Question-and-Answer Session
Operator
(Operator Instructions). Our next question comes from Ken Muth with Robert W. Baird.
Ken Muth - Robert W. Baird
Okay. Thanks. Just wanted to see kind of go through a little bit more detail the assumptions you have made on the compliance issues, debt covenants?
Jearld Leonhardt
Ken, we'll eventually get this fixed. Excuse us. Let's try it again.
Ken Muth - Robert W. Baird
Can you hear me now?
Jearld Leonhardt
Yes, we can.
Ken Muth - Robert W. Baird
Okay. On the debt covenants assumption you make with staying in compliance, could you just go through what you think you need to do in the way of the actual operating margin and operating profit assumption as well as the debt assumed to be paid down for the next few quarters?
Jearld Leonhardt
This is Jearld. We have great cash flow in the first quarter for that quarter, which has typically been our weakest when opted in the past. We generated $85 million of cash flow from operations in the quarter, which was actually an improvement over last year. So we felt good about that. We used obviously that cash flow to pay down debt in large part, along with our existing cash at the end of the year, did some restructuring of our convertible debt with a new $100 million issue, and then redeeming the old issues.
So, it was an active quarter for us in terms of financing activity and the results were very helpful for us in paying down debt. In total, we reduced that $200 million and ended the quarter with a little under $300 million of cash on our balance sheet. So we liked the position we are. So, we think we do have opportunity, both to lower debt further as we look ahead. And at the present time, we will gauge that based on business conditions.
Our quarterly flow of business from here on out should suggest that the second quarter should be stronger than the first course and operating performance and stronger still in the third quarter would be an early expectation.
So, we think all those things should be helpful, as we look ahead to managing covenant compliance, as we measure where we're at today, and our EBITDA cushion that we have, which is almost $70 million to 80 million, about $80 million approximately EBITDA cushion on compliance that we have today. So, we feel we're in pretty good condition or shape to move forward and maintain compliance through the balance of the year.
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