only if the outstanding shares of the corporation are held of record by 500 or more persons (determined as provided in section 605 of the California General Corporation Law) on the record date for the shareholders meeting.
ARTICLE III
SPECIAL MEETINGS OF SHAREHOLDERS
Section 1. Special meetings of shareholders for any purpose other than the election of directors may be held at such time and place within or without the State of California as shall be stated in the notice of he meeting or in a duly executed waiver of notice thereof.
Section 2. Special meetings of the shareholders, for any purpose or purposes, unless otherwise prescribed by statute or by the articles of incorporation, may be called by the president, the board of directors, or the holders of not less than 10 percent of all the shares entitled to vote at the meeting and if the corporation has a chairman of the board of directors, special meetings of the shareholders may be called by the chairman.
Section 3. Written or printed notice of a special meeting of shareholders, stating the time, place and purpose or purposes thereof, shall be given by first-class mail or electronic transmission in accordance with law to each shareholder entitled to vote thereat not less than 10 (or, if sent by third-class mail, 30) nor more than 60 days before the date fixed for the meeting. Notice may be sent by third-class mail only if the outstanding shares of the corporation are held of record by 500 or more persons (determined as provided in section 605 of the California General Corporation Law) on the record date for the shareholders meeting.
Section 4. The business transacted at any special meeting of shareholders shall be limited to the purposes stated in the notice.
ARTICLE IV
QUORUM AND VOTING OF STOCK
Section 1. The holders of a majority of the shares of stock issued and outstanding and entitled to vote, represented in person or by proxy, shall constitute a quorum at all meetings of the shareholders for the transaction of business except as otherwise provided by statute or by the articles of incorporation. If, however, such quorum shall not be present or represented at any meeting of the shareholders, the shareholders present in person or represented by proxy shall have power to adjourn the meeting from time to time, without notice other than announcement at the meeting, until a quorum shall be present or represented. At such adjourned meeting at which a quorum shall be present or represented, any business may be transacted which might have been transacted at the original meeting.
Section 2. If a quorum is present, the affirmative vote of a majority of the shares of stock represented and voting at the meeting (which shares voting affirmatively also constitute at least a majority of the required quorum), shall be the act of the shareholders unless the vote of a greater number or voting by classes is required by law or the articles of incorporation.
Section 3. Each outstanding share of stock, having voting power, shall be entitled to one vote on each matter submitted to a vote at a meeting of shareholders. A shareholder may vote either in person or by proxy authorized in a writing signed, either manually or by facsimile, or in an electronic transmission by the shareholder or by his duly authorized attorney-in-fact. In all elections for directors, every shareholder entitled to vote shall have the right to vote, in person or by proxy, the number of shares of stock owned by him for as many persons as there are directors to be elected, or, upon satisfaction of the requirements set forth in Section 708(b) of the California General Corporation Law, to cumulate the vote of said shares, and give one candidate a number of votes equal to the number of directors to be elected multiplied by the number of votes to which the shareholders shares are normally entitled, or to distribute the votes on the same principle among as many candidates as he may see fit. Section 708(b) of the California General Corporation Law provides that no shareholder shall be entitled to cumulate votes for any candidate for the office of director unless such candidates names have been placed in nomination prior to the voting and the shareholder has given notice at the meeting prior to the voting of his intention to cumulate his votes.
Section 4. Unless otherwise provided in the articles, any action, except election of directors, which may be taken at any annual or special meeting of shareholders may be taken without a meeting and without prior notice, if a consent in writing, setting forth the action so taken, shall be signed by the holders of outstanding shares having not less than the minimum number of votes that would be necessary to authorize or take such action at a meeting at which all shares entitled to vote thereon were present and voted. An election by shareholders of a director to fill a vacancy not filled by the directors, if by written consent, requires the consent of a majority of the outstanding shares entitled to vote. An election by shareholders to fill a vacancy created by removal, if by written consent, requires the unanimous consent of all shares entitled to vote for the election of directors.
ARTICLE V
DIRECTORS
Section 1. The number of directors shall be one or more. Directors need not be residents of the State of California nor shareholders of the corporation. The directors, other than the first board of directors, shall be elected at the annual meeting of the shareholders, and each director elected shall serve until the next succeeding annual meeting and until his successor shall have been elected and qualified. The first board of directors shall hold office until the first annual meeting of shareholders.
Section 2. Unless otherwise provided in the articles of incorporation, vacancies, except for a vacancy created by the removal of a director, and newly created directorships resulting from any increase in the number of directors may be filled by a majority of the directors then in office, though less than a quorum, or by the unanimous written consent of the directors then in office, and the directors so chosen shall hold office until the next annual election and until their successors are duly elected and shall qualify. Unless otherwise provided in the articles of incorporation any vacancy created by the removal of a director shall be filled by the shareholders by the vote of a majority of the shares represented and voting at a duly held meeting at which a quorum is present (which shares voting affirmatively shall also constitute at least a majority of the required quorum) or by the written consent of shareholders. Any vacancies, which may be filled by directors and are not filled by the directors, may be filled by the shareholders by a majority of the shares entitled to vote at a meeting at which a quorum is present.
Section 3. The business affairs of the corporation shall be managed by its board of directors which may exercise all such powers of the corporation and do all such lawful acts and things as are not by statute or by the articles of incorporation or by these bylaws directed or required to be exercised or done by the shareholders.
Section 4. The directors may keep the books of the corporation, except such as are required by law to be kept within the state, outside of the State of California, at such place or places as they may from time to time determine.
Section 5. The board of directors, by the affirmative vote of a majority of the directors then in office, and irrespective of any personal interest of any of its members, shall have authority to establish reasonable compensation of all directors for services to the corporation as directors, officers or otherwise.
ARTICLE VI
MEETINGS OF THE BOARD OF DIRECTORS
Section 1. Meetings of the board of directors, regular or special, may be held either within or without the State of California.
Section 2. The first meeting of each newly elected board of directors shall be held at such time and place as shall be fixed by the vote of the shareholders at the annual meeting and no notice of such meeting shall be necessary to the newly elected directors in order legally to constitute the meeting, provided a quorum shall be present, or it may convene at such place and time as shall be fixed by the consent in writing of all the directors.
Section 3. Regular meetings of the board of directors may be held upon such notice, or without notice, and at such time and at such place as shall from time to time be determined by the board.
Section 4. Special meetings of the board of directors may be called by the president on three days notice to each director, either personally or by mail, facsimile telecommunication, or electronic transmission in accordance with law; special meetings shall be called by the president or secretary in like manner and on like notice on the written request of two directors unless the board consists of only one director; in which case, special meetings shall be called by the president or secretary in like manner and on like notice on the written request of the sole director.
Section 5. Attendance of a director at any meeting shall constitute a waiver of notice of such meeting, except where a director attends for the express purpose of objecting to the transaction of any business because the meeting is not lawfully called or convened. Neither the business to be transacted at, nor the purpose of, any regular or special meeting of the board of directors need be specified in the notice or waiver of notice of such meeting.
Section 6. A majority of the directors shall constitute a quorum for the transaction of business unless a greater number is required by law or by the articles of incorporation. The act of a majority of the directors present at any meeting at which a quorum is present shall be the act of the board of directors, unless the act of a greater number is required by statute or by the articles of incorporation. If a quorum shall not be present at any meeting of directors, the directors present thereat may adjourn the meeting from time to time, without notice other than announcement at the meeting, until a quorum shall be present.
Section 7. Any action required or permitted to be taken at a meeting of the directors may be taken without a meeting if one or more consents in writing, which include facsimile telecommunication or electronic transmission, setting forth the action so taken, shall be signed by all of the directors.
ARTICLE VII
NOTICES
Section 1. Whenever, under the provisions of the statutes or of the articles of incorporation or of these bylaws, notice is required to be given to any director or shareholder, it shall be construed to mean written notice, which may be given by mail, addressed to such director or shareholder, at his address as it appears on the records of the corporation, with postage thereon prepaid, and such notice shall be deemed to be given at the time when the same shall be deposited in the United States mail. Notice may also be given by facsimile telecommunication or electronic transmission in accordance with law. Notice to any shareholder may be given at the address furnished by such shareholder for the purpose of receiving notice. If such address is not given and if no address appears on the records of the corporation for such shareholder, notice may be given to such shareholder at the place where the principal executive office of the corporation is located or by publication at least once in a newspaper of general circulation in the county in which said principal executive office is located. If a notice of a shareholders meeting is sent by mail it shall be sent by first-class mail, or, in case the corporation has outstanding shares held of record by 500 or more persons (determined as provided in Section 605 of the California General Corporation Law) on the record date for the shareholders meeting, notice may be by third-class mail.
Section 2. Whenever any notice whatever is required to be given under the provisions of the statutes or under the provisions of the articles of incorporation or these bylaws, a waiver thereof in writing signed, either manually or in facsimile, or submitted by electronic transmission, by the person or persons entitled to such notice, whether before or after the time stated therein, shall be deemed equivalent to the giving of such notice.
ARTICLE VIII
OFFICERS
Section 1. The officers of the corporation, except those elected in accordance with Sec. 210 of the California General Corporation Law, shall be chosen by the board of directors and shall be a president, a vice-president, a secretary and a chief financial officer (who may also be designated by the alternate title of Treasurer.) The board of directors may also choose additional vice-presidents, and one or more assistant secretaries and assistant treasurers.
Section 2. The board of directors, at its first meeting after each annual meeting of shareholders, shall choose a president, one or more vice-presidents, a secretary and a treasurer or chief financial officer, none of whom need be a member of the board.
Section 3. The board of directors may appoint such other officers and agents as it shall deem necessary who shall hold their offices for such terms and shall exercise such powers and perform such duties as shall be determined from time to time by the board of directors.
Section 4. The salaries of all officers and agents of the corporation shall be fixed by the board of directors.
Section 5. The officers of the corporation shall hold office until their successors are chosen and qualify. Any officer elected or appointed by the board of directors may be removed at any time by the affirmative vote of a majority of the board of directors. Any vacancy occurring in any office of the corporation shall be filled by the board of directors.
THE PRESIDENT
Section 6. The president shall be the chief executive officer of the corporation, shall preside at all meetings of the shareholders and the board of directors, shall have general and active management of the business of the corporation and shall see that all orders and resolutions of the board of directors are carried into effect.
Section 7. He shall execute bonds, mortgages and other contracts requiring a seal, under the seal of the corporation, except where required or permitted by law to be otherwise signed and executed and except where the signing and execution thereof shall be expressly delegated by the board of directors to some other officer or agent of the corporation.
THE VICE-PRESIDENTS
Section 8. The vice-president, or if there shall be more than one, the vice-presidents in the order determined by the board of directors, shall, in the absence or disability of the president, perform the duties and exercise the powers of the president and shall perform such other duties and have such other powers as the board of directors may from time to time prescribe.
THE SECRETARY AND ASSISTANT SECRETARIES
Section 9. The secretary shall attend all meetings of the board of directors and all meetings of the shareholders and record all the proceedings of the meetings of the corporation and of the board of directors in a book to be kept for that purpose and shall perform like duties for the standing committees when required. He shall give, or cause to be given, notice of all meetings of the shareholders and special meetings of the board of directors, and shall perform such other duties as may be prescribed by the board of directors or president, under whose supervision he shall be. He shall have custody of the corporate seal of the corporation and he, or an assistant secretary, shall have authority to affix the same to any instrument requiring it, and when so affixed, it may be attested by his signature or by the signature of such assistant secretary. The board of directors may give general authority to any other officer to affix the seal of the corporation and to attest the affixing by his signature.
Section 10. The assistant secretary, or if there be more than one, the assistant secretaries in the order determined by the board of directors, shall, in the absence or disability of the secretary, perform the duties and exercise the powers of the secretary and shall perform such other duties and have such other powers as the board of directors may from time to time prescribe.
THE CHIEF FINANCIAL OFFICER/TREASURER
Section 11. The chief financial officer may also be designated by the alternate title of Treasurer.
Section 12. The chief financial officer shall have the custody of the corporate funds and securities and shall keep full and accurate accounts of receipts and disbursements in books belonging to the corporation and shall deposit all moneys and other valuable effects in the name and to the credit of the corporation in such depositories as may be designated by the board of directors.
Section 13. He shall disburse the funds of the corporation as may be ordered by the board of directors, taking proper vouchers for such disbursements, and shall render to the president and the board of directors, at its regular meetings, or when the board of directors so requires, an account of all his transactions as chief financial officer and of the financial condition of the corporation.
Section 14. If required by the board of directors, he shall give the corporation a bond in such sum and with such surety or sureties as shall be satisfactory to the board of directors for the faithful performance of the duties of his office and for the restoration to the corporation, in case of his death, resignation, retirement or removal from office, of all books, papers, vouchers, money and other property of whatever kind in his possession or under his control belonging to the corporation.
THE ASSISTANT TREASURERS
Section 15. The assistant treasurers, or, if there shall be more than one, the assistant treasurers in the order determined by the board of directors, shall, in the absence or disability of the chief financial officer, perform the duties and exercise the powers of the chief financial officer and shall perform such other duties and have such other powers as the board of directors may from time to time prescribe.
ARTICLE IX
CERTIFICATES FOR SHARES
Section 1. Every holder of shares in the corporation shall be entitled to have a certificate, signed by, or in the name of the corporation by, the chairman or vice-chairman of the board of directors, or the president or a vice-president and the chief financial officer or an assistant treasurer or the secretary or an assistant secretary of the corporation, certifying the number of shares and the class or series of shares owned by him in the corporation. If the shares of the corporation are classified or if any class of shares has two or more series, there shall appear on the certificate one of the following: (1) a statement of the rights, preferences, privileges and restrictions granted to or imposed upon each class or series of shares to be issued and upon the holders thereof; or (2) a summary of such rights, preferences, privileges and restrictions with reference to the
provisions of the articles and any certificates of determination establishing the same; or (3) a statement setting forth the office or agency of the corporation from which shareholders may obtain, upon request and without charge, a copy of the statement referred to in item (1) heretofore. Every certificate shall also note thereon any additional information required to be set forth by the California General Corporation Law in the manner provided by such law.
Section 2. Any or all of the signatures on the certificate may be facsimile. In case any officer, transfer agent or registrar who has signed or whose facsimile signature has been placed upon a certificate shall have ceased to be such officer, transfer agent or registrar before such certificate is issued, it may be issued by the corporation with the same effect as if such person were an officer, transfer agent or registrar at the date of issue.
LOST CERTIFICATES
Section 3. The board of directors may direct a new certificate to be issued in place of any certificate theretofore issued by the corporation alleged to have been lost, stolen, or destroyed. When authorizing such issue of a new certificate, the board of directors, in its discretion and as a condition precedent to the issuance thereof, may prescribe such terms and conditions as it deems expedient, and may require such indemnities as it deems adequate, to protect the corporation from any claim that may be made against it with respect to any such certificate alleged to have been lost, stolen, or destroyed.
TRANSFERS OF SHARES
Section 4. Upon surrender to the corporation or the transfer agent of the corporation of a certificate representing shares duly endorsed or accompanied by proper evidence of succession, assignment or authority to transfer, a new certificate shall be issued to the person entitled thereto, and the old certificate cancelled and the transaction recorded upon the books of the corporation.
FIXING RECORD DATE
Section 5. In order that the corporation may determine the shareholders entitled to notice of any meeting or to vote or entitled to receive payment of any dividend or other distribution or allotment of any rights or entitled to exercise any rights in respect of any other lawful action, the board may fix, in advance, a record date, which shall not be more than 60 nor less than 10 days prior to the date of such meeting nor more than 60 days prior to any other action.
A determination of shareholders of record entitled to notice of or to vote at a meeting of shareholders shall apply to any adjournment of the meeting unless the board fixes a new record date for the adjourned meeting, but the board shall fix a new record date if the meeting is adjourned for more than 45 days from the date set for the original meeting.
REGISTERED SHAREHOLDERS
Section 6. The corporation shall be entitled to recognize the exclusive right of a person registered on its books as the owner of shares to receive dividends, and to vote as such owner, and to hold liable for calls and assessments a person registered on its books as the owner of shares, and shall not be bound to recognize any equitable or other claim to or interest in such share or shares on the part of any other person, whether or not it shall have express or other notice thereof, except as otherwise provided by the laws of California.
ARTICLE X
GENERAL PROVISIONS
DIVIDENDS
Section 1. Subject to the provisions of the articles of incorporation relating thereto, if any, dividends may be declared by the board of directors at any regular or special meeting, pursuant to law. Dividends may be paid in cash, in property or in shares of the capital stock, subject to any provisions of the articles of incorporation and the California General Corporation Law.
Section 2. Before payment of any dividend, there may be set aside out of any funds of the corporation available for dividends such sum or sums as the directors from time to time, in their absolute discretion, think proper as a reserve fund to meet contingencies, or for equalizing dividends, or for repairing or maintaining any property of the corporation, or for such other purpose as the directors shall think conducive to the interest of the corporation, and the directors may modify or abolish any such reserve in the manner in which it was created.
CHECKS
Section 3. All checks or demands for money and notes of the corporation shall be signed by such officer or officers or such other person or persons as the board of directors may from time to time designate.
FISCAL YEAR
Section 4. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
SEAL
Section 5. The corporate seal shall have inscribed thereon the name of the corporation, the date of its incorporation and the words Corporate Seal, California. The seal may be used by causing it or a facsimile thereof to be impressed or affixed or in any manner reproduced.
ARTICLE XI
AMENDMENTS
Section 1. These bylaws may be altered, amended or repealed or new bylaws may be adopted (a) by the shareholders by the affirmative vote of a majority of the outstanding shares entitled to vote, or (b) by the affirmative vote of a majority of the board of directors at any regular or special meeting of the board, unless otherwise provided in the charter or statute.
Exhibit 3.283
POTOMAC COFFEE, LLC
STATE OF DELAWARE
CERTIFICATE OF FORMATION
Pursuant to Section 18201 of the Delaware Limited Liability Company Act, the undersigned, as an authorized person, executes and files this Certificate of Formation as of the date set forth below in the office of the Secretary of State of Delaware in order to form a Delaware limited liability company, and states as follows:
FIRST: The name of the limited liability company is Potomac Coffee, LLC.
SECOND: The address of its registered office in the State of Delaware is Corporation Trust Center, 1209 Orange Street, Wilmington, Delaware 19801, in the County of New Castle. The name of the registered agent at such address is The Corporation Trust Company.
THIRD: The duration of the limited liability company is perpetual.
FOURTH: The purpose of the limited liability company is to engage in any lawful set or activity for which limited liability companies may be organized under the Delaware Limited Liability Company Act.
IN WITNESS WHEREOF, the undersigned has executed this Certificate of Formation of Potomac Coffee, LLC this 17th day of May, 2004.
/s/ Jason Northcutt |
Jason Northcutt |
Authorized Person |
Exhibit 3.284
LIMITED LIABILITY COMPANY AGREEMENT
OF
POTOMAC COFFEE, LLC
A Delaware Limited Liability Company
THIS LIMITED LIABILITY COMPANY AGREEMENT (the Agreement) of Potomac Coffee, LLC (the Company), dated and effective as of October 3, 2011 is entered into by the undersigned to form a limited liability company under the laws of the State of Delaware for the purposes and upon the terms and conditions hereinafter set forth.
RECITALS
WHEREAS, Filterfresh Coffee Service, Inc. is the sole member of the Company (the Member); and
WHEREAS, the Member desires that the Agreement be the sole governing document of the Company
The Agreement is therefore set forth as follows:
ARTICLE I
DEFINITIONS
Section 1.1 Definitions. Whenever used in this Agreement the following terms shall have the meanings respectively assigned to them in this Article I unless otherwise expressly provided herein or unless the context otherwise requires:
Act. Act shall mean the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended from time to time.
Agreement. Agreement shall mean this Limited Liability Company Agreement of the Company as the same may be amended or restated from time to time in accordance with its terms.
Company: Company shall mean Potomac Coffee Service, LLC, a Delaware limited liability company formed pursuant to the Act and this Agreement.
Member: Member shall mean Filterfresh Coffee Service, Inc. and any person or entity hereafter admitted to the Company as a member of the Company as provided in this Agreement.
ARTICLE II
FORMATION OF THE COMPANY
2.1. Formation of Limited Liability Company. The Member has (a) organized the Company pursuant to the Act and (b) caused a Certificate of Formation to be filed with the Secretary of State, and the Secretary of State has returned a certified copy.
2.2. Business Purpose. The Company is organized for the purposes of engaging in any lawful act or activity for which limited liability companies may be organized under the Act.
2.3. Period of Duration. The term of the Company shall continue in perpetuity, unless the Company is earlier dissolved pursuant to law or the provisions of this Agreement.
2.4. Foreign Qualification. The Company shall perform such acts as may be necessary or appropriate to register the Company as a foreign limited liability company authorized to do business in such jurisdictions as the Company shall deem necessary or appropriate in connection with the business of the Company.
ARTICLE III
REGISTERED AGENT AND REGISTERED OFFICE
a. Registered Agent and Registered Office. The name and address of the registered agent for service of process on the Company in the State of Delaware is The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The registered office of the Company in the State of Delaware is c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801.
ARTICLE IV
CAPITAL CONTRIBUTIONS
4.1. Initial Capital. The Member has contributed cash or property of an agreed value as set forth in the books and records of the Company.
ARTICLE V
MEMBERS, OFFICERS, CONSENT
5.1. Members. Upon execution of this Agreement, the Member is admitted as the sole member of the Company. New members of the company may be admitted upon the written consent of the Member.
5.2. Management. Except as otherwise specifically provided in this Agreement, the Member shall have the authority to, and shall, conduct the affairs of the Company.
5.3. Authorized Person. Any officer of the Company is designated as an authorized person, within the meaning of the Act, to execute, deliver and file, or to cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required or permitted by the Act to be filed in the office of the Secretary of State of the State of Delaware and all acts committed in furtherance thereof are ratified.
5.4 Officers.
(a) The Member shall appoint a President, one or more vice presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as it may deem proper.
(b) The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Member without cause assigned.
(c) The President, vice president and the Treasurer of the Company, and each of them, are hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Companys business, and each of them shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company.
Except as otherwise specifically provided in this Agreement, the officers shall have such duties as usually pertain to their offices except as modified by the Member, and shall also have such powers and duties as may from time to time be conferred upon them by the Member.
5.5. Method of Giving Consent. Any consent of a member required by this Agreement may be given by a written consent.
ARTICLE VI
DISSOLUTION
6.1 Dissolution. The Company shall be dissolved, and its affairs shall be wound up upon the first to occur of the following: (i) the written consent of the Member (ii) the entry of a decree of judicial dissolution under Section 18-802 of the Act; or (iii) at any time there are no Members of the Company, unless the Company is continued in accordance with the Act or this Agreement.
(Signature page follows.)
IN WITNESS WHEREOF, the Member has hereunto set its hand as of the day and year first above written.
Filterfresh Coffee Service, Inc. Sole Member | ||
By: | /s/ Christopher S. Holland | |
Christopher S. Holland | ||
Treasurer |
Exhibit 3.285
AMENDED AND RESTATED
CERTIFICATE OF INCORPORATION
OF
REMEDPAR, INC.
ReMedPar, Inc., a corporation organized and existing under the General Corporation Law of the State of Delaware (the Corporation) does hereby certify that;
I. The name of the corporation is ReMedPar, Inc.
II. The name under which the corporation was originally incorporated is RMP Acquisition Corp., and the date of filing the original certificate of incorporation of the Corporation with the Secretary of State of the State of Delaware is August 13, 2001.
III. Pursuant to Sections 242 and 245 of the Delaware General Corporation Law, this instrument amends and restates the provisions of the Certificate of Incorporation of the Corporation, and has been consented to in writing by the Board of Directors and the stockholders of the Corporation.
IV. The text of the Certificate of Incorporation as amended or supplemented is hereby restated to read in its entirety as follows:
1. Name. The name of the corporation is ReMedPar, Inc.
2. Registered Office. The address of the registered office of the Corporation in Delaware is Corporation Service Company, 2711 Centerville Road, Suite 400, Wilmington, DE, 19808, County of New Castle, and the name of its registered agent at that address is Corporation Service Company.
3. Purposes. The purpose of the Corporation is to engage in any lawful act or activity for which corporations may be organized under the General Corporation Law.
4. Capital Stock. The total number of shares that the Corporation is authorized to issue is 301,000, consisting of 300,000 shares of common stock, par value $0.01 per share, and 1,000 shares of preferred stock, par value $0.01 per share. The board of directors is hereby expressly granted the authority to issue the preferred stock from time to time in one or more classes or series and by resolution or resolutions to establish the number of shares to be included in each such class or series and to fix the designations, powers, preferences and rights of the shares of each such class or series and the qualifications, limitations and restrictions thereof.
5. Bylaws. The board of directors of the Corporation is expressly authorized to adopt, amend or repeal bylaws of the Corporation.
6. Limitation of Directors Liability Indemnification. The liability of the directors of the Corporation for monetary damages shall be eliminated to the fullest extent permitted by Delaware law. The Corporation is authorized to indemnify (and advance expenses to) its directors and officers to the fullest extent permitted by Delaware law. Neither the amendment, modification or repeal of this Article nor the adoption of any provision in this certificate, of incorporation consistent with this Article shall adversely affected any right or protection of a director or officer of the Corporation with respect to any act or omission that occurred prior to the time of such amendment, modification, repeal or adoption.
7. Elections of Directors. Elections of directors need not be by written ballot unless the bylaws of the Corporation shall so provide.
IN WITNESS WHEREOF, the undersigned has executed this Amended and Restated Certificate of Incorporation on this 21st day of February 2003.
REMEDPAR, INC. | ||
By: | /s/ Edward A. Sloan | |
Name: Edward A. Sloan Title: President |
Exhibit 3.286
BY-LAWS
of
REMEDPAR, INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent
action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of
Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 3.293
CERTIFICATE OF INCORPORATION
OF
VAN HOUTTE USA HOLDINGS INC.
FIRST: The name of the corporation is:
Van Houtte USA Holdings Inc.
SECOND: The address of its registered office in the State of Delaware is 1209 Orange Street in the City of Wilmington, County of New Castle. The name of its registered agent at such address is The Corporation Trust Company.
THIRD: The nature of the business or purposes to be conducted or promoted is to engage in any lawful act or activity for which corporations may be organized under the General Corporation Law of Delaware.
FOURTH: The corporation is authorized to issue two classes of stock, to be designated Common Stock, with no par value per share, and Preferred Stock, with no par value per share. The total number of shares of Common Stock that the corporation shall have authority to issue is 3,000, and the total number of shares of Preferred Stock that the corporation shall have authority to issue is 5,000.
The corporations Board of Directors is authorized, subject to any limitations prescribed by law, to provide for the issuance of the shares of Preferred Stock in series, and by filing a certificate pursuant to the applicable law of the state of Delaware, to establish from time to time the number of shares to be included in each such series, and to fix the designation, powers, preferences and rights of the shares of each such series and any qualifications, limitations or restrictions thereof. The number of authorized shares of any class of capital stock of the corporation may be increased or decreased (but not below the number of shares thereof then outstanding) by the affirmative vote of the holders of a majority of the outstanding Common Stock of the corporation, without the approval of the holders of the Preferred Stock, or of any series thereof, unless the approval of any such holders is required pursuant to the certificate or certificates establishing any series of Preferred Stock.
FIFTH: The business and affairs of the corporation shall be managed by or under the direction of the Board of Directors. In addition to the powers and authority expressly conferred upon them by statute or by this Certificate of Incorporation or the Bylaws of the corporation, the directors are hereby empowered to exercise all such powers and do all such acts and things as may be exercised or done by the corporation. Election of directors need not be by written ballot, unless the Bylaws so provide.
SIXTH: The Board of Directors is authorized to make, adopt, amend, alter or repeal the Bylaws of the corporation. The stockholders shall also have power to make, adopt, amend, alter or repeal the Bylaws of the corporation.
SEVENTH: The name and mailing address of the incorporator is:
Jason Bliss |
DLA Piper US LLP |
1221 S. MoPac Expressway, Suite 400 |
Austin, Texas 78746 |
1
EIGHTH: To the fullest extent permitted by the Delaware General Corporation Law, as the same exists or may hereafter be amended, a director of the corporation shall not be personally liable to the corporation or its stockholders for monetary damages for breach of fiduciary duty as a director. Any repeal or modification of the foregoing provisions of this Article EIGHTH by the stockholders of the corporation shall not adversely affect any right or protection of a director of the corporation existing at the time of, or increase the liability of any director of the corporation with respect to any acts or omissions occurring prior to, such repeal or modification.
THE UNDERSIGNED, being the incorporator hereinbefore named, for the purpose of forming a corporation pursuant to the General Corporation Law of Delaware, does make this certificate, hereby declaring and certifying that this is my act and deed and the facts herein stated are true, and accordingly have hereunto set my hand this 16th day of March, 2007.
/s/ Jason Bliss |
Jason Bliss, Incorporator |
2
Exhibit 3.294
B Y - L A W S
of
VAN HOUTTE USA HOLDINGS INC.
Incorporated under the laws of Delaware
* * * * * * * *
Section 1. Offices: In addition to its principal or registered office in this state, the corporation may have offices at such other places within or without this state as the Board of Directors shall from time to time determine.
Section 2. Stockholders Meetings: Meetings of the stockholders may be held at such place or places within or without this state as may be determined by the Board of Directors, unless otherwise specifically required by law. The annual meeting of the stockholders for the election of directors shall be held on such date and at such time as designated by duly adopted resolution of the Board of Directors or stockholders. Subject to specific requirements of law, special meetings of the stockholders may be held upon call of the President, any Vice President, or the Board of Directors. Such call shall state the time, place and purpose of the meeting. Notice of the time and place of every meeting of stockholders shall be mailed by the Secretary or the officer performing his duties, at least ten days before the meeting, to each stockholder of record having voting power and entitled to such notice at his last known post office address; provided, however, that if a stockholder be present at a meeting, or in writing waive notice thereof before or after the meeting, notice of the meeting to such stockholder shall be unnecessary. The holders of a majority of the shares of stock having voting power present in person or by proxy shall constitute a quorum. Each holder of stock shall be entitled at every meeting of the stockholders to one vote for each share of such stock registered in his name on the books of the corporation. At all meetings of stockholders, except as otherwise required by law, by the Certificate of Incorporation, or by other provisions of these by-laws, all matters shall be decided by the vote of the holders of a majority of all the stock present or represented at the meeting and entitled to vote thereat. If required by statute, at least ten days before each election of directors a complete list of the stockholders entitled to vote at the election shall be prepared and shall be open at a place within the city where the election is to be held and shall, during the usual hours of business, for said ten days, and during the election, be open to the examination of any stockholder.
Section 3. Stockholders Consent Action: Any action required or permitted to be taken by the stockholders at a meeting thereof (including limitation at the annual meeting) may be taken without a meeting if all the stockholders consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the stockholders. Requirements of law, of the
Certificate of Incorporation, or of these by-laws with respect to notices of meetings, waivers of such notices, availability of stockholders lists, and similar requirements, shall be deemed to have been waived by the stockholders with respect to any such written consent action, as evidenced by execution of same by each such stockholder.
Section 4. Board of Directors: The affairs of the corporation shall be managed by a board consisting of one or more directors, who shall be elected annually by the stockholders entitled to vote and shall hold office until their successors are elected and qualified. The authorized number of directors shall be set from time to time by resolution of the Board of Directors. Any director may be removed by a majority of the directors at any meeting of the Board of Directors, for malfeasance, misfeasance, nonfeasance or incapacity or inability to act. Vacancies in the Board of Directors and newly created directorships resulting from any increase in the authorized number of directors may be filled by a majority of the directors remaining in office, even though less than a quorum, subject to the applicable provisions of laws. Vacancies may also be filled at any time through election of directors at a special meeting of stockholders. Meetings of the Board of Directors shall be held at the times fixed by resolutions of the Board or upon call of the President or any two directors and may be held outside of this state. The Secretary or officer performing his duties shall give reasonable notice (which need not in any event exceed two days) of all meetings of directors, provided that a meeting may be held without notice immediately after the annual election, and notice need not be given of regular meetings held at times fixed by resolutions of the Board. Meetings may be held at any time without notice if all the directors are present or if those not present waive notice either before or after the meeting. Notice by mail or telegraph to the usual business or residence address of the directors not less than the time above specified before the meeting shall be sufficient. A majority of the directors shall constitute a quorum.
Section 5. Directors Consent Action: Any action required or permitted to be taken by the directors at a meeting thereof may be taken without a meeting if all directors consent thereto in writing, and if such written consent action is filed with the minutes of proceedings of the directors. Requirements of law, of the Certificate of Incorporation, of these by-laws with respect to notices of meetings and waivers thereof shall be deemed to have been complied with upon the execution of any such written consent action.
Section 6. Stock: Certificates of stock shall be of such form and device as the Board of Directors may determine and shall be signed by the President or any Vice President and the Treasurer or any Assistant Treasurer or the Secretary or any Assistant Secretary. The stock shall be transferable or assignable only on the books of the corporation by the holders in person or by attorney on the surrender of the certificates therefor.
Section 7. Officers: The Board of Directors shall appoint a President, one or more Vice Presidents, a Secretary and a Treasurer, and shall from time to time appoint such other officers as they may deem proper. The term of office of all officers shall be until their respective successors are chosen and qualified, but any officer may be removed from office at any time by the Board of Directors without cause assigned. The officers shall have such duties as usually pertain to their offices except as modified by the Board of Directors, and shall also have such powers and duties as may from time to time be conferred upon them by the Board of Directors.
Section 8. Fiscal Year: The fiscal year of the corporation shall end on the Friday nearest September 30.
Section 9. Corporate Seal: The corporate seal of the corporation shall be in such form as the Board of Directors shall prescribe.
Section 10. Amendments: Except as otherwise provided by law either the Board of Directors or the stockholders may alter or amend these by-laws at any meeting duly held as above provided.
Exhibit 4.3
FIRST SUPPLEMENTAL INDENTURE
THIS FIRST SUPPLEMENTAL INDENTURE (this Supplemental Indenture), dated as of December 17, 2013, among ARAMARK Holdings Corporation, a Delaware corporation (the Parent Guarantor), and The Bank of New York Mellon, as trustee (the Trustee).
W I T N E S S E T H
WHEREAS, ARAMARK Corporation, a Delaware corporation and indirect wholly-owned subsidiary of the Parent Guarantor (the Issuer), has heretofore executed and delivered to the Trustee an indenture (the Indenture), dated as of March 7, 2013, providing for the issuance of an unlimited aggregate principal amount of 5.75% Senior Notes due 2020 (the Notes);
WHEREAS, Section 4.03(b) of the Indenture contemplates the Parent Guarantor, for financial reporting purposes, guaranteeing all of the Issuers Obligations under the Notes and the Indenture on the terms and conditions set forth herein (the Parent Guarantee); and
WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee is authorized to execute and deliver this Supplemental Indenture evidencing the Parent Guarantee.
NOW, THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt of which is hereby acknowledged, the Parent Guarantor and the Trustee mutually covenant and agree for the equal and ratable benefit of the Holders of the Notes as follows:
(1) Capitalized Terms. Capitalized terms used herein without definition shall have the meanings assigned to them in the Indenture.
(2) Agreement to Guarantee. The Parent Guarantor hereby agrees as follows:
(a) Along with all guarantors that are Subsidiaries of the Issuer (the Subsidiary Guarantors), to jointly and severally unconditionally guarantee to each Holder of a Note authenticated and delivered by the Trustee and to the Trustee and its successors and assigns, irrespective of the validity and enforceability of the Indenture, the Notes or the obligations of the Issuer hereunder or thereunder, that:
(i) the principal of, interest and premium and Additional Interest, if any, on the Notes will be promptly paid in full when due, whether at maturity, by acceleration, redemption or otherwise, and interest on the overdue principal of and interest on the Notes, if any, if lawful, and all other obligations of the Issuer to the Holders or the Trustee hereunder or thereunder will be promptly paid in full or performed, all in accordance with the terms hereof and thereof; and
(ii) in case of any extension of time of payment or renewal of any Notes or any of such other obligations, that same will be promptly paid in full when due or performed in accordance with the terms of the extension or renewal, whether at stated maturity, by acceleration or otherwise. Failing payment when due of any amount so guaranteed or any performance so guaranteed for whatever reason, the Parent Guarantor and the Subsidiary Guarantors shall be jointly and severally obligated to pay the same immediately. This is a guarantee of payment and not a guarantee of collection.
(b) The obligations hereunder shall be unconditional, irrespective of the validity, regularity or enforceability of the Notes or the Indenture, the absence of any action to enforce the same, any waiver or consent by any Holder of the Notes with respect to any provisions hereof or thereof, the recovery of any judgment against the Issuer, any action to enforce the same or any other circumstance which might otherwise constitute a legal or equitable discharge or defense of a guarantor.
(c) The following is hereby waived: diligence, presentment, demand of payment, filing of claims with a court in the event of insolvency or bankruptcy of the Issuer, any right to require a proceeding first against the Issuer, protest, notice and all demands whatsoever.
(d) This Parent Guarantee shall not be discharged except as provided herein or by complete performance of the obligations contained in the Notes, the Indenture and this Supplemental Indenture, and the Parent Guarantor accepts all obligations of a guarantor of the Notes under the Indenture but shall not be deemed a Guarantor as such term is used and defined in the Indenture.
(e) If any Holder or the Trustee is required by any court or otherwise to return to the Issuer, the Parent Guarantor, the Subsidiary Guarantors, or any custodian, trustee, liquidator or other similar official acting in relation to either the Issuer, the Parent Guarantor or the Subsidiary Guarantors, any amount paid either to the Trustee or such Holder, this Parent Guarantee, to the extent theretofore discharged, shall be reinstated in full force and effect.
(f) The Parent Guarantor shall not be entitled to any right of subrogation in relation to the Holders in respect of any obligations guaranteed hereby until payment in full of all obligations guaranteed hereby.
(g) As between the Parent Guarantor, on the one hand, and the Holders and the Trustee, on the other hand, (x) the maturity of the obligations guaranteed hereby may be accelerated as provided in Article 6 of the Indenture for the purposes of this Parent Guarantee, notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect of the obligations guaranteed hereby, and (y) in the event of any declaration of acceleration of such obligations as provided in Article 6 of the Indenture, such obligations (whether or not due and payable) shall forthwith become due and payable by the Parent Guarantor for the purpose of this Parent Guarantee.
(h) The Parent Guarantor shall have the right to seek contribution from any non-paying Subsidiary Guarantor so long as the exercise of such right does not impair the rights of the Holders under this Parent Guarantee.
(i) Pursuant to Section 10.02 of the Indenture, after giving effect to all other contingent and fixed liabilities that are relevant under any applicable Bankruptcy or fraudulent conveyance laws, and after giving effect to any collections from, rights to receive contribution from or payments made by or on behalf of any Subsidiary Guarantor in respect of the obligations of such Subsidiary Guarantor under Article 10 of the Indenture, this Parent Guarantee shall be limited to the maximum amount permissible such that the obligations of such Parent Guarantor under this Guarantee will not constitute a fraudulent transfer or conveyance.
(j) This Guarantee shall remain in full force and effect and continue to be effective should any petition be filed by or against the Issuer for liquidation, reorganization, should the Issuer become insolvent or make an assignment for the benefit of creditors or should a receiver or trustee be appointed for all or any significant part of the Issuers assets, and shall, to the fullest
extent permitted by law, continue to be effective or be reinstated, as the case may be, if at any time payment and performance of the Notes are, pursuant to applicable law, rescinded or reduced in amount, or must otherwise be restored or returned by any obligee on the Notes and Parent Guarantee, whether as a voidable preference, fraudulent transfer or otherwise, all as though such payment or performance had not been made. In the event that any payment or any part thereof, is rescinded, reduced, restored or returned, the Note shall, to the fullest extent permitted by law, be reinstated and deemed reduced only by such amount paid and not so rescinded, reduced, restored or returned.
(k) In case any provision of this Parent Guarantee shall be invalid, illegal or unenforceable, the validity, legality, and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.
(l) This Parent Guarantee shall be a general unsecured senior obligation of the Parent Guarantor, ranking pari passu with any other future senior indebtedness of the Parent Guarantor, if any.
(m) Each payment to be made by the Parent Guarantor in respect of this Parent Guarantee shall be made without set-off, counterclaim, reduction or diminution of any kind or nature.
(3) Execution and Delivery. The Parent Guarantor agrees that this Parent Guarantee shall remain in full force and effect notwithstanding the absence of the endorsement of any notation of the Parent Guarantee on the Notes.
(4) Release. This Parent Guarantee shall be automatically and unconditionally released and discharged, and no further action by the Parent Guarantor, the Issuer or the Trustee is required for the release of this Parent Guarantee, upon the Issuer delivering to the Trustee an Officers Certificate, confirming ongoing compliance by the Issuer of Section 4.03 of the Indenture.
(5) No Recourse Against Others. No past, present or future director, officer, employee, incorporator, stockholder or agent of the Parent Guarantor, as such, shall have any liability for any obligations of the Issuer or the Parent Guarantor under the Notes, the Parent Guarantee, the Indenture or this Supplemental Indenture or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each Holder of the Notes by accepting a Note waives and releases all such liability. The waiver and release are part of the consideration for issuance of the Notes.
(6) Governing Law. THIS SUPPLEMENTAL INDENTURE WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.
(7) Counterparts. The parties may sign any number of copies of this Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement.
(8) Effect of Headings. The Section headings herein are for convenience only and shall not affect the construction hereof.
(9) The Trustee. The Trustee shall not be responsible in any manner whatsoever for or in respect of the validity or sufficiency of this Supplemental Indenture or for or in respect of the recitals contained herein, all of which recitals are made solely by the Parent Guarantor and the Issuer.
[remainder of page intentionally left blank]
IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed, all as of the date first above written.
ARAMARK HOLDINGS CORPORATION | ||
By: | /s/ Karen A. Wallace | |
Name: Karen A. Wallace | ||
Title: Vice President and Treasurer |
[Signature Page to First Supplemental Indenture]
THE BANK OF NEW YORK MELLON, as Trustee | ||
By: | /s/ Laurence J. OBrien | |
Name: Laurence J. OBrien | ||
Title: Vice President |
[Signature Page to First Supplemental Indenture]
Exhibit 4.4
SECOND SUPPLEMENTAL INDENTURE
THIS SECOND SUPPLEMENTAL INDENTURE (this Supplemental Indenture), dated as of December 17, 2013, among the entities listed in Schedule I hereto (each a Guaranteeing Subsidiary and together, the Guaranteeing Subsidiaries), each a subsidiary of ARAMARK Corporation, a Delaware corporation (the Issuer), and The Bank of New York Mellon, as trustee (the Trustee).
W I T N E S S E T H
WHEREAS, the Issuer has heretofore executed and delivered to the Trustee an indenture (the Indenture), dated as of March 7, 2013, providing for the issuance of an unlimited aggregate principal amount of 5.75% Senior Notes due 2020 (the Notes);
WHEREAS, the Indenture provides that under certain circumstances each Guaranteeing Subsidiary shall execute and deliver to the Trustee a supplemental indenture pursuant to which such Guaranteeing Subsidiary shall unconditionally guarantee all of the Issuers Obligations under the Notes and the Indenture on the terms and conditions set forth herein and under the Indenture (the Guarantee); and
WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee is authorized to execute and deliver this Supplemental Indenture.
NOW THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt of which is hereby acknowledged, the parties mutually covenant and agree for the equal and ratable benefit of the Holders of the Notes as follows:
(1) Capitalized Terms. Capitalized terms used herein without definition shall have the meanings assigned to them in the Indenture.
(2) Agreement to Guarantee. Each Guaranteeing Subsidiary hereby agrees as follows:
(a) Along with all other Guarantors, to jointly and severally unconditionally guarantee to each Holder of a Note authenticated and delivered by the Trustee and to the Trustee and its successors and assigns, irrespective of the validity and enforceability of the Indenture, the Notes or the obligations of the Issuer hereunder or thereunder, that:
(i) the principal of, interest and premium and Additional Interest, if any, on the Notes will be promptly paid in full when due, whether at maturity, by acceleration, redemption or otherwise, and interest on the overdue principal of and interest on the Notes, if any, if lawful, and all other obligations of the Issuer to the Holders or the Trustee hereunder or thereunder will be promptly paid in full or performed, all in accordance with the terms hereof and thereof; and
(ii) in case of any extension of time of payment or renewal of any Notes or any of such other obligations, that same will be promptly paid in full when due or performed in accordance with the terms of the extension or renewal, whether at stated maturity, by acceleration or otherwise. Failing payment when due of any amount so guaranteed or any performance so guaranteed for whatever reason, the Guarantors and the Guaranteeing Subsidiaries shall be jointly and severally obligated to pay the same immediately. This is a guarantee of payment and not a guarantee of collection.
(b) The obligations hereunder shall be unconditional, irrespective of the validity, regularity or enforceability of the Notes or the Indenture, the absence of any action to enforce the same, any waiver or consent by any Holder of the Notes with respect to any provisions hereof or thereof, the recovery of any judgment against the Issuer, any action to enforce the same or any other circumstance which might otherwise constitute a legal or equitable discharge or defense of a guarantor.
(c) The following is hereby waived: diligence, presentment, demand of payment, filing of claims with a court in the event of insolvency or bankruptcy of the Issuer, any right to require a proceeding first against the Issuer, protest, notice and all demands whatsoever.
(d) This Guarantee shall not be discharged except by complete performance of the obligations contained in the Notes, the Indenture and this Supplemental Indenture, and each Guaranteeing Subsidiary accepts all obligations of a Guarantor under the Indenture.
(e) If any Holder or the Trustee is required by any court or otherwise to return to the Issuer, the Guarantors (including the Guaranteeing Subsidiaries), or any custodian, trustee, liquidator or other similar official acting in relation to either the Issuer or the Guarantors, any amount paid either to the Trustee or such Holder, this Guarantee, to the extent theretofore discharged, shall be reinstated in full force and effect.
(f) Each Guaranteeing Subsidiary shall not be entitled to any right of subrogation in relation to the Holders in respect of any obligations guaranteed hereby until payment in full of all obligations guaranteed hereby.
(g) As between the Guaranteeing Subsidiaries, on the one hand, and the Holders and the Trustee, on the other hand, (x) the maturity of the obligations guaranteed hereby may be accelerated as provided in Article 6 of the Indenture for the purposes of this Guarantee, notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect of the obligations guaranteed hereby, and (y) in the event of any declaration of acceleration of such obligations as provided in Article 6 of the Indenture, such obligations (whether or not due and payable) shall forthwith become due and payable by the Guaranteeing Subsidiaries for the purpose of this Guarantee.
(h) Each Guaranteeing Subsidiary shall have the right to seek contribution from any non-paying Guarantor so long as the exercise of such right does not impair the rights of the Holders under this Guarantee.
(i) Pursuant to Section 10.02 of the Indenture, after giving effect to all other contingent and fixed liabilities that are relevant under any applicable Bankruptcy or fraudulent conveyance laws, and after giving effect to any collections from, rights to receive contribution from or payments made by or on behalf of any other Guarantor in respect of the obligations of such other Guarantor under Article 10 of the Indenture, this new Guarantee shall be limited to the maximum amount permissible such that the obligations of such Guaranteeing Subsidiary under this Guarantee will not constitute a fraudulent transfer or conveyance.
(j) This Guarantee shall remain in full force and effect and continue to be effective should any petition be filed by or against the Issuer for liquidation, reorganization, should the Issuer
2
become insolvent or make an assignment for the benefit of creditors or should a receiver or trustee be appointed for all or any significant part of the Issuers assets, and shall, to the fullest extent permitted by law, continue to be effective or be reinstated, as the case may be, if at any time payment and performance of the Notes are, pursuant to applicable law, rescinded or reduced in amount, or must otherwise be restored or returned by any obligee on the Notes and Guarantee, whether as a voidable preference, fraudulent transfer or otherwise, all as though such payment or performance had not been made. In the event that any payment or any part thereof, is rescinded, reduced, restored or returned, the Note shall, to the fullest extent permitted by law, be reinstated and deemed reduced only by such amount paid and not so rescinded, reduced, restored or returned.
(k) In case any provision of this Guarantee shall be invalid, illegal or unenforceable, the validity, legality, and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.
(l) This Guarantee shall be a general unsecured senior obligation of such Guaranteeing Subsidiary, ranking pari passu with any other future Senior Indebtedness of such Guaranteeing Subsidiary, if any.
(m) Each payment to be made by the Guaranteeing Subsidiaries in respect of this Guarantee shall be made without set-off, counterclaim, reduction or diminution of any kind or nature.
(3) Execution and Delivery. Each Guaranteeing Subsidiary agrees that the Guarantee shall remain in full force and effect notwithstanding the absence of the endorsement of any notation of such Guarantee on the Notes.
(4) Merger, Consolidation or Sale of All or Substantially All Assets.
(a) Except as otherwise provided in Section 5.01(c) of the Indenture, each Guaranteeing Subsidiary may not consolidate or merge with or into or wind up into (whether or not the Issuer or such Guaranteeing Subsidiary is the surviving corporation), or sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of its properties or assets, in one or more related transactions, to any Person unless:
(i)(A) such Guaranteeing Subsidiary is the surviving corporation or the Person formed by or surviving any such consolidation or merger (if other than such Guaranteeing Subsidiary) or to which such sale, assignment, transfer, lease, conveyance or other disposition will have been made is a corporation, partnership, limited partnership, limited liability company or trust organized or existing under the laws of the jurisdiction of organization of such Guaranteeing Subsidiary, as the case may be, or the laws of the United States, any state thereof, the District of Columbia, or any territory thereof (such Guaranteeing Subsidiary or such Person, as the case may be, being herein called the Successor Person);
(B) the Successor Person, if other than such Guaranteeing Subsidiary, expressly assumes all the obligations of such Guaranteeing Subsidiary under the Indenture and such Guaranteeing Subsidiarys related Guarantee pursuant to supplemental indentures or other documents or instruments in form reasonably satisfactory to the Trustee;
(C) immediately after such transaction, no Default exists; and
3
(D) the Issuer shall have delivered to the Trustee an Officers Certificate and an Opinion of Counsel, each stating that such consolidation, merger or transfer and such supplemental indentures, if any, comply with the Indenture; or
(ii) the transaction is made in compliance with Section 4.10 of the Indenture;
(b) Subject to certain limitations described in the Indenture, the Successor Person will succeed to, and be substituted for, such Guaranteeing Subsidiary under the Indenture and such Guaranteeing Subsidiarys Guarantee. Notwithstanding the foregoing, such Guaranteeing Subsidiary may merge into or transfer all or part of its properties and assets to another Guarantor or the Issuer.
(5) Releases. The Guarantee of each Guaranteeing Subsidiary shall be automatically and unconditionally released and discharged, and no further action by such Guaranteeing Subsidiary, the Issuer or the Trustee is required for the release of such Guaranteeing Subsidiarys Guarantee, upon:
(1)(A) any sale, exchange or transfer (by merger or otherwise) of the Capital Stock of such Guaranteeing Subsidiary (including any sale, exchange or transfer), after which such Guaranteeing Subsidiary is no longer a Restricted Subsidiary or all or substantially all the assets of such Guaranteeing Subsidiary which sale, exchange or transfer is made in compliance with the applicable provisions of the Indenture;
(B) the release or discharge of the guarantee by such Guaranteeing Subsidiary of the guarantee which resulted in the creation of the Guarantee, except a discharge or release by or as a result of payment under such guarantee;
(C) the proper designation of such Guaranteeing Subsidiary as an Unrestricted Subsidiary; or
(D) the Issuer exercising its Legal Defeasance option or Covenant Defeasance option in accordance with Article 8 of the Indenture or the Issuers obligations under the Indenture being discharged in accordance with the terms of the Indenture; and
(2) such Guaranteeing Subsidiary delivering to the Trustee an Officers Certificate and an Opinion of Counsel, each stating that all conditions precedent provided for in the Indenture relating to such transaction have been complied with.
(6) No Recourse Against Others. No director, officer, employee, incorporator or stockholder of the Guaranteeing Subsidiaries shall have any liability for any obligations of the Issuer or the Guarantors (including the Guaranteeing Subsidiaries) under the Notes, any Guarantees, the Indenture or this Supplemental Indenture or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each Holder by accepting Notes waives and releases all such liability. The waiver and release are part of the consideration for issuance of the Notes.
(7) Governing Law. THIS SUPPLEMENTAL INDENTURE WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.
(8) Counterparts. The parties may sign any number of copies of this Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement.
(9) Effect of Headings. The Section headings herein are for convenience only and shall not affect the construction hereof.
4
(10) The Trustee. The Trustee shall not be responsible in any manner whatsoever for or in respect of the validity or sufficiency of this Supplemental Indenture or for or in respect of the recitals contained herein, all of which recitals are made solely by each Guaranteeing Subsidiary.
(11) Subrogation. Each Guaranteeing Subsidiary shall be subrogated to all rights of Holders of Notes against the Issuer in respect of any amounts paid by such Guaranteeing Subsidiary pursuant to the provisions of Section 2 hereof and Section 10.01 of the Indenture; provided that, if an Event of Default has occurred and is continuing, such Guaranteeing Subsidiary shall not be entitled to enforce or receive any payments arising out of, or based upon, such right of subrogation until all amounts then due and payable by the Issuer under the Indenture or the Notes shall have been paid in full.
(12) Benefits Acknowledged. Each Guaranteeing Subsidiarys Guarantee is subject to the terms and conditions set forth in the Indenture. Each Guaranteeing Subsidiary acknowledges that it will receive direct and indirect benefits from the financing arrangements contemplated by the Indenture and this Supplemental Indenture and that the guarantee and waivers made by it pursuant to this Guarantee are knowingly made in contemplation of such benefits.
(13) Successors. All agreements of the Guaranteeing Subsidiaries in this Supplemental Indenture shall bind their Successors, except as otherwise provided in Section 2(k) hereof or elsewhere in this Supplemental Indenture. All agreements of the Trustee in this Supplemental Indenture shall bind its successors.
[remainder of page intentionally left blank].
5
IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed, all as of the date first above written.
EACH OF THE ENTITIES LISTED ON SCHEDULE I HERETO | ||||
By: | /s/ Karen A. Wallace | |||
Name: | Karen A. Wallace | |||
Title: | Treasurer |
[Signature Page to Second Supplemental Indenture]
THE BANK OF NEW YORK MELLON, as Trustee | ||
By: | /s/ Laurence J. OBrien | |
Name: Laurence J. OBrien | ||
Title: Vice President |
[Signature Page to Second Supplemental Indenture]
Schedule I
Guaranteeing Subsidiaries
Entity Name |
Jurisdiction | |||
1. | Ist & Fresh, LLC |
Delaware | ||
2. | ARAMARK Business & Industry, LLC |
Delaware | ||
3. | ARAMARK Business Center, LLC |
Delaware | ||
4. | ARAMARK Business Facilities, LLC |
Delaware | ||
5. | ARAMARK Construction and Energy Services, LLC |
Delaware | ||
6. | ARAMARK Construction Services, Inc. |
Delaware | ||
7. | ARAMARK Management, LLC |
Delaware | ||
8. | ARAMARK North Carolina Technical Services, LLC |
Delaware | ||
9. | ARAMARK Processing, LLC |
Delaware | ||
10. | ARAMARK Qatar, LLC |
Delaware | ||
11. | ARAMARK Rail Services, LLC |
Delaware | ||
12. | ARAMARK Refreshment Services of Tampa, LLC |
Delaware | ||
13. | ARAMARK Schools Facilities, LLC |
Delaware | ||
14. | ARAMARK Technical Services North Carolina, Inc. |
North Carolina | ||
15. | ARAMARK Togwotee, LLC |
Delaware | ||
16. | ARAMARK Uniform Services (Carmelo) LLC |
Delaware | ||
17. | ARAMARK WTC, LLC |
Delaware | ||
18. | Brand Coffee Service, Inc. |
Texas | ||
19. | COHR Holdings, Inc. |
Delaware | ||
20. | COHR Inc. |
Delaware | ||
21. | D.G. Maren II, Inc. |
Delaware | ||
22. | Filterfresh Coffee Service, Inc. |
Delaware | ||
23. | Filterfresh Franchise Group, LLC |
Delaware | ||
24. | Genesis Technology Partners, LLC |
Nebraska | ||
25. | GTP Acquisition Co. |
Delaware | ||
26. | Lifeworks Restaurant Group, LLC |
Delaware | ||
27. | MPBP Holdings, Inc. |
Delaware | ||
28. | New ARAMARK LLC |
Delaware | ||
29. | Old Time Coffee Co. |
California | ||
30. | Potomac Coffee, LLC |
Delaware | ||
31. | ReMedPar, Inc. |
Delaware | ||
32. | Van Houtte USA Holdings Inc. |
Delaware |
Exhibit 5.1
SIMPSON THACHER & BARTLETT LLP
425 LEXINGTON AVENUE
NEW YORK, NY 10017-3954
(212) 455-2000
FACSIMILE (212) 455-2502
December 17, 2013
ARAMARK Holdings Corporation
ARAMARK Corporation
ARAMARK Tower
1101 Market Street
Philadelphia, PA 19107
Ladies and Gentlemen:
We have acted as counsel to ARAMARK Holdings Corporation, a Delaware corporation (the Company), ARAMARK Corporation, a Delaware corporation (the Issuer), and the subsidiaries of the Company listed on Schedule I hereto (the Schedule I Guarantors) and Schedule II hereto (the Schedule II Guarantors and, collectively with the Company and the Schedule I Guarantors, the Guarantors) in connection with the Registration Statement on Form S-4 (the Registration Statement) filed by the Issuer and the Guarantors with the Securities and Exchange Commission (the Commission) under the Securities Act of 1933, as amended, relating to the issuance by the Issuer of $1,000,000,000 aggregate principal amount of 5.75% Senior Notes due 2020 (the Exchange Notes) and the issuance by the Guarantors of guarantees (the Guarantees) with respect to the Exchange Notes. The Exchange Notes and the Guarantees will be issued under an indenture, dated as of March 7, 2013 (as amended through the date hereof, the Indenture), among the Issuer, the Guarantors and The Bank of New York Mellon, as trustee (the Trustee). The Exchange Notes will be offered by the Issuer in exchange for $1,000,000,000 aggregate principal amount of its outstanding 5.75% Senior Notes due 2020.
SIMPSON THACHER & BARTLETT LLP
We have examined the Registration Statement and the Indenture (including the form of 5.75% Senior Notes due 2020), which has been filed with the Commission as an exhibit to the Registration Statement. We also have examined the originals, or duplicates or certified or conformed copies, of such records, agreements, documents and other instruments and have made such other investigations as we have deemed relevant and necessary in connection with the opinions hereinafter set forth. As to questions of fact material to this opinion, we have relied upon certificates or comparable documents of public officials and of officers and representatives of the Issuer and the Guarantors.
In rendering the opinions set forth below, we have assumed the genuineness of all signatures, the legal capacity of natural persons, the authenticity of all documents submitted to us as originals, the conformity to original documents of all documents submitted to us as duplicates or certified or conformed copies and the authenticity of the originals of such latter documents. We also have assumed that the Indenture is the valid and legally binding obligation of the Trustee.
We have assumed further that (1) the Schedule II Guarantors are duly organized and existing entities that have duly authorized, executed and delivered the Indenture in accordance with the law of the respective jurisdictions in which each of them is organized, and (2) execution, delivery and performance by the Schedule II Guarantors of the Indenture and the Guarantees do not and will not violate the law of the respective jurisdictions in which each of them is organized or any other applicable law (except that no such exception is made with respect to the law of the State of New York and the federal law of the United States) or their constituting documents.
-2-
SIMPSON THACHER & BARTLETT LLP
Based upon the foregoing, and subject to the qualifications, assumptions and limitations stated herein, we are of the opinion that:
1. When the Exchange Notes have been duly executed, authenticated, issued and delivered in accordance with the provisions of the Indenture upon the exchange, the Exchange Notes will constitute valid and legally binding obligations of the Issuer enforceable against the Issuer in accordance with their terms.
2. When (a) the Exchange Notes have been duly executed, authenticated, issued and delivered in accordance with the provisions of the Indenture upon the exchange and (b) the Guarantees have been duly issued, the Guarantees will constitute valid and legally binding obligations of the Guarantors enforceable against the Guarantors in accordance with their terms.
Our opinions set forth above are subject to (i) the effects of bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and other similar laws relating to or affecting creditors rights generally, (ii) general equitable principles (whether considered in a proceeding in equity or at law), and (iii) an implied covenant of good faith and fair dealing.
We do not express any opinion herein concerning any law other than the law of the State of New York, the federal law of the United States, the Delaware General Corporation Law, the Delaware Limited Liability Company Act and the Delaware Revised Uniform Limited Partnership Act.
We hereby consent to the filing of this opinion letter as Exhibit 5.1 to the Registration Statement and to the use of our name under the caption Legal Matters in the Prospectus included in the Registration Statement.
Very truly yours,
/s/ SIMPSON THACHER & BARTLETT LLP
-3-
Schedule I
Guarantors Incorporated or Formed in the States of Delaware or New York
Subsidiary |
State of Incorporation or Formation | |
Ist & Fresh, LLC |
Delaware | |
Addison Concessions, Inc. |
Delaware | |
ARAMARK Asia Management, LLC |
Delaware | |
ARAMARK Aviation Services Limited Partnership |
Delaware | |
ARAMARK Business & Industry, LLC |
Delaware | |
ARAMARK Business Center, LLC |
Delaware | |
ARAMARK Business Facilities, LLC |
Delaware | |
ARAMARK Campus, LLC |
Delaware | |
ARAMARK Cleanroom Services (Puerto Rico), Inc. |
Delaware | |
ARAMARK Cleanroom Services, LLC |
Delaware | |
ARAMARK Confection, LLC |
Delaware | |
ARAMARK Construction and Energy Services, LLC |
Delaware | |
ARAMARK Construction Services, Inc. |
Delaware | |
ARAMARK Correctional Services, LLC |
Delaware | |
ARAMARK CTS, LLC |
Delaware | |
ARAMARK Educational Group, LLC |
Delaware | |
ARAMARK Educational Services, LLC |
Delaware | |
ARAMARK Engineering Associates, LLC |
Delaware | |
ARAMARK Entertainment, LLC |
Delaware | |
ARAMARK Executive Management Services USA, Inc. |
Delaware | |
ARAMARK Facilities Management, LLC |
Delaware | |
ARAMARK Facility Services, LLC |
Delaware | |
ARAMARK FHC Business Services, LLC |
Delaware | |
ARAMARK FHC Campus Services, LLC |
Delaware | |
ARAMARK FHC Correctional Services, LLC |
Delaware |
ARAMARK FHC Healthcare Support Services, LLC |
Delaware | |
ARAMARK FHC Refreshment Services, LLC |
Delaware | |
ARAMARK FHC School Support Services, LLC |
Delaware | |
ARAMARK FHC Services, LLC |
Delaware | |
ARAMARK FHC Sports and Entertainment Services, LLC |
Delaware | |
ARAMARK FHC, LLC |
Delaware | |
ARAMARK Food and Support Services Group, Inc. |
Delaware | |
ARAMARK Food Service, LLC |
Delaware | |
ARAMARK FSM, LLC |
Delaware | |
ARAMARK Healthcare Support Services of the Virgin Islands, Inc. |
Delaware | |
ARAMARK Healthcare Support Services, LLC |
Delaware | |
ARAMARK Healthcare Technologies, LLC |
Delaware | |
ARAMARK India Holdings LLC |
Delaware | |
ARAMARK Industrial Services, LLC |
Delaware | |
ARAMARK Japan, Inc. |
Delaware | |
ARAMARK Management, LLC |
Delaware | |
ARAMARK Management Services Limited Partnership |
Delaware | |
ARAMARK Marketing Services Group, Inc. |
Delaware | |
ARAMARK North Carolina Technical Services, LLC |
Delaware | |
ARAMARK Organizational Services, Inc. |
Delaware | |
ARAMARK Processing, LLC |
Delaware | |
ARAMARK Qatar, LLC |
Delaware | |
ARAMARK Rail Services, LLC |
Delaware | |
ARAMARK RAV, LLC |
Delaware | |
ARAMARK RBI, INC. |
Delaware | |
ARAMARK Refreshment Services of Tampa, LLC |
Delaware | |
ARAMARK Refreshment Services, LLC |
Delaware |
ARAMARK Schools Facilities, LLC |
Delaware | |
ARAMARK Schools, LLC |
Delaware | |
ARAMARK SCM, Inc. |
Delaware | |
ARAMARK Senior Living Services, LLC |
Delaware | |
ARAMARK Senior Notes Company |
Delaware | |
ARAMARK Services of Puerto Rico, Inc. |
Delaware | |
ARAMARK SM Management Services, Inc. |
Delaware | |
ARAMARK SMMS LLC |
Delaware | |
ARAMARK SMMS Real Estate LLC |
Delaware | |
ARAMARK Sports and Entertainment Group, LLC |
Delaware | |
ARAMARK Sports and Entertainment Services, LLC |
Delaware | |
ARAMARK Sports Facilities, LLC |
Delaware | |
ARAMARK Sports, LLC |
Delaware | |
ARAMARK Summer Games 1996, LLC |
Delaware | |
ARAMARK Togwotee, LLC |
Delaware | |
ARAMARK U.S. Offshore Services, LLC |
Delaware | |
ARAMARK Uniform & Career Apparel Group, Inc. |
Delaware | |
ARAMARK Uniform & Career Apparel, LLC |
Delaware | |
ARAMARK Uniform Manufacturing Company |
Delaware | |
ARAMARK Uniform Services (Baltimore) LLC |
Delaware | |
ARAMARK Uniform Services (Carmelo) LLC |
Delaware | |
ARAMARK Uniform Services (Matchpoint) LLC |
Delaware | |
ARAMARK Uniform Services (Midwest) LLC |
Delaware | |
ARAMARK Uniform Services (Rochester) LLC |
Delaware | |
ARAMARK Uniform Services (Santa Ana) LLC |
Delaware | |
ARAMARK Uniform Services (Syracuse) LLC |
Delaware | |
ARAMARK Uniform Services (Texas) LLC |
Delaware |
ARAMARK Uniform Services (West Adams) LLC |
Delaware | |
ARAMARK Venue Services, Inc. |
Delaware | |
ARAMARK WTC, LLC |
Delaware | |
ARAMARK/HMS, LLC |
Delaware | |
COHR Holdings, Inc. |
Delaware | |
COHR Inc. |
Delaware | |
D.G. Maren II, Inc. |
Delaware | |
Delsac VIII, Inc. |
Delaware | |
Filterfresh Coffee Service, Inc. |
Delaware | |
Filterfresh Franchise Group, LLC |
Delaware | |
Fine Host Holdings, LLC |
Delaware | |
GTP Acquisition Co. |
Delaware | |
Harrison Conference Associates, LLC |
Delaware | |
Harrison Conference Center of Glen Cove, Inc. |
New York | |
Harry M. Stevens, LLC |
Delaware | |
Landy Textile Rental Services, LLC |
Delaware | |
Lifeworks Restaurant Group, LLC |
Delaware | |
MPBP Holdings, Inc. |
Delaware | |
New ARAMARK LLC |
Delaware | |
Potomac Coffee, LLC |
Delaware | |
ReMedPar, Inc. |
Delaware | |
Van Houtte USA Holdings Inc. |
Delaware |
Schedule II
Guarantors Incorporated or Formed in Jurisdictions other than the States of New York or Delaware
Subsidiary |
State of Incorporation or Formation | |
American Snack & Beverage, LLC |
Florida | |
ARAMARK American Food Services, LLC |
Ohio | |
ARAMARK Business Dining Services of Texas, LLC |
Texas | |
ARAMARK Capital Asset Services, LLC |
Wisconsin | |
ARAMARK Consumer Discount Company |
Pennsylvania | |
ARAMARK Distribution Services, Inc. |
Illinois | |
ARAMARK Educational Services of Texas, LLC |
Texas | |
ARAMARK Educational Services of Vermont, Inc. |
Vermont | |
ARAMARK Facility Management Corporation of Iowa |
Iowa | |
ARAMARK FHC Kansas, Inc. |
Kansas | |
ARAMARK Food Service Corporation of Kansas |
Kansas | |
ARAMARK Food Service of Texas, LLC |
Texas | |
ARAMARK Healthcare Support Services of Texas, Inc. |
Texas | |
ARAMARK Kitty Hawk, Inc. |
Idaho | |
ARAMARK Services Management of HI, Inc. |
Hawaii | |
ARAMARK Services Management of IL, Inc. |
Illinois | |
ARAMARK Services Management of MI, Inc. |
Michigan | |
ARAMARK Services Management of NJ, Inc. |
New Jersey | |
ARAMARK Services Management of OH, Inc. |
Ohio | |
ARAMARK Services Management of SC, Inc. |
South Carolina | |
ARAMARK Services Management of WI, Inc. |
Wisconsin |
ARAMARK Services of Kansas, Inc. |
Kansas | |
ARAMARK Sports and Entertainment Services of Texas, LLC |
Texas | |
ARAMARK Technical Services North Carolina, Inc. |
North Carolina | |
Brand Coffee Service, Inc. |
Texas | |
Genesis Technology Partners, LLC |
Nebraska | |
Harrison Conference Center of Lake Bluff, Inc. |
Illinois | |
Harrison Conference Services of Massachusetts, LLC |
Massachusetts | |
Harrison Conference Services of North Carolina, LLC |
North Carolina | |
Harrison Conference Services of Princeton, Inc. |
New Jersey | |
Harrison Conference Services of Wellesley, LLC |
Massachusetts | |
Harry M. Stevens, Inc. of New Jersey |
New Jersey | |
Harry M. Stevens, Inc. of Penn |
Pennsylvania | |
Kowalski-Dickow Associates, LLC |
Wisconsin | |
L&N Uniform Supply, LLC |
California | |
Lake Tahoe Cruises, LLC |
California | |
MyAssistant, Inc. |
Pennsylvania | |
Old Time Coffee Co. |
California | |
Overall Laundry Services, Inc. |
Washington | |
Paradise Hornblower, LLC |
California | |
Restaura, Inc. |
Michigan | |
Shoreline Operating Company, Inc. |
California | |
Tahoe Rocket LP |
California | |
Travel Systems, LLC |
Nevada |
Exhibit 5.2
STEPHEN R. REYNOLDS EXECUTIVE VICE PRESIDENT GENERAL COUNSEL AND SECRETARY |
December 17, 2013
ARAMARK Holdings Corporation
ARAMARK Corporation
ARAMARK Tower
1101 Market Street
Philadelphia, PA 19107
Ladies and Gentlemen:
I am the Executive Vice President, General Counsel and Secretary of ARAMARK Holdings Corporation, a Delaware corporation (the Company). The Company and ARAMARK Corporation, a Delaware corporation (the Issuer), have filed a Registration Statement on Form S-4 (the Registration Statement) together with the subsidiary guarantors listed therein (such subsidiary guarantors, together with the Company, the Guarantors) with the Securities and Exchange Commission (the Commission) under the Securities Act of 1933, as amended, relating to the issuance by the Issuer of $1,000,000,000 aggregate principal amount of 5.75% Senior Notes due 2020 (the Exchange Notes) and the issuance by the Guarantors of guarantees (the Guarantees) with respect to the Exchange Notes. The Exchange Notes and the Guarantees will be issued under an indenture dated as of March 7, 2013 (as amended through the date hereof, the Indenture), among the Issuer, the Guarantors and The Bank of New York Mellon, as trustee (the Trustee). The Exchange Notes will be offered by the Issuer in exchange for $1,000,000,000 aggregate principal amount of its outstanding 5.75% Senior Notes due 2020.
I have examined the Registration Statement and the Indenture, which has been filed with the Commission as an exhibit to the Registration Statement.
In rendering the opinions contained herein, I have relied upon my examination or the examination by members of our legal staff or outside counsel (in the ordinary course of business) of the original or copies certified or otherwise identified to our satisfaction of the charter, bylaws or other governing documents of the subsidiaries named in Schedule I hereto (the Schedule I Subsidiaries), resolutions and written consents of their respective boards of directors, general partners, managers and managing members, as the case may be, statements and certificates from officers of the Schedule I Subsidiaries and such other documents and records relating to the Schedule I Subsidiaries as we have deemed appropriate. I, or a member of my staff, have also examined the originals, or duplicates or certified or conformed copies, of such records, agreements, documents and other instruments of all the registrants and have made such other investigations as I have deemed relevant and necessary in connection with the opinions hereinafter set forth. As to questions of fact material to this opinion, I have relied upon certificates or comparable documents or statements of public officials and of officers and representatives of the Company, the Issuer, and the Schedule I Subsidiaries.
1101 MARKET STREET
PHILADELPHIA, PA 19107
215 238 6846 FAX 215 238 3388
Reynolds-Steve@ARAMARK.com
In rendering the opinion set forth below, I have also assumed the genuineness of all signatures, the legal capacity of natural persons, the authenticity of all documents submitted to me as originals, the conformity to original documents of all documents submitted to me as duplicates or certified or conformed copies and the authenticity of the originals of such latter documents.
Based upon the foregoing, and subject to the qualifications, assumptions and limitations stated herein, I am of the opinion that the Guarantees have been duly authorized, executed and delivered by each of the Schedule I Subsidiaries.
This opinion letter is given as of the date hereof and I assume no obligation to update or supplement this opinion letter to reflect any facts or circumstances that may hereafter come to my attention or any change in laws that may hereafter occur.
I hereby consent to the filing of this opinion letter as Exhibit 5.2 to the Registration Statement and to the use of my name under the caption Legal Matters in the Prospectus included in the Registration Statement.
Very truly yours, |
/s/ Stephen R. Reynolds |
Stephen R. Reynolds |
2
Schedule I
Guarantors Incorporated or Formed in Jurisdictions other than the States of New York or Delaware
Subsidiary |
State of Incorporation or
Formation | |
American Snack & Beverage, LLC |
Florida | |
ARAMARK American Food Services, LLC |
Ohio | |
ARAMARK Business Dining Services of Texas, LLC |
Texas | |
ARAMARK Capital Asset Services, LLC |
Wisconsin | |
ARAMARK Consumer Discount Company |
Pennsylvania | |
ARAMARK Distribution Services, Inc. |
Illinois | |
ARAMARK Educational Services of Texas, LLC |
Texas | |
ARAMARK Educational Services of Vermont, Inc. |
Vermont | |
ARAMARK Facility Management Corporation of Iowa |
Iowa | |
ARAMARK FHC Kansas, Inc. |
Kansas | |
ARAMARK Food Service Corporation of Kansas |
Kansas | |
ARAMARK Food Service of Texas, LLC |
Texas | |
ARAMARK Healthcare Support Services of Texas, Inc. |
Texas | |
ARAMARK Kitty Hawk, Inc. |
Idaho | |
ARAMARK Services Management of HI, Inc. |
Hawaii | |
ARAMARK Services Management of IL, Inc. |
Illinois | |
ARAMARK Services Management of MI, Inc. |
Michigan | |
ARAMARK Services Management of NJ, Inc. |
New Jersey | |
ARAMARK Services Management of OH, Inc. |
Ohio | |
ARAMARK Services Management of SC, Inc. |
South Carolina | |
ARAMARK Services Management of WI, Inc. |
Wisconsin |
ARAMARK Services of Kansas, Inc. |
Kansas | |
ARAMARK Sports and Entertainment Services of Texas, LLC |
Texas | |
ARAMARK Technical Services North Carolina, Inc. |
North Carolina | |
Brand Coffee Service, Inc. |
Texas | |
Genesis Technology Partners, LLC |
Nebraska | |
Harrison Conference Center of Lake Bluff, Inc. |
Illinois | |
Harrison Conference Services of Massachusetts, LLC |
Massachusetts | |
Harrison Conference Services of North Carolina, LLC |
North Carolina | |
Harrison Conference Services of Princeton, Inc. |
New Jersey | |
Harrison Conference Services of Wellesley, LLC |
Massachusetts | |
Harry M. Stevens, Inc. of New Jersey |
New Jersey | |
Harry M. Stevens, Inc. of Penn |
Pennsylvania | |
Kowalski-Dickow Associates, LLC |
Wisconsin | |
L&N Uniform Supply, LLC |
California | |
Lake Tahoe Cruises, LLC |
California | |
MyAssistant, Inc. |
Pennsylvania | |
Old Time Coffee Co. |
California | |
Overall Laundry Services, Inc. |
Washington | |
Paradise Hornblower, LLC |
California | |
Restaura, Inc. |
Michigan | |
Shoreline Operating Company, Inc. |
California | |
Tahoe Rocket LP |
California | |
Travel Systems, LLC |
Nevada |
Exhibit 10.64
JOINDER AGREEMENT
THIS JOINDER AGREEMENT (this Agreement), dated as of December 17, 2013, is entered into between each New Subsidiary listed on Schedule I hereto (each, a New Subsidiary and, collectively, the New Subsidiaries) and JPMorgan Chase Bank, N.A., as Agent (as defined in the Credit Agreement), under that certain Credit Agreement, dated as of January 26, 2007, as amended and restated as of March 26, 2010, as amended by Amendment Agreement No. 1 dated as of April 18, 2011, Amendment Agreement No. 2 dated as of February 29, 2012, Amendment Agreement No. 3 dated as of December 20, 2012, Amendment Agreement No. 4 dated as of February 22, 2013 and Amendment Agreement No. 5, dated as of March 22, 2013 (as amended, supplemented, amended and restated or otherwise modified from time to time, the Credit Agreement), among ARAMARK Corporation (as successor to RMK Acquisition Corporation) (ARAMARK or the U.S. Borrower), ARAMARK Intermediate Holdco Corporation, a Delaware corporation (Holdings), ARAMARK Canada LTD., a company organized under the laws of Canada (the Canadian Borrower), ARAMARK Investments Limited, a limited company incorporated under the laws of England and Wales (the U.K. Borrower), ARAMARK Ireland Holdings Limited, a company incorporated under the laws of Ireland (the Irish Borrower), ARAMARK Holdings GMBH & CO. KG, a company organized under the laws of Germany (the German-1 Borrower), ARAMARK GMBH, a company organized under the laws of Germany (the German-2 Borrower and, together with the U.S. Borrower, the Canadian Borrower, the U.K. Borrower, the Irish Borrower and the German-1 Borrower, the Borrowers), each Subsidiary of ARAMARK that, from time to time, becomes a party thereto, the Lenders (as defined in Article I of the Credit Agreement), JPMorgan Chase Bank, N.A., as administrative agent, collateral agent (in such capacities, the Agent) and as LC Facility Issuing Bank (in such capacity, the LC Facility Issuing Bank) and the other parties thereto from time to time.
Each New Subsidiary and the Agent, for the benefit of the Lenders, hereby agree as follows:
1. Each New Subsidiary hereby acknowledges, agrees and confirms that, by its execution of this Agreement, each New Subsidiary will be deemed to be a Loan Party (as defined in the Credit Agreement) under the Credit Agreement and a Loan Guarantor (as defined in the Credit Agreement) for all purposes of the Credit Agreement and shall have all of the obligations of a Loan Party and a Loan Guarantor thereunder as if it had executed the Credit Agreement. Each New Subsidiary hereby ratifies, as of the date hereof, and agrees to be bound by, all of the terms, provisions and conditions contained in the Credit Agreement, including without limitation (a) all of the representations and warranties of the Loan Parties set forth in Article III of the Credit Agreement (to the extent made or deemed made on or after the effective date hereof), (b) all of the covenants set forth in Articles V and VI of the Credit Agreement applicable to it and (c) all of the guaranty obligations set forth in Article X of the Credit Agreement.
2. If required, each New Subsidiary is, simultaneously with the execution of this Agreement, executing and delivering such Collateral Documents (as defined in the Credit Agreement) (and such other documents and instruments) as requested by the Agent in accordance with the Credit Agreement (other than the certificates listed on Annex A attached hereto).
3. As promptly as practicable, and in any event within 30 calendar days after the date hereof (or such later date as the Administrative Agent agrees to in writing in its sole discretion), the U.S. Borrower shall, or shall cause the applicable Loan Party (as defined in the Credit Agreement) to deliver to the Agent the certificates listed on Annex A attached hereto, together with instruments of transfer or assignment in blank.
4. Each New Subsidiary hereby waives acceptance by the Agent and the Lenders of the guaranty by the New Subsidiary upon the execution of this Agreement by the New Subsidiary.
5. This Agreement may be executed in any number of counterparts, each of which when so executed and delivered shall be an original, but all of which shall constitute one and the same instrument.
6. THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.
-2-
IN WITNESS WHEREOF, each New Subsidiary has caused this Agreement to be duly executed by its authorized officer, and the Agent, for the benefit of the Lenders, has caused the same to be accepted by its authorized officer, as of the day and year first above written.
EACH OF THE NEW SUBSIDIARIES LISTED ON SCHEDULE I HERETO | ||
By: | /s/ Karen A. Wallace | |
Name: Karen A. Wallace | ||
Title: Treasurer |
Acknowledged and accepted:
JPMORGAN CHASE BANK, N.A., as Agent | ||
By: | /s/ Tony Yung | |
Name: Tony Yung | ||
Title: Executive Director |
[Signature Page to Joinder Agreement]
Schedule I
Entity Name |
Jurisdiction of Formation | |
1st & Fresh, LLC |
Delaware | |
ARAMARK Business & Industry, LLC |
Delaware | |
ARAMARK Business Center, LLC |
Delaware | |
ARAMARK Business Facilities, LLC |
Delaware | |
ARAMARK Construction and Energy Services, LLC |
Delaware | |
ARAMARK Construction Services, Inc. |
Delaware | |
ARAMARK Management, LLC |
Delaware | |
ARAMARK North Carolina Technical Services, LLC |
Delaware | |
ARAMARK Processing, LLC |
Delaware | |
ARAMARK Qatar, LLC |
Delaware | |
ARAMARK Rail Services, LLC |
Delaware | |
ARAMARK Refreshment Services of Tampa, LLC |
Delaware | |
ARAMARK Schools Facilities, LLC |
Delaware | |
ARAMARK Technical Services North Carolina, Inc. |
North Carolina | |
ARAMARK Togwotee, LLC |
Delaware | |
ARAMARK Uniform Services (Carmelo) LLC |
Delaware | |
ARAMARK WTC, LLC |
Delaware | |
Brand Coffee Service, Inc. |
Texas | |
COHR Holdings, Inc. |
Delaware | |
COHR Inc. |
Delaware | |
D.G. Maren II, Inc. |
Delaware | |
Filterfresh Coffee Service, Inc. |
Delaware | |
Filterfresh Franchise Group, LLC |
Delaware | |
Genesis Technology Partners, LLC |
Nebraska | |
GTP Acquisition Co. |
Delaware | |
Lifeworks Restaurant Group, LLC |
Delaware | |
MPBP Holdings, Inc. |
Delaware | |
New ARAMARK LLC |
Delaware | |
Old Time Coffee Co. |
California | |
Potomac Coffee, LLC |
Delaware | |
ReMedPar, Inc. |
Delaware | |
Van Houtte USA Holdings Inc. |
Delaware |
ANNEX A
Current Legal |
Record Owner |
Certificate No. |
No. Shares/Interest |
Percent Pledged | ||||
ARAMARK Technical Services North Carolina, Inc. |
ARAMARK North Carolina Technical Services, LLC | 3 | 1/100% | 100% | ||||
Sun Office Service, Inc. |
Brand Coffee Service, Inc. | 19 | 27,750/100% | 100% | ||||
COHR Inc. |
COHR Holdings, Inc. | 3 | 100/100% | 100% | ||||
ReMedPar, Inc. |
COHR Holdings, Inc. | CS-5 | 200,000/100% | 100% | ||||
GTP Acquisition Co. |
COHR Inc. | 10 | 1,000,000/100% | 100% | ||||
COHR Holdings, Inc. |
MPBP Holdings, Inc. | 1 | 1000/100% | 100% | ||||
Filterfresh Coffee Service, Inc. |
Van Houtte USA Holdings Inc. | 11 | 1000/100% | 100% |
-5-
Exhibit 12.1
ARAMARK HOLDINGS CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (A)
(Unaudited)
(In thousands)
Fiscal Year Ended September 27, 2013 |
Fiscal Year Ended September 28, 2012 |
Fiscal Year Ended September 30, 2011 |
Fiscal Year Ended October 1, 2010 |
Fiscal Year Ended October 2, 2009 |
||||||||||||||||
Income (loss) from continuing operations before income taxes |
$ | 90,629 | $ | 124,968 | $ | 95,969 | $ | 32,986 | $ | (23,721 | ) | |||||||||
Fixed charges, excluding capitalized interest |
491,025 | 522,431 | 526,033 | 509,344 | 540,999 | |||||||||||||||
Undistributed earnings of less than 50% owned affiliates |
(17,056 | ) | (21,423 | ) | (24,523 | ) | (22,114 | ) | (16,549 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Earnings, as adjusted |
$ | 564,598 | $ | 625,976 | $ | 597,479 | $ | 520,216 | $ | 500,729 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Interest expense |
$ | 430,275 | $ | 462,284 | $ | 469,773 | $ | 451,828 | $ | 485,132 | ||||||||||
Portion of operating lease rentals representative of interest factor |
59,767 | 59,133 | 56,033 | 57,467 | 55,267 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Fixed charges |
$ | 490,042 | $ | 521,417 | $ | 525,806 | $ | 509,295 | $ | 540,399 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Ratio of earnings to fixed charges |
1.2 | x | 1.2 | x | 1.1 | x | 1.0 | x | 0.9 | x | ||||||||||
|
|
|
|
|
|
|
|
|
|
(A) | For the purpose of determining the ratio of earnings to fixed charges, earnings include pretax income (loss) from continuing operations plus fixed charges (excluding capitalized interest). Fixed charges consist of interest on all indebtedness (including capitalized interest) plus that portion of operating lease rentals representative of the interest factor (deemed to be one-third of operating lease rentals). Prior periods have been adjusted to reflect Galls, LLC, as a discontinued operation. |
Exhibit 23.1
Consent of Independent Registered Public Accounting Firm
The Board of Directors
ARAMARK Holdings Corporation:
We consent to the use of our report dated November 18, 2013 (December 17, 2013 as to Note 18), with respect to the consolidated balance sheets of ARAMARK Holdings Corporation and subsidiaries (the Company) as of September 27, 2013 and September 28, 2012 and the related consolidated statements of income, comprehensive income, cash flows and equity for the fiscal years ended September 27, 2013, September 28, 2012 and September 30, 2011 and the related financial statement schedule included herein and to the reference to our firm under the heading Experts in the prospectus.
/s/ KPMG LLP
Philadelphia, Pennsylvania
December 17, 2013
Exhibit 23.2
CONSENT OF INDEPENDENT AUDITORS
We consent to the use in this Registration Statement of ARAMARK Holdings Corporation on Form S-4 of our report dated September 9, 2013, relating to the consolidated financial statements of AIM SERVICES Co., Ltd. and subsidiaries as of March 31, 2013 and 2012 and for each of the three years in the period ended March 31, 2013 (which report expresses an unqualified opinion and includes explanatory paragraphs relating to (1) that accounting principles generally accepted in Japan vary in certain significant respects from accounting principles generally accepted in the United States of America as discussed in Note 14 and (2) that the audits also comprehended the translation of Japanese yen amounts into U.S. dollar amounts and such translation has been made in conformity with the basis stated in Note 1), appearing in the Prospectus, which is part of such Registration Statement, and to the reference to us under the heading Experts in such Prospectus.
/s/ DELOITTE TOUCHE TOHMATSU LLC |
Tokyo, Japan |
December 13, 2013 |
Exhibit 25
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM T-1
STATEMENT OF ELIGIBILITY
UNDER THE TRUST INDENTURE ACT OF 1939 OF A
CORPORATION DESIGNATED TO ACT AS TRUSTEE
¨ | CHECK IF AN APPLICATION TO DETERMINE ELIGIBILITY OF A TRUSTEE PURSUANT TO SECTION 305(b)(2) |
THE BANK OF NEW YORK MELLON
(Exact name of trustee as specified in its charter)
New York | 13-5160382 | |
(Jurisdiction of incorporation if not a U.S. national bank) |
(I.R.S. Employer Identification No.) | |
One Wall Street New York, New York |
10286 | |
(Address of principal executive offices) | (Zip code) |
Legal Department
The Bank of New York Mellon
One Wall Street, 15th Floor
New York, NY 10286
(212) 635-1270
(Name, address and telephone number of agent for service)
ARAMARK HOLDINGS CORPORATION
(Exact name of obligor as specified in its charter)
Delaware | 20-8236097 | |
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) | |
ARAMARK Tower 1101 Market Street Philadelphia, Pennsylvania |
19107 | |
(Address of principal executive offices) | (Zip code) |
ARAMARK CORPORATION
(Exact name of obligor as specified in its charter)
Delaware | 95-2051630 | |
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) | |
ARAMARK Tower 1101 Market Street Philadelphia, Pennsylvania |
19107 | |
(Address of principal executive offices) | (Zip code) |
5.75% Senior Notes due 2020
(Title of the indenture securities)
Table of Guarantor Obligors
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
1st & Fresh, LLC |
Delaware | 26-3147608 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Addison Concessions, Inc. |
Delaware | 23-3068280 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
American Snack & Beverage, LLC |
Florida | 65-0099517 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK American Food Services, LLC |
Ohio | 34-4197320 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Asia Management, LLC |
Delaware | 20-1697406 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Aviation Services Limited Partnership |
Delaware | 36-3940986 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business & Industry, LLC |
Delaware | 26-3147457 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business Center, LLC |
Delaware | 46-3549461 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business Dining Services of Texas, LLC |
Texas | 23-2573583 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Business Facilities, LLC |
Delaware | 26-3674871 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Campus, LLC |
Delaware | 23-3102688 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Capital Asset Services, LLC |
Wisconsin | 39-1551693 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Cleanroom Services (Puerto Rico), Inc. |
Delaware | 20-2644041 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Cleanroom Services, LLC |
Delaware | 23-2062167 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Confection, LLC |
Delaware | 36-2392940 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Construction and Energy Services, LLC |
Delaware | 27-3359653 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Construction Services, Inc. |
Delaware | 27-4284479 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Consumer Discount Company |
Pennsylvania | 23-2704523 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Correctional Services, LLC |
Delaware | 23-2778485 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK CTS, LLC |
Delaware | 36-4503103 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK Distribution Services, Inc. |
Illinois | 36-1164580 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Educational Group, LLC |
Delaware | 23-2573586 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Educational Services of Texas, LLC |
Texas | 23-1717332 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Educational Services of Vermont, Inc. |
Vermont | 23-2263511 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Educational Services, LLC |
Delaware | 23-1354443 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Engineering Associates, LLC |
Delaware | 36-4358960 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Entertainment, LLC |
Delaware | 11-2145117 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Executive Management Services USA, Inc. |
Delaware | 23-3029011 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Facilities Management, LLC |
Delaware | 23-2636400 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Facility Management Corporation of Iowa |
Iowa | 13-3444248 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Facility Services, LLC |
Delaware | 20-8482211 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Business Services, LLC |
Delaware | 85-0485361 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Campus Services, LLC |
Delaware | 85-0485370 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Correctional Services, LLC |
Delaware | 85-0485374 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Healthcare Support Services, LLC |
Delaware | 85-0485377 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Kansas, Inc. |
Kansas | 04-3719118 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Refreshment Services, LLC |
Delaware | 85-0485381 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC School Support Services, LLC |
Delaware | 85-0485386 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Services, LLC |
Delaware | 16-1653189 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FHC Sports and Entertainment Services, LLC |
Delaware | 85-0485389 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK FHC, LLC |
Delaware | 02-0652458 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food and Support Services Group, Inc. |
Delaware | 23-2573585 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food Service Corporation of Kansas |
Kansas | 13-3703705 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food Service of Texas, LLC |
Texas | 74-1310443 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Food Service, LLC |
Delaware | 23-0404985 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK FSM, LLC |
Delaware | 37-1462108 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Support Services of Texas, Inc. |
Texas | 23-2575102 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Support Services of the Virgin Islands, Inc. |
Delaware | 23-2654936 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Support Services, LLC |
Delaware | 23-1530221 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Healthcare Technologies, LLC |
Delaware | 33-0694408 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK India Holdings LLC |
Delaware | 20-5396223 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Industrial Services, LLC |
Delaware | 38-2712298 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Japan, Inc. |
Delaware | 37-1437224 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Kitty Hawk, Inc. |
Idaho | 23-2167428 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Management, LLC |
Delaware | 26-1597527 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Marketing Services Group, Inc. |
Delaware | 23-1630859 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Management Services Limited Partnership |
Delaware | 36-3797749 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK North Carolina Technical Services, LLC |
Delaware | 26-0771431 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Organizational Services, Inc. |
Delaware | 23-3029013 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Processing, LLC |
Delaware | 26-2621089 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK Qatar, LLC |
Delaware | 26-0727676 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Rail Services, LLC |
Delaware | 26-3519724 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK RAV, LLC |
Delaware | 38-3655870 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK RBI, INC. |
Delaware | 23-2732825 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Refreshment Services of Tampa, LLC |
Delaware | 26-2829924 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Refreshment Services, LLC |
Delaware | 23-1673482 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Schools Facilities, LLC |
Delaware | 26-3674561 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Schools, LLC |
Delaware | 23-3102689 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK SCM, Inc. |
Delaware | 04-3652050 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Senior Living Services, LLC |
Delaware | 20-0648583 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Senior Notes Company |
Delaware | 23-2693518 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of HI, Inc. |
Hawaii | 23-2983665 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of IL, Inc. |
Illinois | 23-2983669 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of MI, Inc. |
Michigan | 23-2983689 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of NJ, Inc. |
New Jersey | 23-2983702 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of OH, Inc. |
Ohio | 23-2983707 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of SC, Inc. |
South Carolina | 23-2983715 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services Management of WI, Inc. |
Wisconsin | 23-2983725 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services of Kansas, Inc. |
Kansas | 23-2525399 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Services of Puerto Rico, Inc. |
Delaware | 66-0231810 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK SM Management Services, Inc. |
Delaware | 36-3744854 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK SMMS LLC |
Delaware | 23-3099982 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK SMMS Real Estate LLC |
Delaware | 23-3099984 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports and Entertainment Group, LLC |
Delaware | 23-2573588 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports and Entertainment Services of Texas, LLC |
Texas | 23-2573584 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports and Entertainment Services, LLC |
Delaware | 23-1664232 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports Facilities, LLC |
Delaware | 20-3808955 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Sports, LLC |
Delaware | 23-3102690 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Summer Games 1996, LLC |
Delaware | 23-2820402 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Technical Services North Carolina, Inc. |
North Carolina | 56-0893678 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Togwotee, LLC |
Delaware | 26-2259208 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK U.S. Offshore Services, LLC |
Delaware | 23-3020180 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK Uniform & Career Apparel Group, Inc. |
Delaware | 23-2816365 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform & Career Apparel, LLC |
Delaware | 95-3082883 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Manufacturing Company |
Delaware | 23-2449947 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Baltimore) LLC |
Delaware | 20-4488478 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Carmelo) LLC |
Delaware | None | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Matchpoint) LLC |
Delaware | 20-5396299 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Midwest) LLC |
Delaware | 20-4799404 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Rochester) LLC |
Delaware | 75-3102371 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
ARAMARK Uniform Services (Santa Ana) LLC |
Delaware | 20-0989729 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Syracuse) LLC |
Delaware | 61-1437731 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (Texas) LLC |
Delaware | 20-4488401 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Uniform Services (West Adams) LLC |
Delaware | 20-2038791 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
ARAMARK Venue Services, Inc. |
Delaware | 23-2986471 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK WTC, LLC |
Delaware | 45-5145553 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ARAMARK/HMS, LLC |
Delaware | 51-0363060 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Brand Coffee Service, Inc. |
Texas | 74-1875393 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
COHR Holdings, Inc. |
Delaware | 20-4226554 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
COHR Inc. |
Delaware | 95-4752572 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
D.G. Maren II, Inc. |
Delaware | 23-2921096 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Delsac VIII, Inc. |
Delaware | 23-2449950 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
Filterfresh Coffee Service, Inc. |
Delaware | 14-1676557 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Filterfresh Franchise Group, LLC |
Delaware | 04-3527632 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Fine Host Holdings, LLC |
Delaware | 42-1567694 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Genesis Technology Partners, LLC |
Nebraska | 47-0814621 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
GTP Acquisition Co. |
Delaware | 20-0414323 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Associates, LLC |
Delaware | 11-2516961 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Center of Glen Cove, Inc. |
New York | 11-2385640 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Center of Lake Bluff, Inc. |
Illinois | 36-2679415 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
Harrison Conference Services of Massachusetts, LLC |
Massachusetts | 04-2528586 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Services of North Carolina, LLC |
North Carolina | 11-3092159 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Services of Princeton, Inc. |
New Jersey | 11-2730949 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harrison Conference Services of Wellesley, LLC |
Massachusetts | 04-2969190 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harry M. Stevens, Inc. of New Jersey |
New Jersey | 13-5589767 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harry M. Stevens, Inc. of Penn |
Pennsylvania | 13-6097356 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Harry M. Stevens, LLC |
Delaware | 20-8482129 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Kowalski-Dickow Associates, LLC |
Wisconsin | 39-1453115 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
L&N Uniform Supply, LLC |
California | 95-2309531 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
Lake Tahoe Cruises, LLC |
California | 94-2599810 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Landy Textile Rental Services, LLC |
Delaware | 20-8482253 | 115 North First Street, Burbank, CA 91502 | 215-238-3000 | ||||||||
Lifeworks Restaurant Group, LLC |
Delaware | 27-2146749 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
MPBP Holdings, Inc. |
Delaware | 20-8146134 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
MyAssistant, Inc. |
Pennsylvania | 23-3050214 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
New ARAMARK LLC |
Delaware | 46-1787432 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Old Time Coffee Co. |
California | 77-0546919 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Overall Laundry Services, Inc. |
Washington | 91-1138829 | 115 N. First Street Burbank, CA 91502 | 215-238-3000 | ||||||||
Paradise Hornblower, LLC |
California | 94-3136374 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Potomac Coffee, LLC |
Delaware | 11-3720904 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
ReMedPar, Inc. |
Delaware | 52-2349972 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Restaura, Inc. |
Michigan | 38-1206635 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Exact Name of Registrant as Specified in its Charter |
State or other |
IRS Employer Identification Number (IF NONE WRITE N/A) |
Address, Including Zip Code, of Registrants Principal Executive Offices |
Phone Number | ||||||||
Shoreline Operating Company, Inc. |
California | 77-0484063 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Tahoe Rocket LP |
California | 94-3390484 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Travel Systems, LLC |
Nevada | 88-0119879 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 | ||||||||
Van Houtte USA Holdings Inc. |
Delaware | 33-1157779 | 1101 Market Street, Philadelphia, PA 19107 | 215-238-3000 |
Item 1. | General Information. |
Furnish the following information as to the Trustee:
(a) | Name and address of each examining or supervising authority to which it is subject. |
Superintendent of Banks of the State of New York Federal Reserve Bank of New York Federal Deposit Insurance Corporation New York Clearing House Association |
One State Street, New York, N.Y. 10004-1417 and Albany, N.Y. 12203 33 Liberty Plaza, New York, N.Y. 10045 550 17th Street, N.W., Washington, D.C. 20429 New York, N.Y. 10005 |
(b) | Whether it is authorized to exercise corporate trust powers. |
Yes.
Item 2. | Affiliations with Obligor. |
If the obligor is an affiliate of the trustee, describe each such affiliation.
None.
Item 16. | List of Exhibits. |
Exhibits identified in parentheses below, on file with the Commission, are incorporated herein by reference as an exhibit hereto, pursuant to Rule 7a-29 under the Trust Indenture Act of 1939 (the Act) and 17 C.F.R. 229.10(d).
1. | | A copy of the Organization Certificate of The Bank of New York Mellon (formerly The Bank of New York (formerly Irving Trust Company)) as now in effect, which contains the authority to commence business and a grant of powers to exercise corporate trust powers. (Exhibit 1 to Amendment No. 1 to Form T-1 filed with Registration Statement No. 33-6215, Exhibits 1a and 1b to Form T-1 filed with Registration Statement No. 33-21672, Exhibit 1 to Form T-1 filed with Registration Statement No. 33-29637, Exhibit 1 to Form T-1 filed with Registration Statement No. 333-121195 and Exhibit 1 to Form T-1 filed as Exhibit 25.1 to Current Report on Form 8-K of Nevada Power Company, Date of Report (Date of Earliest Event Reported) July 25, 2008 (File No. 000-52378).) | ||
4. | | A copy of the existing By-laws of the Trustee. (Exhibit 4 to Form T-1 with Registration Statement No. 333-155238.) | ||
6. | | The consent of the Trustee required by Section 321(b) of the Act. (Exhibit 6 to Form T-1 filed with Registration Statement No. 333-152856.) | ||
7. | | A copy of the latest report of condition of the Trustee published pursuant to law or to the requirements of its supervising or examining authority. |
SIGNATURE
Pursuant to the requirements of the Act, the Trustee, The Bank of New York Mellon, a corporation organized and existing under the laws of the State of New York, has duly caused this statement of eligibility to be signed on its behalf by the undersigned, thereunto duly authorized, all in The City of New York, and State of New York, on the 17th day of December, 2013.
THE BANK OF NEW YORK MELLON | ||||
By: | /s/ Laurence J. OBrien | |||
Name: | Laurence J. OBrien | |||
Title: | Vice President |
EXHIBIT 7
(Page i of iii)
Consolidated Report of Condition of
THE BANK OF NEW YORK MELLON
One Wall Street, New York, N.Y. 10286
And Foreign and Domestic Subsidiaries,
a member of the Federal Reserve System, at the close of business September 30, 2013, published in accordance with a call made by the Federal Reserve Bank of this District pursuant to the provisions of the Federal Reserve Act.
Dollar Amounts In Thousands |
||||
ASSETS |
||||
Cash and balances due from depository institutions: |
||||
Noninterest-bearing balances and currency and coin |
$ | 5,498,000 | ||
Interest-bearing balances |
128,722,000 | |||
Securities: |
||||
Held-to-maturity securities |
19,612,000 | |||
Available-for-sale securities |
73,165,000 | |||
Federal funds sold and securities purchased under agreements to resell |
||||
Federal funds sold in domestic offices |
136,000 | |||
Securities purchased under agreements to resell |
2,636,000 | |||
Loans and lease financing receivables: |
||||
Loans and leases held for sale |
0 | |||
Loans and leases, net of unearned income |
30,561,000 | |||
LESS: Allowance for loan and lease losses |
194,000 | |||
Loans and leases, net of unearned income and allowance |
30,367,000 | |||
Trading Assets |
6,502,000 | |||
Premises and fixed assets (including capitalized leases) |
1,118,000 | |||
Other real estate owned |
2,000 | |||
Investments in unconsolidated subsidiaries and associated companies |
1,112,000 | |||
Not applicable |
||||
Intangible assets: |
||||
Goodwill |
6,465,000 | |||
Other intangible assets |
1,324,000 | |||
Other assets |
14,816,000 | |||
|
|
|||
Total assets |
$ | 291,475,000 | ||
|
|
EXHIBIT 7
(Page ii of iii)
LIABILITIES |
||||
Deposits: |
||||
In domestic offices |
$ | 126,639,000 | ||
Noninterest-bearing |
77,291,000 | |||
Interest-bearing |
49,348,000 | |||
In foreign offices, Edge and Agreement subsidiaries, and IBFs |
121,967,000 | |||
Noninterest-bearing |
9,942,000 | |||
Interest-bearing |
112,025,000 | |||
Federal funds purchased and securities sold under agreements to repurchase |
||||
Federal funds purchased in domestic offices |
2,127,000 | |||
Securities sold under agreements to repurchase |
1,309,000 | |||
Trading liabilities |
7,012,000 | |||
Other borrowed money: (includes mortgage indebtedness and obligations under capitalized leases) |
5,388,000 | |||
Not applicable |
||||
Not applicable |
||||
Subordinated notes and debentures |
1,065,000 | |||
Other liabilities |
6,607,000 | |||
|
|
|||
Total liabilities |
$ | 272,114,000 | ||
|
|
|||
Not applicable |
||||
EQUITY CAPITAL |
||||
Perpetual preferred stock and related surplus |
0 | |||
Common stock |
1,135,000 | |||
Surplus (exclude all surplus related to preferred stock) |
9,884,000 | |||
Retained earnings |
9,125,000 | |||
Accumulated other comprehensive income |
-1,093,000 | |||
Other equity capital components |
0 | |||
Total bank equity capital |
19,011,000 | |||
Noncontrolling (minority) interests in consolidated subsidiaries |
350,000 | |||
|
|
|||
Total equity capital |
19,361,000 | |||
|
|
|||
Total liabilities, minority interest, and equity capital |
$ | 291,475,000 | ||
|
|
ii
EXHIBIT 7
(Page iii of iii)
I, Thomas P. Gibbons, Chief Financial Officer of the above-named bank do hereby declare that this Report of Condition is true and correct to the best of my knowledge and belief.
Thomas P. Gibbons,
Chief Financial Officer
We, the undersigned directors, attest to the correctness of this statement of resources and liabilities. We declare that it has been examined by us, and to the best of our knowledge and belief has been prepared in conformance with the instructions and is true and correct.
Gerald L. Hassell Catherine A. Rein John P. Surma |
Directors | |||
iii
ARAMARK CORPORATION
LETTER OF TRANSMITTAL
OFFER TO EXCHANGE
$1,000,000,000 PRINCIPAL AMOUNT OF ITS 5.75% SENIOR NOTES DUE 2020,
WHICH HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
FOR ANY AND ALL OF ITS OUTSTANDING 5.75% SENIOR NOTES DUE 2020
THE EXCHANGE OFFER WILL EXPIRE AT 5:00 P.M., NEW YORK CITY TIME, ON , 2014 (THE EXPIRATION DATE) UNLESS THE OFFER IS EXTENDED. TENDERS MAY BE WITHDRAWN PRIOR TO 5:00 P.M., NEW YORK CITY TIME, ON , 2014.
The Exchange Agent for the Exchange Offer is:
THE BANK OF NEW YORK MELLON
For Delivery by Hand, Overnight Delivery, Registered or Certified Mail:
The Bank of New York Mellon
c/o The Bank of New York Mellon
Corporate Trust/Reorganization Unit
111 Sanders Creek Parkway
East Syracuse, NY 13057
Attention: Christopher Landers
By Facsimile: |
To Confirm by Telephone: | |
(732) 667-9408 |
(315) 414-3362 | |
Corporate Trust Division |
Corporate Trust Division | |
Reorganization Unit |
Reorganization Unit |
For Information, Call:
(315) 414-3362
Corporate Trust Division
Reorganization Unit
DELIVERY OF THIS LETTER OF TRANSMITTAL TO AN ADDRESS OTHER THAN AS SET FORTH ABOVE, OR TRANSMISSION OF THIS LETTER OF TRANSMITTAL VIA FACSIMILE TRANSMISSION TO A NUMBER OTHER THAN AS SET FORTH ABOVE WILL NOT CONSTITUTE A VALID DELIVERY. THE INSTRUCTIONS ACCOMPANYING THIS LETTER OF TRANSMITTAL SHOULD BE READ CAREFULLY BEFORE THIS LETTER OF TRANSMITTAL IS COMPLETED.
Holders of Outstanding Notes (as defined below) should complete this Letter of Transmittal either if Outstanding Notes are to be forwarded herewith or if tenders of Outstanding Notes are to be made by book-entry transfer to an account maintained by the Exchange Agent at the book-entry transfer facility at The Depository Trust Company (DTC) pursuant to the procedures set forth in The Exchange OfferBook-entry delivery procedures and The Exchange OfferProcedures for tendering outstanding notes in the Prospectus (as defined below) and an Agents Message (as defined below) is not delivered. If tender is being made by book-entry transfer, the holder must have an Agents Message delivered in lieu of this Letter of Transmittal.
Holders of Outstanding Notes whose certificates for such Outstanding Notes are not immediately available or who cannot deliver their certificates, this Letter of Transmittal or any other required documents to the Exchange Agent on or prior to the Expiration Date or who cannot complete the procedures for book-entry transfer on a timely basis, must tender their Outstanding Notes according to the guaranteed delivery procedures set forth in The Exchange OfferGuaranteed delivery procedures in the Prospectus.
Unless the context otherwise requires, the term holder for purposes of this Letter of Transmittal means any person in whose name Outstanding Notes are registered or any other person who has obtained a properly completed bond power from the registered holder or any person whose Outstanding Notes are held of record by DTC.
The undersigned acknowledges receipt of the Prospectus dated (as it may be amended or supplemented from time to time, the Prospectus) of ARAMARK Corporation, a Delaware corporation (the Company), and guarantors of the Exchange Notes (as defined below), including the Companys parent company, ARAMARK Holdings Corporation, a Delaware Corporation, (each, a Guarantor and collectively, the Guarantors), and this Letter of Transmittal (the Letter of Transmittal), which together constitute the Companys offer (the Exchange Offer) to exchange an aggregate principal amount of up to
$1,000,000,000 of the Companys 5.75% Senior Notes due 2020 (the Exchange Notes), which have been registered under the Securities Act of 1933, as amended (the Securities Act), for any and all of the Companys outstanding 5.75% Senior Notes due 2020 (the Outstanding Notes). The Outstanding Notes are unconditionally guaranteed (the Old Guarantees) by the Guarantors and the Exchange Notes will be unconditionally guaranteed (the New Guarantees) by the Guarantors. Upon the terms and subject to the conditions set forth in the Prospectus and this Letter of Transmittal, the Guarantors offer to issue the New Guarantees with respect to all Exchange Notes issued in the Exchange Offer in exchange for the Old Guarantees of the Outstanding Notes for which such Exchange Notes are issued in the Exchange Offer. Throughout this Letter of Transmittal, unless the context otherwise requires and whether so expressed or not, references to the Exchange Offer include the Guarantors offers to exchange the New Guarantees for the Old Guarantees, references to the Exchange Notes include the related New Guarantees and references to the Outstanding Notes include the related Old Guarantees.
For each Outstanding Note accepted for exchange, the holder of such Outstanding Note will receive an Exchange Note having a principal amount equal to that of the surrendered Outstanding Note. Interest on the Exchange Notes will accrue at a rate of 5.75% per annum and is payable on March 15 and September 15 of each year.
Capitalized terms used but not defined herein shall have the same meaning given them in the Prospectus.
YOUR BANK OR BROKER CAN ASSIST YOU IN COMPLETING THIS FORM. THE INSTRUCTIONS INCLUDED WITH THIS LETTER OF TRANSMITTAL MUST BE FOLLOWED. QUESTIONS AND REQUESTS FOR ASSISTANCE WITH RESPECT TO THE PROCEDURES FOR TENDERING OR WITHDRAWING TENDERS OF OUTSTANDING NOTES IN THE EXCHANGE OFFER OR FOR ADDITIONAL COPIES OF THE PROSPECTUS AND THIS LETTER OF TRANSMITTAL MAY BE DIRECTED TO THE EXCHANGE AGENT, WHOSE ADDRESS AND TELEPHONE NUMBER APPEAR ON THE FRONT PAGE OF THIS LETTER OF TRANSMITTAL.
The undersigned has completed the appropriate boxes below and signed this Letter of Transmittal to indicate the action that the undersigned desires to take with respect to the Exchange Offer.
2
PLEASE READ THE ENTIRE LETTER OF TRANSMITTAL AND THE PROSPECTUS
CAREFULLY BEFORE CHECKING ANY BOX BELOW.
List below the Outstanding Notes to which this Letter of Transmittal relates. If the space provided below is inadequate, the certificate numbers and aggregate principal amounts of Outstanding Notes should be listed on a separate signed schedule affixed hereto.
All Tendering Holders Complete Box 1:
Box 1*
Description of Outstanding Notes Tendered Herewith
Name(s) and Address(es) of Registered Holder(s) (Please fill in, if blank, exactly as name(s) appear(s) on |
Certificate or Registration Number(s) of Outstanding Notes** |
Aggregate Principal Amount Represented by Outstanding Notes |
Aggregate Principal Amount of Outstanding Notes Being Tendered*** | |||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
|
||||||
Total:
|
* | If the space provided is inadequate, list the certificate numbers and principal amount of Outstanding Notes on a separate signed schedule and attach the list to this Letter of Transmittal. |
** | Need not be completed by book-entry holders. |
*** | The minimum permitted tender is $2,000 in principal amount. All tenders must be in a minimum denomination of $2,000 and integral multiples of $1,000 in excess of $2,000 in principal amount. Any unexchanged portion of an Outstanding Note must be in a principal amount of $2,000 or an integral multiples of $1,000 in excess thereof. Unless otherwise indicated in this column, the holder will be deemed to have tendered the full aggregate principal amount represented by such Outstanding Notes. See instruction 2. |
Box 2
Book-Entry Transfer
¨ CHECK HERE IF TENDERED OUTSTANDING NOTES ARE BEING DELIVERED
BY BOOK-ENTRY TRANSFER MADE TO THE ACCOUNT MAINTAINED BY THE EXCHANGE AGENT AND COMPLETE THE FOLLOWING:
Name of Tendering Institution:
Account Number:
Transaction Code Number:
|
Holders of Outstanding Notes that are tendering by book-entry transfer to the Exchange Agents account at DTC can execute the tender through DTCs Automated Tender Offer Program (ATOP) for which the transaction will be eligible. DTC participants that are accepting the Exchange Offer must transmit their acceptances to DTC, which will verify the acceptance and execute a book-entry delivery to the Exchange Agents account at DTC. DTC will then send a computer-generated message (an Agents Message) to the Exchange Agent for its acceptance in which the holder of the Outstanding Notes acknowledges and agrees to be bound by the terms of, and makes the representations and warranties contained in, this Letter of Transmittal, and the DTC participant confirms on behalf of itself and the beneficial owners of such Outstanding Notes all provisions of this Letter of Transmittal (including any representations and warranties) applicable to it and such beneficial owner as fully as if it had completed the information required herein and executed and transmitted this Letter of Transmittal to the Exchange Agent. Each DTC participant transmitting an acceptance of the Exchange Offer through the ATOP procedures will be deemed to have agreed to be bound by the terms of this Letter of Transmittal. Delivery of an Agents Message by DTC will satisfy the terms of the Exchange Offer as to execution and delivery of a Letter of Transmittal by the participant identified in the Agents Message. DTC participants may also accept the Exchange Offer by submitting a Notice of Guaranteed Delivery through ATOP.
3
Box 3
Notice of Guaranteed Delivery
(See Instruction 1 below)
¨ CHECK HERE IF TENDERED OUTSTANDING NOTES ARE BEING DELIVERED PURSUANT TO A NOTICE OF
Name(s) of Registered Holder(s):
Window Ticket Number (if any):
Name of Eligible Guarantor Institution that Guaranteed Delivery:
Date of Execution of Notice of Guaranteed Delivery:
IF GUARANTEED DELIVERY IS TO BE MADE BY BOOK-ENTRY TRANSFER:
Name of Tendering Institution:
Account Number:
Transaction Code Number:
|
Box 4
Return of Non-Exchanged Outstanding Notes
Tendered by Book-Entry Transfer
¨ CHECK HERE IF OUTSTANDING NOTES TENDERED BY BOOK-ENTRY TRANSFER AND NON-EXCHANGED
|
Box 5
Participating Broker-Dealer
¨ CHECK HERE IF YOU ARE A BROKER-DEALER WHO ACQUIRED THE OUTSTANDING NOTES FOR YOUR OWN
Name:
Address:
|
If the undersigned is not a broker-dealer, the undersigned represents that it is acquiring the Exchange Notes in the ordinary course of business, it is not engaged in, and does not intend to engage in, a distribution of the Exchange Notes, it has no arrangement or understanding with any person to participate in a distribution of the Exchange Notes and it is not an affiliate of the Company or the Guarantors within the meaning of Rule 405 under the Securities Act. If the undersigned is a broker-dealer that will receive Exchange Notes for its own account in exchange for Outstanding Notes that were acquired as a result of market-making activities or other trading activities, it acknowledges that it will deliver a prospectus meeting the requirements of the Securities Act in connection with any resale or transfer of such Exchange Notes; however, by so acknowledging and by delivering a prospectus, the undersigned will not be deemed to admit that it is an underwriter within the meaning of the Securities Act. A broker-dealer may not participate in the Exchange Offer with respect to Outstanding Notes acquired other than as a result of market-making activities or other trading activities. Any broker-dealer who purchased Outstanding Notes from the Company to resell pursuant to Rule 144A under the Securities Act or any other available exemption under the Securities Act must comply with the registration and prospectus delivery requirements under the Securities Act.
4
PLEASE READ THE ACCOMPANYING INSTRUCTIONS CAREFULLY
Ladies and Gentlemen:
Upon the terms and subject to the conditions of the Exchange Offer, the undersigned hereby tenders to the Company the aggregate principal amount of the Outstanding Notes indicated above. Subject to, and effective upon, the acceptance for exchange of all or any portion of the Outstanding Notes tendered herewith in accordance with the terms and conditions of the Exchange Offer (including, if the Exchange Offer is extended or amended, the terms and conditions of any such extension or amendment), the undersigned hereby exchanges, assigns and transfers to, or upon the order of, the Company all right, title and interest in and to such Outstanding Notes as are being tendered herewith.
The undersigned hereby irrevocably constitutes and appoints the Exchange Agent as its true and lawful agent and attorney-in-fact of the undersigned (with full knowledge that the Exchange Agent also acts as the agent of the Company, in connection with the Exchange Offer) with respect to the tendered Outstanding Notes, with full power of substitution and resubstitution (such power of attorney being deemed an irrevocable power coupled with an interest) to (1) deliver certificates representing such Outstanding Notes, or transfer ownership of such Outstanding Notes on the account books maintained by the book-entry transfer facility specified by the holder(s) of the Outstanding Notes, together, in each such case, with all accompanying evidences of transfer and authenticity to, or upon the order of, the Company, (2) present and deliver such Outstanding Notes for transfer on the books of the Company and (3) receive all benefits or otherwise exercise all rights and incidents of beneficial ownership of such Outstanding Notes, all in accordance with the terms of the Exchange Offer.
The undersigned hereby represents and warrants that (a) the undersigned has full power and authority to tender, exchange, assign and transfer the Outstanding Notes tendered hereby, (b) when such tendered Outstanding Notes are accepted for exchange, the Company will acquire good and unencumbered title thereto, free and clear of all liens, restrictions, charges and encumbrances and (c) the Outstanding Notes tendered for exchange are not subject to any adverse claims or proxies when accepted by the Company. The undersigned hereby further represents that (i) any Exchange Notes acquired in exchange for Outstanding Notes tendered hereby will have been acquired in the ordinary course of business of the person receiving such Exchange Notes, whether or not such person is the undersigned, (ii) neither the holder of such Outstanding Notes nor any such other person has an arrangement or understanding with any person to participate in the distribution of such Exchange Notes, (iii) neither the holder of such Outstanding Notes nor any such other person is an affiliate, as such term is defined in Rule 405 under the Securities Act, of the Company or any Guarantor, (iv) if such holder is not a broker-dealer, neither such holder nor, to the actual knowledge of such holder, any other person receiving such Exchange Notes from such holder is engaging in or intends to engage in a distribution of the Exchange Notes, and (v) if such holder is a broker-dealer that will receive the Exchange Notes for its own account in exchange for such Outstanding Notes that were acquired as a result of market-making activities or other trading activities, it will comply with the applicable provisions of the Securities Act (including, but not limited to, the prospectus delivery requirements thereunder) in connection with any resale of such Exchange Notes. If the undersigned is a person in the United Kingdom, the undersigned represents that its ordinary activities involve it in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of its business.
The undersigned also acknowledges that the Exchange Offer is being made based on the Companys understanding of an interpretation by the staff of the Securities and Exchange Commission (the SEC) as set forth in no-action letters issued to third parties, including Morgan Stanley & Co. Incorporated (available June 5, 1991), Exxon Capital Holdings Corporation (available May 13, 1988), as interpreted in the SECs letter to Shearman & Sterling (available July 2, 1993) or similar no-action letters, that the Exchange Notes issued in exchange for the Outstanding Notes pursuant to the Exchange Offer may be offered for resale, resold and otherwise transferred by each holder thereof (other than a broker-dealer who acquires such Exchange Notes directly from the Company for resale pursuant to Rule 144A under the Securities Act or any other available exemption under the Securities Act or any such holder that is an affiliate of the Company or the Guarantors within the meaning of Rule 405 under the Securities Act), without compliance with the registration and prospectus delivery provisions of the Securities Act, provided that such Exchange Notes are acquired in the ordinary course of such holders business and such holder is not engaged in, and does not intend to engage in, a distribution of such Exchange Notes and has no arrangement or understanding with any person to participate in the distribution of such Exchange Notes. If a holder of the Outstanding Notes is an affiliate of the Company or the Guarantors, is not acquiring the Exchange Notes in the ordinary course of its business, is engaged in or intends to engage in a distribution of the Exchange Notes or has any arrangement or understanding with respect to the distribution of the Exchange Notes to be acquired pursuant to the Exchange Offer, such holder (x) may not rely on the applicable interpretations of the staff of the SEC and (y) must comply with the registration and prospectus delivery requirements of the Securities Act in connection with any secondary resale transaction. If the undersigned is a broker-dealer that will receive the Exchange Notes for its own account in exchange for the Outstanding Notes, it represents that the Outstanding Notes to be exchanged for the Exchange Notes were acquired by it as a result of market-making activities or other trading activities and acknowledges that it will deliver a prospectus in connection with any resale or transfer of such Exchange Notes; however, by so acknowledging and by delivering a prospectus, the undersigned will not be deemed to admit that it is an underwriter within the meaning of the Securities Act.
5
The undersigned will, upon request, execute and deliver any additional documents deemed by the Company or the Exchange Agent to be necessary or desirable to complete the exchange, assignment and transfer of the tendered Outstanding Notes or transfer ownership of such Outstanding Notes on the account books maintained by the book-entry transfer facility. The undersigned further agrees that acceptance of any and all validly tendered Outstanding Notes by the Company and the issuance of Exchange Notes in exchange therefor shall constitute performance in full by the Company of its obligations under the Registration Rights Agreement dated as of March 7, 2013, among ARAMARK Corporation, the guarantors party thereto and the initial purchasers named therein (the Registration Rights Agreement), and that the Company shall have no further obligations or liabilities thereunder except as provided in Section 8 of such agreement. The undersigned will comply with its obligations under the Registration Rights Agreement.
The Exchange Offer is subject to certain conditions as set forth in the Prospectus under the caption The Exchange OfferConditions to the exchange offer. The undersigned recognizes that as a result of these conditions (which may be waived, in whole or in part, by the Company), as more particularly set forth in the Prospectus, the Company may not be required to exchange any of the Outstanding Notes tendered hereby and, in such event, the Outstanding Notes not exchanged will be returned to the undersigned at the address shown above, promptly following the expiration or termination of the Exchange Offer. In addition, the Company may amend the Exchanges Offer at any time prior to the Expiration Date if any of the conditions set forth under The Exchange OfferConditions to the exchange offer occur.
All authority herein conferred or agreed to be conferred in this Letter of Transmittal shall survive the death or incapacity of the undersigned and every obligation of the undersigned hereunder shall be binding upon the successors, assigns, heirs, administrators, trustees in bankruptcy and legal representatives of the undersigned. Tendered Outstanding Notes may be withdrawn at any time prior to 5:00 p.m., New York City time, on the last business day on which the Exchange Offer remains open in accordance with the procedures set forth in the terms of this Letter of Transmittal.
Unless otherwise indicated herein in the box entitled Special Registration Instructions below, please deliver the Exchange Notes (and, if applicable, substitute certificates representing the Outstanding Notes for any Outstanding Notes not exchanged) in the name of the undersigned or, in the case of a book-entry delivery of the Outstanding Notes, please credit the account indicated above. Similarly, unless otherwise indicated under the box entitled Special Delivery Instructions below, please send the Exchange Notes (and, if applicable, substitute certificates representing the Outstanding Notes for any Outstanding Notes not exchanged) to the undersigned at the address shown above in the box entitled Description of Outstanding Notes Tendered Herewith.
THE UNDERSIGNED, BY COMPLETING THE BOX ENTITLED DESCRIPTION OF OUTSTANDING NOTES TENDERED HEREWITH ABOVE AND SIGNING THIS LETTER, WILL BE DEEMED TO HAVE TENDERED THE OUTSTANDING NOTES AS SET FORTH IN SUCH BOX.
6
Box 6
SPECIAL REGISTRATION INSTRUCTIONS
(See Instructions 4 and 5)
To be completed ONLY if certificates for the Outstanding Notes not tendered and/or certificates for the Exchange Notes are to be issued in the name of someone other than the registered holder(s) of the Outstanding Notes whose name(s) appear(s) above.
Issue: |
¨ Outstanding Notes not tendered to: ¨ Exchange Notes to: |
|||
Name(s): | ||||
(Please Print or Type) |
||||
Address: | ||||
(Include Zip Code)
|
||||
Daytime Area Code and Telephone Number. | ||||
Taxpayer Identification Number (Social Security or Employer Identification Number): |
||||
Box 7
SPECIAL DELIVERY INSTRUCTIONS
(See Instructions 4 and 5)
To be completed ONLY if certificates for the Outstanding Notes not tendered and/or certificates for the Exchange Notes are to be delivered to someone other than the registered holder(s) of the Outstanding Notes whose name(s) appear(s) above.
Deliver: |
¨ Outstanding Notes not tendered to: ¨ Exchange Notes to: |
|||
Name(s): | ||||
(Please Print or Type) |
||||
Address: | ||||
(Include Zip Code)
|
||||
Daytime Area Code and Telephone Number. | ||||
Taxpayer Identification Number (Social Security or Employer Identification Number): |
||||
7
Box 8
TENDERING HOLDER(S) SIGN HERE
(Complete accompanying Substitute Form W-9 or applicable Form W-8)
Must be signed by the registered holder(s) (which term, for the purposes described herein, shall include a person whose name appears on a security listing of the book-entry transfer facility as the owner of the Outstanding Notes) of the Outstanding Notes exactly as their name(s) appear(s) on the Outstanding Notes hereby tendered or on such security listing or by any person(s) authorized to become the registered holder(s) by properly completed bond powers or endorsements and documents transmitted herewith. If signature is by a trustee, executor, administrator, guardian, attorney-in-fact, officer of a corporation or other person acting in a fiduciary or representative capacity, please set forth the full title of such person. See Instruction 4.
(Signature(s) of Holder(s)) | ||||
Date: | ||||
Name(s): | ||||
(Please Type or Print) | ||||
Capacity (full title): | ||||
Address: | ||||
(Including Zip Code) | ||||
Daytime Area Code and Telephone Number: | ||||
Taxpayer Identification Number (Social Security or Employer Identification Number):
|
GUARANTEE OF SIGNATURE(S)
(If Required See Instruction 4)
Authorized Signature:
Date:
Name:
Title:
Name of Firm:
| ||
Address of Firm: | ||
(Include Zip Code) | ||
Area Code and Telephone Number:
Taxpayer Identification Number (Social Security or Employer Identification Number):
|
8
Box 9
PAYERS NAME: ARAMARK CORPORATION
Substitute Form W-9
Substitute Form W-9 |
Part 1 PLEASE PROVIDE YOUR TIN ON THE APPROPRIATE LINE BELOW AND CERTIFY BY SIGNING AND DATING BELOW. | |
Department of the Treasury Internal Revenue Service |
Name | |
Payers Request for Taxpayer Identification Number (TIN) |
Social Security Number OR | |
Employer Identification Number | ||
Part 2 Awaiting TIN ¨
| ||
Part 3 Certification UNDER THE PENALTIES OF PERJURY, I CERTIFY THAT: (1) The number shown on this form is my correct Taxpayer Identification Number (or I am waiting for a number to be issued to me), and (2) I am not subject to backup withholding because (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (the IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding, and (3) I am a U.S. person (including a U.S. resident alien). | ||
CERTIFICATE INSTRUCTIONS You must cross out item (2) above if you have been notified by the IRS that you are currently subject to backup withholding because of under-reporting interest or dividends on your tax return. However, if after being notified by the IRS that you were subject to backup withholding you received another notification from the IRS that you are no longer subject to backup withholding, do not cross out such item (2). | ||
The Internal Revenue Service does not require your consent to any provision of this document other than the certifications required to avoid backup withholding. | ||
Sign Here | ||
Date
|
NOTE: FAILURE TO COMPLETE AND RETURN THIS FORM MAY RESULT IN BACKUP WITHHOLDING OF 28% OF ANY REPORTABLE PAYMENTS MADE TO YOU PURSUANT TO THE EXCHANGE OFFER. PLEASE REVIEW THE ENCLOSED GUIDELINES FOR CERTIFICATION OF TAXPAYER IDENTIFICATION NUMBER ON SUBSTITUTE FORM W-9 FOR ADDITIONAL DETAILS.
YOU MUST COMPLETE THE FOLLOWING CERTIFICATE IF YOU
CHECKED THE BOX IN PART 2 OF THE SUBSTITUTE FORM W-9.
CERTIFICATE OF AWAITING TAXPAYER IDENTIFICATION NUMBER
I certify under penalties of perjury that a taxpayer identification number has not been issued to me, and either (1) I have mailed or delivered an application to receive a taxpayer identification number to the appropriate Internal Revenue Service Center or Social Security Administration Office, or (2) I intend to mail or deliver an application in the near future. I understand that if I do not provide a taxpayer identification number by the time of payment, 28% of all reportable payments made to me will be withheld.
Signature | Date |
9
GUIDELINES FOR CERTIFICATION OF TAXPAYER IDENTIFICATION
NUMBER ON SUBSTITUTE FORM W-9
Guidelines for Determining the Proper Identification Number for the Payee (You) to Give the Payer. Social security numbers have nine digits separated by two hyphens: i.e., 000-00-0000. Employer identification numbers have nine digits separated by only one hyphen: i.e., 00-0000000. The table below will help determine the number to give the payer. All Section references are to the Internal Revenue Code of 1986, as amended. IRS is the Internal Revenue Service.
For this type of account: |
Give the SOCIAL SECURITY number of | |
1. Individual |
The individual | |
2. Two or more individuals (joint account) |
The actual owner of the account or, if combined account fund, the first individual on the accounta | |
3. Custodian account of a minor (Uniform Gift to Minors Act) |
The minorb | |
4. a. The usual revocable savings trust account (grantor is also trustee) |
The grantor-trusteea | |
b. So-called trust that is not a legal or valid trust under state law |
The actual ownera | |
5. Sole proprietorship or disregarded entity owned by an individual |
The ownerc | |
For this type of account: |
Give the EMPLOYER IDENTIFICATION number of | |
6. Disregarded entity not owned by an individual |
The owner | |
7. A valid trust, estate, or pension trust |
The legal entityd | |
8. Corporate |
The corporation | |
9. Association, club, religious, charitable, educational, or other tax-exempt organization account |
The organization | |
10. Partnership |
The partnership | |
11. A broker or registered nominee |
The broker or nominee | |
12. Account with the Department of Agriculture in the name of a public entity (such as a state or local government, school district, or prison) that receives agricultural program payments |
The public entity |
a. | List first and circle the name of the person whose number you furnish. If only one person on a joint account has a social security number, that persons number must be furnished. |
b. | Circle the minors name and furnish the minors social security number. |
c. | You must show your individual name, but you may also enter your business or doing business as name. You may use either your social security number or your employer identification number (if you have one). |
d. | List first and circle the name of the legal trust, estate, or pension trust. (Do not furnish the taxpayer identification number of the personal representative or trustee unless the legal entity itself is not designated in the account title.) |
NOTE: | IF NO NAME IS CIRCLED WHEN THERE IS MORE THAN ONE NAME, THE NUMBER WILL BE CONSIDERED TO BE THAT OF THE FIRST NAME LISTED. |
10
GUIDELINES FOR CERTIFICATION OF TAXPAYER IDENTIFICATION NUMBER ON
SUBSTITUTE FORM W-9
Obtaining a Number
If you dont have a taxpayer identification number or you dont know your number, obtain Form SS-5, Application for a Social Security Card, at the local Social Security Administration office, or Form SS-4, Application for Employer Identification Number, by calling 1 (800) TAX-FORM, and apply for a number.
Payees Exempt from Backup Withholding
All Section references are to the Internal Revenue Code of 1986, as amended.
Payees specifically exempted from withholding include:
| An organization exempt from tax under Section 501(a), an individual retirement account (IRA), or a custodial account under Section 403(b)(7), if the account satisfies the requirements of Section 401(f)(2). |
| The United States or a state thereof, the District of Columbia, a possession of the United States, or a political subdivision or wholly-owned agency or instrumentality of any one or more of the foregoing. |
| An international organization or any agency or instrumentality thereof. |
| A foreign government and any political subdivision, agency or instrumentality thereof. |
Payees that may be exempt from backup withholding include:
| A corporation. |
| A financial institution. |
| A dealer in securities or commodities required to register in the United States, the District of Columbia, or a possession of the United States. |
| A real estate investment trust. |
| A common trust fund operated by a bank under Section 584(a). |
| An entity registered at all times during the tax year under the Investment Company Act of 1940. |
| A middleman known in the investment community as a nominee or custodian. |
| A futures commission merchant registered with the Commodity Futures Trading Commission. |
| A foreign central bank of issue. |
| A trust exempt from tax under Section 664 or described in Section 4947. |
Payments of dividends and patronage dividends generally exempt from backup withholding include:
| Payments to nonresident aliens subject to withholding under Section 1441. |
| Payments to partnerships not engaged in a trade or business in the United States and that have at least one nonresident alien partner. |
| Payments of patronage dividends not paid in money. |
| Payments made by certain foreign organizations. |
| Section 404(k) payments made by an ESOP. |
Payments of interest generally exempt from backup withholding include:
| Payments of interest on obligations issued by individuals. Note: You may be subject to backup withholding if this interest is $600 or more and you have not provided your correct taxpayer identification number to the payer. |
| Payments described in Section 6049(b)(5) to nonresident aliens. |
11
| Payments on tax-free covenant bonds under Section 1451. |
| Payments made by certain foreign organizations. |
| Mortgage interest paid to you. |
Certain payments, other than payments of interest, dividends, and patronage dividends, that are exempt from information reporting are also exempt from backup withholding. For details, see the regulations under Sections 6041, 6041A, 6042, 6044, 6045, 6049, 6050A and 6050N.
Exempt payees described above must file IRS Form W-9 or a Substitute Form W-9, to avoid possible erroneous backup withholding. FILE THIS FORM WITH THE PAYER, FURNISH YOUR TAXPAYER IDENTIFICATION NUMBER, WRITE EXEMPT ON THE FACE OF THE FORM, SIGN AND DATE THE FORM AND RETURN IT TO THE PAYER.
Privacy Act Notice. Section 6109 requires you to provide your correct taxpayer identification number to payers, who must report the payments to the IRS. The IRS uses the number for identification purposes and may also provide this information to various government agencies for tax enforcement or litigation purposes. Payers must be given the numbers whether or not recipients are required to file tax returns. Payers must generally withhold 28% of taxable interest, dividend, and certain other payments to a payee who does not furnish a taxpayer identification number to the payer. Certain penalties may also apply.
Penalties
(1) Failure to Furnish Taxpayer Identification Number. If you fail to furnish your taxpayer identification number to a payer, you are subject to a penalty of $50 for each such failure unless your failure is due to reasonable cause and not to willful neglect.
(2) Civil Penalty for False Information with Respect to Withholding. If you make a false statement with no reasonable basis that results in no backup withholding, you are subject to a $500 penalty.
(3) Criminal Penalty for Falsifying Information. Willfully falsifying certifications or affirmations may subject you to criminal penalties including fines and/or imprisonment.
FOR ADDITIONAL INFORMATION CONTACT YOUR TAX CONSULTANT OR THE INTERNAL REVENUE SERVICE.
12
INSTRUCTIONS
FORMING PART OF THE TERMS AND CONDITIONS OF THE EXCHANGE OFFER
General
Please do not send certificates for Outstanding Notes directly to the Company. Your certificates for Outstanding Notes, together with your signed and completed Letter of Transmittal and any required supporting documents, should be mailed or otherwise delivered to the Exchange Agent at the address set forth on the first page hereof. The method of delivery of Outstanding Notes, this Letter of Transmittal and all other required documents is at your sole option and risk and the delivery will be deemed made only when actually received by the Exchange Agent. If delivery is by mail, registered mail with return receipt requested, properly insured, or overnight or hand delivery service is recommended. In all cases, sufficient time should be allowed to ensure timely delivery.
1. Delivery of this Letter of Transmittal and Certificates; Guaranteed Delivery Procedures. A holder of Outstanding Notes (which term, for the purposes described herein, shall include a person whose name appears on a security listing of the book-entry transfer facility as the owner of the Outstanding Notes) may tender the same by (i) properly completing and signing this Letter of Transmittal or a facsimile hereof (all references in the Prospectus to the Letter of Transmittal shall be deemed to include a facsimile thereof) and delivering the same, together with the certificate or certificates, if applicable, representing the Outstanding Notes being tendered and any required signature guarantees and any other documents required by this Letter of Transmittal, to the Exchange Agent at its address set forth above on or prior to the Expiration Date, (ii) complying with the procedure for book-entry transfer described below or (iii) complying with the guaranteed delivery procedures described below.
Holders who wish to tender their Outstanding Notes and (i) whose Outstanding Notes are not immediately available or (ii) who cannot deliver their Outstanding Notes, this Letter of Transmittal or any other required documents to the Exchange Agent on or prior to the Expiration Date or (iii) who cannot comply with the book-entry transfer procedures on a timely basis, must tender their Outstanding Notes pursuant to the guaranteed delivery procedure set forth in The Exchange OfferGuaranteed delivery procedures in the Prospectus and by completing Box 3. Holders may tender their Outstanding Notes pursuant to the guaranteed delivery procedures if: (i) the tender is made by or through an Eligible Guarantor Institution (as defined below); (ii) the Exchange Agent receives from such Eligible Guarantor Institution, on or prior to the Expiration Date, either a properly completed and duly executed Notice of Guaranteed Delivery in the form provided with this Letter of Transmittal (by facsimile transmission, mail or hand delivery) or a properly transmitted Agents Message and Notice of Guaranteed Delivery that (a) sets forth the name and address of the holder of Outstanding Notes, if applicable, the certificate number(s) of the Outstanding Notes to be tendered and the principal amount of Outstanding Notes tendered; (b) states that the tender is being made thereby; and (c) guarantees that, within three New York Stock Exchange trading days after the Expiration Date, the Letter of Transmittal, or a facsimile thereof, together with the Outstanding Notes or a book-entry confirmation and related Agents Message, and any other documents required by the Letter of Transmittal, will be deposited by the Eligible Guarantor Institution with the Exchange Agent; and (iii) the Exchange Agent receives a properly completed and executed Letter of Transmittal, or facsimile thereof, together with the certificate(s) representing all tendered Outstanding Notes in proper form or a confirmation of book-entry transfer of the Outstanding Notes into the Exchange Agents account at DTC and related Agents Message, and all other documents required by this Letter of Transmittal within three New York Stock Exchange trading days after the Expiration Date.
Any Holder who wishes to tender Outstanding Notes pursuant to the guaranteed delivery procedures described above must ensure that the Exchange Agent receives the Notice of Guaranteed Delivery relating to such Outstanding Notes prior to the Expiration Date. Failure to complete the guaranteed delivery procedures outlined above will not, of itself, affect the validity or effect a revocation of any Letter of Transmittal form properly completed and executed by a holder who attempted to use the guaranteed delivery procedures.
No alternative, conditional, irregular or contingent tenders will be accepted. Each tendering holder, by execution of this Letter of Transmittal (or facsimile thereof), shall waive any right to receive notice of the acceptance of the Outstanding Notes for exchange.
2. Partial Tenders; Withdrawals. Tenders of Outstanding Notes will be accepted only in the principal amount of $2,000 and integral multiples of $1,000 in excess thereof. If less than the entire principal amount of Outstanding Notes evidenced by a submitted certificate is tendered, the tendering holder(s) must fill in the aggregate principal amount of Outstanding Notes tendered in the appropriate column in Box 1 Description of Outstanding Notes Tendered Herewith above. A newly issued certificate for the Outstanding Notes submitted but not tendered will be sent to such holder promptly after the Expiration Date, unless otherwise provided in the appropriate box on this Letter of Transmittal. All Outstanding Notes delivered to the Exchange Agent will be deemed to have been tendered in full unless otherwise clearly indicated. Outstanding Notes tendered pursuant to the Exchange Offer may be withdrawn at any time prior to 5:00 p.m., New York City time, on the last business day on which the Exchange Offer remains open, after which tenders of Outstanding Notes are irrevocable.
13
To be effective with respect to the tender of Outstanding Notes, a written notice of withdrawal (which may be by telegram, telex, facsimile or letter) must: (i) be received by the Exchange Agent at the address for the Exchange Agent set forth above before the Company notifies the Exchange Agent that it has accepted the tender of Outstanding Notes pursuant to the Exchange Offer; (ii) specify the name of the person who tendered the Outstanding Notes to be withdrawn; (iii) identify the Outstanding Notes to be withdrawn (including the principal amount of such Outstanding Notes, or, if applicable, the certificate numbers shown on the particular certificates evidencing such Outstanding Notes and the principal amount of Outstanding Notes represented by such certificates); (iv) include a statement that such holder is withdrawing its election to have such Outstanding Notes exchanged; (v) specify the name in which any such Outstanding Notes are to be registered, if different from that of the withdrawing holder; and (vi) be signed by the holder in the same manner as the original signature on this Letter of Transmittal (including any required signature guarantee). If certificates for Outstanding Notes have been delivered or otherwise identified to the Exchange Agent, then, prior to the release of such certificates, the holder must also submit (a) the serial numbers of the particular certificates to be withdrawn and (b) a signed notice of withdrawal with signatures guaranteed by an Eligible Guarantor Institution unless the holder is an Eligible Guarantor Institution. The Exchange Agent will return the properly withdrawn Outstanding Notes promptly following receipt of notice of withdrawal. If Outstanding Notes have been tendered pursuant to the procedure for book-entry transfer, any notice of withdrawal must specify the name and number of the account at the book-entry transfer facility to be credited with the withdrawn Outstanding Notes or otherwise comply with the book-entry transfer facilitys procedures. All questions as to the validity, form and eligibility of notices of withdrawals, including time of receipt, will be determined by the Company, and such determination will be final and binding on all parties.
Any Outstanding Notes so withdrawn will be deemed not to have been validly tendered for exchange for purposes of the Exchange Offer. Any Outstanding Notes which have been tendered for exchange but which are not accepted for exchange for any reason will be returned to the holder thereof without cost to such holder (or, in the case of Outstanding Notes tendered by book-entry transfer into the Exchange Agents account at the book-entry transfer facility pursuant to the book-entry transfer procedures described above, such Outstanding Notes will be credited to an account with such book-entry transfer facility specified by the holder) promptly after withdrawal, rejection of tender or termination of the Exchange Offer. Properly withdrawn Outstanding Notes may be retendered by following one of the procedures described under the caption The Exchange OfferProcedures for tendering outstanding notes in the Prospectus at any time prior to the Expiration Date.
Neither the Company, any affiliate or assigns of the Company, the Exchange Agent nor any other person will be under any duty to give any notification of any irregularities in any notice of withdrawal or incur any liability for failure to give such notification (even if such notice is given to other persons).
3. Beneficial Owner Instructions. Only a holder of Outstanding Notes (i.e., a person in whose name Outstanding Notes are registered on the books of the registrar, or, in the case of Outstanding Notes held through book-entry, a person named on the security listing of such book-entry transfer facility as an owner of Outstanding Notes), or the legal representative or attorney-in-fact of a holder, may execute and deliver this Letter of Transmittal. Any beneficial owner of Outstanding Notes who wishes to accept the Exchange Offer must arrange promptly for the appropriate holder to execute and deliver this Letter of Transmittal on his or her behalf through the execution and delivery to the appropriate holder of the Instructions to Registered Holder from Beneficial Owner form accompanying this Letter of Transmittal.
4. Signature on this Letter of Transmittal; Written Instruments and Endorsements; Guarantee of Signatures. If this Letter of Transmittal is signed by the registered holder(s) (which term, for the purposes described herein, shall include a person whose name appears on a security listing of the book-entry transfer facility as the owner of the Outstanding Notes) of the Outstanding Notes tendered hereby, the signature must correspond exactly with the name(s) as written on the face of the certificates (or on such security listing) without alteration, addition, enlargement or any change whatsoever.
If any of the Outstanding Notes tendered hereby are owned of record by two or more joint owners, all such owners must sign this Letter of Transmittal.
If a number of Outstanding Notes registered in different names are tendered, it will be necessary to complete, sign and submit as many separate copies of this Letter of Transmittal (or facsimiles thereof) as there are different registrations of Outstanding Notes.
When this Letter of Transmittal is signed by the registered holder(s) of Outstanding Notes (which term, for the purposes described herein, shall include a person whose name appears on a security listing of the book-entry transfer facility as the owner of the Outstanding Notes) listed and tendered hereby, no endorsements of certificates or separate written instruments of transfer or exchange are required. If, however, this Letter of Transmittal is signed by a person other than the registered holder(s) of the Outstanding Notes listed or the Exchange Notes are to be issued, or any untendered Outstanding Notes are to be reissued, to a person other than the registered holder(s) of the Outstanding Notes, such Outstanding Notes must be endorsed or accompanied by separate written instruments of transfer or exchange in form satisfactory to the Company and duly executed by the registered holder, in each case signed exactly as the name or names of the registered holder(s) appear(s) on the Outstanding Notes and the signatures on such
14
instruments must be guaranteed by an Eligible Guarantor Institution. If this Letter of Transmittal, any certificates or separate written instruments of transfer or exchange are signed by trustees, executors, administrators, guardians, attorneys-in-fact, officers of corporations or others acting in a fiduciary or representative capacity, such persons should so indicate when signing, and, unless waived by the Company, submit proper evidence satisfactory to the Company, in its sole discretion, of such persons authority to so act.
Endorsements on certificates for the Outstanding Notes or signatures on bond powers required by this Instruction 4 must be guaranteed by a member firm of a registered national securities exchange or of the Financial Industry Regulatory Authority, a commercial bank or trust company having an office or correspondent in the United States or another eligible guarantor institution within the meaning of Rule 17Ad-15 under the Securities Exchange Act of 1934, as amended (an Eligible Guarantor Institution).
Signatures on this Letter of Transmittal must be guaranteed by an Eligible Guarantor Institution, unless Outstanding Notes are tendered: (i) by a registered holder (which term, for the purposes described herein, shall include a person whose name appears on a security listing of the book-entry transfer facility as the owner of the Outstanding Notes) who has not completed the box entitled Special Registration Instructions or Special Delivery Instructions on this Letter of Transmittal; or (ii) for the account of an Eligible Guarantor Institution.
5. Special Registration and Delivery Instructions. Tendering holders should indicate, in the applicable Box 6 or Box 7, the name and address in/to which the Exchange Notes and/or certificates for Outstanding Notes not exchanged are to be issued or sent, if different from the name(s) and address(es) of the person signing this Letter of Transmittal. In the case of issuance in or delivery to a different name, the taxpayer identification number (social security number or employer identification number) of the person named must also be indicated. A holder tendering the Outstanding Notes by book-entry transfer may request that the Outstanding Notes not exchanged be credited to such account maintained at the book-entry transfer facility as such holder may designate. See Box 4.
If no such instructions are given, the Exchange Notes (and any Outstanding Notes not tendered or not accepted) will be issued in the name of and sent to the holder signing this Letter of Transmittal or deposited into such holders account at the applicable book-entry transfer facility.
6. Transfer Taxes. The Company shall pay all transfer taxes, if any, applicable to the transfer and exchange of the Outstanding Notes to it or its order pursuant to the Exchange Offer. If, however, the Exchange Notes are delivered to or issued in the name of a person other than the registered holder, or if a transfer tax is imposed for any reason other than the transfer and exchange of Outstanding Notes to the Company or its order pursuant to the Exchange Offer, the amount of any such transfer taxes (whether imposed on the registered holder or any other person) will be payable by the tendering holder. If satisfactory evidence of payment of such taxes or exemption therefrom is not submitted herewith, the amount of such transfer taxes will be billed directly to such tendering holder.
Except as provided in this Instruction 6, it will not be necessary for transfer tax stamps to be affixed to the Outstanding Notes listed in this Letter of Transmittal.
7. Waiver of Conditions. The Company reserves the absolute right to waive, in whole or in part, any of the conditions to the Exchange Offer set forth in the Prospectus.
8. Mutilated, Lost, Stolen or Destroyed Securities. Any holder whose Outstanding Notes have been mutilated, lost, stolen or destroyed, should promptly contact the Exchange Agent at the address set forth on the first page hereof for further instructions. The holder will then be instructed as to the steps that must be taken in order to replace the certificate(s). This Letter of Transmittal and related documents cannot be processed until the procedures for replacing lost, destroyed or stolen certificate(s) have been completed.
9. No Conditional Tenders; No Notice of Irregularities. No alternative, conditional, irregular or contingent tenders will be accepted. All tendering holders, by execution of this Letter of Transmittal, shall waive any right to receive notice of the acceptance of their Outstanding Notes for exchange. The Company reserves the right, in its reasonable judgment, to waive any defects, irregularities or conditions of tender as to particular Outstanding Notes. The Companys interpretation of the terms and conditions of the Exchange Offer (including the instructions in this Letter of Transmittal) will be final and binding on all parties. Unless waived, any defects or irregularities in connection with tenders of Outstanding Notes must be cured within such time as the Company shall determine. Although the Company intends to notify holders of defects or irregularities with respect to tenders of Outstanding Notes, neither the Company, the Exchange Agent nor any other person is under any obligation to give such notice nor shall they incur any liability for failure to give such notification. Tenders of Outstanding Notes will not be deemed to have been made until such defects or irregularities have been cured or waived. Any Outstanding Notes received by the Exchange Agent that are not properly tendered and as to which the defects or irregularities have not been cured or waived will be returned by the Exchange Agent to the tendering holder promptly following the Expiration Date.
15
10. Requests for Assistance or Additional Copies. Questions relating to the procedure for tendering, as well as requests for additional copies of the Prospectus and this Letter of Transmittal, may be directed to the Exchange Agent at the address and telephone number set forth on the first page hereof.
IMPORTANT: THIS LETTER OF TRANSMITTAL OR A FACSIMILE OR COPY THEREOF (TOGETHER WITH CERTIFICATES OF OUTSTANDING NOTES OR CONFIRMATION OF BOOK-ENTRY TRANSFER AND ALL OTHER REQUIRED DOCUMENTS) OR A NOTICE OF GUARANTEED DELIVERY MUST BE RECEIVED BY THE EXCHANGE AGENT ON OR PRIOR TO THE EXPIRATION DATE.
IMPORTANT TAX INFORMATION
Under U.S. federal income tax law, a tendering holder whose Outstanding Notes are accepted for exchange may be subject to backup withholding unless the holder provides the Exchange Agent, with either (i) such holders correct taxpayer identification number (TIN) on the Substitute Form W-9 attached hereto, certifying (A) that the TIN provided on Substitute Form W-9 is correct (or that such holder of Outstanding Notes is awaiting a TIN), (B) that the holder of Outstanding Notes is not subject to backup withholding because (x) such holder of Outstanding Notes is exempt from backup withholding, (y) such holder of Outstanding Notes has not been notified by the Internal Revenue Service that he or she is subject to backup withholding as a result of a failure to report all interest or dividends or (z) the Internal Revenue Service has notified the holder of Outstanding Notes that he or she is no longer subject to backup withholding and (C) that the holder of Outstanding Notes is a U.S. person (including a U.S. resident alien); or (ii) an adequate basis for exemption from backup withholding. If such holder of Outstanding Notes is an individual, the TIN is such holders social security number. If the Exchange Agent is not provided with the correct TIN, the holder of Outstanding Notes may also be subject to certain penalties imposed by the Internal Revenue Service and any reportable payments that are made to such holder may be subject to backup withholding (see below).
Certain holders of Outstanding Notes (including, among others, generally all corporations and certain foreign holders) are not subject to these backup withholding and reporting requirements. However, exempt holders of Outstanding Notes should indicate their exempt status on the Substitute Form W-9 by writing EXEMPT on the face of the Substitute Form W-9. For example, a corporation should complete the Substitute Form W-9, providing its TIN and indicating that it is exempt from backup withholding. In order for a foreign holder to qualify as an exempt recipient, the holder must submit a Form W-8BEN (or other applicable Form W-8), signed under penalties of perjury, attesting to that holders exempt status. A Form W-8BEN (or other applicable Form W-8) can be obtained from the Exchange Agent. See the enclosed Guidelines for Certification of Taxpayer Identification Number on Substitute Form W-9 for more instructions. Holders are encouraged to consult their own tax advisors to determine whether they are exempt from these backup withholding and reporting requirements.
If backup withholding applies, the Exchange Agent is required to withhold 28% of any reportable payments made to the holder of Outstanding Notes or other payee. Backup withholding is not an additional tax. Rather, the tax liability of persons subject to backup withholding will be reduced by the amount of tax withheld. If withholding results in an overpayment of taxes, a refund may be obtained from the Internal Revenue Service, provided the required information is furnished. The Exchange Agent cannot refund amounts withheld by reason of backup withholding.
A holder who does not have a TIN may check the box in Part 2 of the Substitute Form W-9 if the surrendering holder of Outstanding Notes has not been issued a TIN and has applied for a TIN or intends to apply for a TIN in the near future. If the box in Part 2 is checked, the holder of Outstanding Notes or other payee must also complete the Certificate of Awaiting Taxpayer Identification Number in order to avoid backup withholding. Notwithstanding that the box in Part 2 is checked and the Certificate of Awaiting Taxpayer Identification Number is completed, the Exchange Agent will withhold 28% of all reportable payments made prior to the time a properly certified TIN is provided to the Exchange Agent and, if the Exchange Agent is not provided with a TIN within 60 days, such amounts will be paid over to the Internal Revenue Service. The holder of Outstanding Notes is required to give the Exchange Agent the TIN (e.g., social security number or employer identification number) of the record owner of the Outstanding Notes. If the Outstanding Notes are in more than one name or are not in the name of the actual owner, consult the enclosed Guidelines for Certification of Taxpayer Identification Number on Substitute Form W-9 for additional guidance on which number to report.
16
ARAMARK CORPORATION
OFFER TO EXCHANGE
$1,000,000,000 PRINCIPAL AMOUNT OF ITS 5.75% SENIOR NOTES DUE 2020,
WHICH HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
FOR ANY AND ALL OF ITS OUTSTANDING 5.75% SENIOR NOTES DUE 2020
, 201_
To Brokers, Dealers, Commercial Banks,
Trust Companies and other Nominees:
As described in the enclosed Prospectus, dated (as the same may be amended or supplemented from time to time, the Prospectus), and Letter of Transmittal (the Letter of Transmittal), ARAMARK Corporation, a Delaware corporation, (the Company) and the guarantors of the Exchange Notes (as defined below), including the Companys parent company, ARAMARK Holdings Corporation, a Delaware corporation, (the Guarantors), are offering to exchange (the Exchange Offer) an aggregate principal amount of up to $1,000,000,000 of the Companys 5.75% Senior Notes due 2020 (the Exchange Notes), which have been registered under the Securities Act of 1933, as amended (the Securities Act), for any and all of the Companys outstanding 5.75% Senior Notes due 2020 (the Outstanding Notes), in a minimum denomination of $2,000 and integral multiples of $1,000 in excess thereof, upon the terms and subject to the conditions of the enclosed Prospectus and Letter of Transmittal. The terms of the Exchange Notes are identical in all material respects (including principal amount, interest rate and maturity) to the terms of the Outstanding Notes for which they may be exchanged pursuant to the Exchange Offer, except that the Exchange Notes are freely transferable by holders thereof. The Outstanding Notes are unconditionally guaranteed (the Old Guarantees) by the Guarantors, and the Exchange Notes will be unconditionally guaranteed (the New Guarantees) by the Guarantors. Upon the terms and subject to the conditions set forth in the Prospectus and the Letter of Transmittal, the Guarantors offer to issue the New Guarantees with respect to all Exchange Notes issued in the Exchange Offer in exchange for the Old Guarantees of the Outstanding Notes for which such Exchange Notes are issued in the Exchange Offer. Throughout this letter, unless the context otherwise requires and whether so expressed or not, references to the Exchange Offer include the Guarantors offer to exchange the New Guarantees for the Old Guarantees, references to the Exchange Notes include the related New Guarantees and references to the Outstanding Notes include the related Old Guarantees. The Company will accept for exchange any and all Outstanding Notes properly tendered according to the terms of the Prospectus and the Letter of Transmittal. Consummation of the Exchange Offer is subject to certain conditions described in the Prospectus.
WE URGE YOU TO PROMPTLY CONTACT YOUR CLIENTS FOR WHOM YOU HOLD OUTSTANDING NOTES REGISTERED IN YOUR NAME OR IN THE NAME OF YOUR NOMINEE. PLEASE BRING THE EXCHANGE OFFER TO THEIR ATTENTION AS PROMPTLY AS POSSIBLE.
Enclosed are copies of the following documents:
1. | The Prospectus; |
2. | The Letter of Transmittal for your use in connection with the tender of Outstanding Notes and for the information of your clients, including a Substitute Form W-9 and Guidelines for Certification of Taxpayer Identification Number on Substitute Form W-9 (providing information relating to U.S. federal income tax backup withholding); |
3. | A form of Notice of Guaranteed Delivery; and |
4. | A form of letter, including a letter of instructions to a registered holder from a beneficial owner, which you may use to correspond with your clients for whose accounts you hold Outstanding Notes that are registered in your name or the name of your nominee, with space provided for obtaining such clients instructions regarding the Exchange Offer. |
Your prompt action is requested. Please note that the Exchange Offer will expire at 5:00 p.m., New York City time, on , 2014 (the Expiration Date), unless the Company otherwise extends the Exchange Offer.
To participate in the Exchange Offer, certificates for Outstanding Notes, together with a duly executed and properly completed Letter of Transmittal or facsimile thereof, or a timely confirmation of a book-entry transfer of such Outstanding Notes into the account of The Bank of New York Mellon (the Exchange Agent), at the book-entry transfer facility together with an agents message, with any required signature guarantees, and any other required documents, must be received by the Exchange Agent by the Expiration Date as indicated in the Prospectus and the Letter of Transmittal.
The Company will not pay any fees or commissions to any broker or dealer or to any other persons (other than the Exchange Agent) in connection with the solicitation of tenders of the Outstanding Notes pursuant to the Exchange Offer. However, the Company will pay or cause to be paid any transfer taxes, if any, applicable to the tender of the Outstanding Notes to it or its order, except as otherwise provided in the Prospectus and the Letter of Transmittal.
If holders of the Outstanding Notes wish to tender, but it is impracticable for them to forward their Outstanding Notes, the Letter of Transmittal or any other required documents prior to the Expiration Date or to comply with the book-entry transfer procedures on a timely basis, a tender may be effected by following the guaranteed delivery procedures described in the Prospectus and in the Letter of Transmittal.
Any inquiries you may have with respect to the procedures for tendering Outstanding Notes in the Exchange Offer should be addressed to the Exchange Agent its address and telephone number set forth in the enclosed Prospectus and Letter of Transmittal. Additional copies of the enclosed materials may be obtained from the Exchange Agent.
Very truly yours, |
ARAMARK CORPORATION |
NOTHING CONTAINED HEREIN OR IN THE ENCLOSED DOCUMENTS SHALL CONSTITUTE YOU OR ANY OTHER PERSON AS AN AGENT OF THE COMPANY OR THE EXCHANGE AGENT, OR AUTHORIZE YOU OR ANY OTHER PERSON TO USE ANY DOCUMENT OR MAKE ANY STATEMENTS ON BEHALF OF EITHER OF THEM IN CONNECTION WITH THE EXCHANGE OFFER, OTHER THAN THE DOCUMENTS ENCLOSED HEREWITH AND THE STATEMENTS EXPRESSLY CONTAINED THEREIN.
2
ARAMARK CORPORATION
OFFER TO EXCHANGE
$1,000,000,000 PRINCIPAL AMOUNT OF ITS 5.75% SENIOR NOTES DUE 2020,
WHICH HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
FOR ANY AND ALL OF ITS OUTSTANDING 5.75% SENIOR NOTES DUE 2020
, 201_
To Our Clients:
Enclosed for your consideration are a Prospectus, dated (as the same may be amended or supplemented from time to time, the Prospectus), and a Letter of Transmittal (the Letter of Transmittal), relating to the offer (the Exchange Offer) by ARAMARK Corporation, a Delaware corporation, (the Company) and the guarantors of the Exchange Notes (as defined below), including the Companys parent company, ARAMARK Holdings Corporation, a Delaware corporation, (the Guarantors), to exchange an aggregate principal amount of up to $1,000,000,000 of the Companys 5.75% Senior Notes due 2020 (the Exchange Notes), which have been registered under the Securities Act of 1933, as amended (the Securities Act), for any and all of the Companys outstanding 5.75% Senior Notes due 2020 (the Outstanding Notes), in a minimum denomination of $2,000 and integral multiples of $1,000 in excess thereof, upon the terms and subject to the conditions of the enclosed Prospectus and the enclosed Letter of Transmittal. The terms of the Exchange Notes are identical in all material respects (including principal amount, interest rate and maturity) to the terms of the Outstanding Notes for which they may be exchanged pursuant to the Exchange Offer, except that the Exchange Notes are freely transferable by holders thereof, upon the terms and subject to the conditions of the enclosed Prospectus and the Letter of Transmittal. The Outstanding Notes are unconditionally guaranteed (the Old Guarantees) by the Guarantors, and the Exchange Notes are unconditionally guaranteed (the New Guarantees) by the Guarantors. Upon the terms and subject to the conditions set forth in the Prospectus and the Letter of Transmittal, the Guarantors offer to issue the New Guarantees with respect to all Exchange Notes issued in the Exchange Offer in exchange for the Old Guarantees of the Outstanding Notes for which such Exchange Notes are issued in the Exchange Offer. Throughout this letter, unless the context otherwise requires and whether so expressed or not, references to the Exchange Offer include the Guarantors offer to exchange the New Guarantees for the Old Guarantees, references to the Exchange Notes include the related New Guarantees and references to the Outstanding Notes include the related Old Guarantees. The Company will accept for exchange any and all Outstanding Notes properly tendered according to the terms of the Prospectus and the Letter of Transmittal. Consummation of the Exchange Offer is subject to certain conditions described in the Prospectus.
PLEASE NOTE THAT THE EXCHANGE OFFER WILL EXPIRE AT 5:00 P.M., NEW YORK CITY TIME, ON , 2014 (THE EXPIRATION DATE), UNLESS THE COMPANY EXTENDS THE EXCHANGE OFFER.
The enclosed materials are being forwarded to you as the beneficial owner of the Outstanding Notes held by us for your account but not registered in your name. A tender of such Outstanding Notes may only be made by us as the registered holder and pursuant to your instructions. Therefore, the Company urges beneficial owners of Outstanding Notes registered in the name of a broker, dealer, commercial bank, trust company or other nominee to contact such registered holder promptly if such beneficial owners wish to tender their Outstanding Notes in the Exchange Offer.
Accordingly, we request instructions as to whether you wish to tender any or all such Outstanding Notes held by us for your account, pursuant to the terms and conditions set forth in the enclosed Prospectus and Letter of Transmittal. If you wish to have us tender any or all of your Outstanding Notes, please so instruct us by completing, signing and returning to us the Instructions to Registered Holder from Beneficial Owner form that appears below. We urge you to read the Prospectus and the Letter of Transmittal carefully before instructing us as to whether or not to tender your Outstanding Notes.
The accompanying Letter of Transmittal is furnished to you for your information only and may not be used by you to tender Outstanding Notes held by us and registered in our name for your account or benefit.
If we do not receive written instructions in accordance with the below and the procedures presented in the Prospectus and the Letter of Transmittal, we will not tender any of the Outstanding Notes on your account.
INSTRUCTIONS TO REGISTERED HOLDER FROM BENEFICIAL OWNER
The undersigned beneficial owner acknowledges receipt of your letter and the accompanying Prospectus dated (as the same may be amended or supplemented from time to time, the Prospectus), and a Letter of Transmittal (the Letter of Transmittal), relating to the offer (the Exchange Offer) by ARAMARK Corporation, a Delaware corporation, (the Company) and the guarantors of the Exchange Notes (as defined below), including the Companys parent company, ARAMARK Holdings Corporation, a Delaware corporation, (the Guarantors), to exchange an aggregate principal amount of up to $1,000,000,000 of the Companys 5.75% Senior Notes due 2020 (the Exchange Notes), which have been registered under the Securities Act of 1933, as amended (the Securities Act), for any and all of the Companys outstanding 5.75% Senior Notes due 2020 (the Outstanding Notes), upon the terms and subject to the conditions set forth in the Prospectus and the Letter of Transmittal. Capitalized terms used but not defined herein have the meanings ascribed to them in the Prospectus.
This will instruct you, the registered holder, to tender the principal amount of the Outstanding Notes indicated below held by you for the account of the undersigned, upon the terms and subject to the conditions set forth in the Prospectus and the Letter of Transmittal.
Principal Amount Held for Account Holder(s) |
Principal Amount to be Tendered* | |
* | Unless otherwise indicated, the entire principal amount held for the account of the undersigned will be tendered. |
If the undersigned instructs you to tender the Outstanding Notes held by you for the account of the undersigned, it is understood that you are authorized (a) to make, on behalf of the undersigned (and the undersigned, by its signature below, hereby makes to you), the representations and warranties contained in the Letter of Transmittal that are to be made with respect to the undersigned as a beneficial owner of the Outstanding Notes, including but not limited to the representations that the undersigned (i) is not an affiliate, as defined in Rule 405 under the Securities Act, of the Company or the Guarantors, (ii) is not engaged in, and does not intend to engage in, and has no arrangement or understanding with any person to participate in, a distribution of Exchange Notes, (iii) is acquiring the Exchange Notes in the ordinary course of its business and (iv) is not a broker-dealer tendering Outstanding Notes acquired for its own account directly from the Company. If a holder of the Outstanding Notes is an affiliate of the Company or the Guarantors, is not acquiring the Exchange Notes in the ordinary course of its business, is engaged in or intends to engage in a distribution of the Exchange Notes or has any arrangement or understanding with any person with respect to the distribution of the Exchange Notes to be acquired pursuant to the Exchange Offer, such holder may not rely on the applicable interpretations of the staff of the Securities and Exchange Commission relating to exemptions from the registration and prospectus delivery requirements of the Securities Act and must comply with such requirements in connection with any secondary resale transaction.
2
SIGN HERE
Dated: |
Signature(s): |
Print Name(s): |
Address: | ||||
(Please include Zip Code) |
Telephone Number: |
(Please include Area Code) |
Tax Identification Number (Social Security or Employer Identification Number): |
My Account Number With You: |
3
ARAMARK CORPORATION
NOTICE OF GUARANTEED DELIVERY
OFFER TO EXCHANGE
$1,000,000,000 PRINCIPAL AMOUNT OF ITS 5.75% SENIOR NOTES DUE 2020,
WHICH HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
FOR ANY AND ALL OF ITS OUTSTANDING 5.75% SENIOR NOTES DUE 2020
This form, or one substantially equivalent hereto, must be used to accept the Exchange Offer made by ARAMARK Corporation, an Delaware corporation (the Company), and the Guarantors, pursuant to the Prospectus, dated (the Prospectus), and the enclosed Letter of Transmittal (the Letter of Transmittal), if the certificates for the Outstanding Notes are not immediately available or if the procedure for book-entry transfer cannot be completed on a timely basis or time will not permit all required documents to reach the Exchange Agent prior to 5:00 p.m., New York City time, on the Expiration Date of the Exchange Offer. Such form may be delivered or transmitted by facsimile transmission, mail or hand delivery to The Bank of New York Mellon (the Exchange Agent) as set forth below. In addition, in order to utilize the guaranteed delivery procedure to tender the Outstanding Notes pursuant to the Exchange Offer, a completed, signed and dated Letter of Transmittal (or facsimile thereof) or book-entry confirmation and agents message and any other required documents must also be received by the Exchange Agent within three New York Stock Exchange trading days after the Expiration Date of the Exchange Offer. Capitalized terms not defined herein have the meanings ascribed to them in the Letter of Transmittal.
The Exchange Agent is:
THE BANK OF NEW YORK MELLON
For Delivery by Hand, Overnight Delivery, Registered or Certified Mail:
The Bank of New York Mellon
c/o The Bank of New York Mellon
Corporate Trust/Reorganization Unit
111 Sanders Creek Parkway
East Syracuse, NY 13057
Attention: Christopher Landers
By Facsimile: | To Confirm by Telephone: | |||
(732) 667-9408 | (315) 414-3362 | |||
Corporate Trust Division | Corporate Trust Division | |||
Reorganization Unit | Reorganization Unit | |||
For Information, Call: | ||||
(315) 414-3362 | ||||
Corporate Trust Division | ||||
Reorganization Unit |
DELIVERY OF THIS NOTICE OF GUARANTEED DELIVERY TO AN ADDRESS OTHER THAN AS SET FORTH ABOVE OR TRANSMISSION VIA FACSIMILE TO A NUMBER OTHER THAN AS SET FORTH ABOVE WILL NOT CONSTITUTE A VALID DELIVERY.
This Notice of Guaranteed Delivery is not to be used to guarantee signatures. If a signature on a Letter of Transmittal is required to be guaranteed by an Eligible Guarantor Institution (as defined in the Prospectus), such signature guarantee must appear in the applicable space in Box 8 provided on the Letter of Transmittal for Guarantee of Signatures.
Ladies and Gentlemen:
Upon the terms and subject to the conditions set forth in the Prospectus and the accompanying Letter of Transmittal, the undersigned hereby tenders to the Company the principal amount of Outstanding Notes indicated below, pursuant to the guaranteed delivery procedures described in The Exchange OfferGuaranteed delivery procedures section of the Prospectus.
Certificate Number(s) (if known) of Outstanding Notes or Facility |
Aggregate Principal Amount Represented by Outstanding Notes |
Aggregate Principal Amount of Outstanding Notes Being Tendered | ||
PLEASE COMPLETE AND SIGN | ||||||||||
(Signature(s) of Record Holder(s)) | ||||||||||
(Please Type or Print Name(s) of Record Holder(s)) | ||||||||||
Dated: |
||||||||||
Address: | ||||||||||
(Zip Code) | ||||||||||
(Daytime Area Code and Telephone No.) | ||||||||||
¨ | Check this Box if the Outstanding Notes will be delivered by book-entry transfer to The Depository Trust Company. |
|||||||||
Account Number: | ||||||||||
THE ACCOMPANYING GUARANTEE MUST BE COMPLETED.
|
2
GUARANTEE OF DELIVERY (Not to be used for signature guarantee) | ||||||
The undersigned, a member of a recognized signature medallion program or an eligible guarantor institution, as such term is defined in Rule 17Ad-15 under the Securities Exchange Act of 1934, as amended (the Exchange Act), hereby (a) represents that the above person(s) own(s) the Outstanding Notes tendered hereby within the meaning of Rule 14e-4(b)(2) under the Exchange Act, (b) represents that the tender of those Outstanding Notes complies with Rule 14e-4 under the Exchange Act, and (c) guarantees to deliver to the Exchange Agent, at its address set forth in the Notice of Guaranteed Delivery, the certificates representing all tendered Outstanding Notes, in proper form for transfer, or a book-entry confirmation (a confirmation of a book-entry transfer of the Outstanding Notes into the Exchange Agents account at The Depository Trust Company), together with a properly completed and duly executed Letter of Transmittal (or facsimile thereof), with any required signature guarantees or an agents message in lieu thereof, and any other documents required by the Letter of Transmittal within three (3) New York Stock Exchange trading days after the Expiration Date. | ||||||
Name of Firm: | ||||||
(Authorized Signature) |
Address: | ||||||
(Zip Code) |
Area Code and Tel. No: |
Name: | ||||||
(Please Type or Print) |
Title: |
Dated: | ||||||
NOTE: |
DO NOT SEND OUTSTANDING NOTES WITH THIS NOTICE OF GUARANTEED DELIVERY. OUTSTANDING NOTES SHOULD BE SENT WITH YOUR LETTER OF TRANSMITTAL. |
3
INSTRUCTIONS FOR NOTICE OF GUARANTEED DELIVERY
1. | Delivery of this Notice of Guaranteed Delivery. |
A properly completed and duly executed copy of this Notice of Guaranteed Delivery and any other documents required by this Notice of Guaranteed Delivery to be delivered therewith must be received by the Exchange Agent at its address set forth on the cover page hereof prior to the Expiration Date of the Exchange Offer. The method of delivery of this Notice of Guaranteed Delivery and any other required documents to the Exchange Agent is at the election and risk of the holders and the delivery will be deemed made only when actually received by the Exchange Agent. Instead of delivery by mail, it is recommended that the holders use an overnight or hand delivery service, properly insured. If such delivery is by mail, it is recommended that the holders use properly insured, registered mail with return receipt requested. In all cases, sufficient time should be allowed to assure timely delivery. For a description of the guaranteed delivery procedure, see Instruction 1 of the Letter of Transmittal. No Notice of Guaranteed Delivery should be sent to the Company.
2. | Signatures on this Notice of Guaranteed Delivery. |
If this Notice of Guaranteed Delivery is signed by the registered holder(s) of the Outstanding Notes referred to herein, the signatures must correspond with the name(s) written on the face of the Outstanding Notes without alteration, addition, enlargement or any change whatsoever. If this Notice of Guaranteed Delivery is signed by a person other than the registered holder(s) of any Outstanding Notes listed, this Notice of Guaranteed Delivery must be accompanied by appropriate bond powers, signed as the name of the registered holder(s) appear(s) on the Outstanding Notes without alteration, addition, enlargement or any change whatsoever. If this Notice of Guaranteed Delivery is signed by a trustee, executor, administrator, guardian, attorney-in-fact, officer of a corporation or other person acting in a fiduciary or representative capacity, such person should so indicate when signing and, unless waived by the Company, evidence satisfactory to the Company of his or her authority so to act must be submitted with this Notice of Guaranteed Delivery.
3. | Questions and Requests for Assistance or Additional Copies. |
Questions and requests for assistance with respect to procedures for tendering Outstanding Notes and requests for additional copies of the Prospectus may be directed to the Exchange Agent at the address set forth on the cover hereof. Holders may also contact their broker, dealer, commercial bank, trust company, or other nominee for assistance concerning the Exchange Offer.
4