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How long to implement service after authorized to begin: 21 calendar days <br />Financial Stability: CONFIDENTIAL <br />ValleyCrest Holding Co. and Subsidiaries <br />Consolidated Statements of Cash Flows <br />.................................................................................. ............................... <br />6 ValleyCrest Landscape Maintenance [ 3 of 20 ] <br />Year Ended April 30 <br />2010 <br />2009 <br />Operating activities <br />Net (loss) income <br />$ (1,654,000) $ <br />3,536,000 <br />Adjustments to reconcile net (loss) income to net cash provided by operating activities: <br />Allowance for doubtful accounts <br />3,233,000 <br />7,169,000 <br />Depreciation and amortization <br />29,014,000 <br />32,547,000 <br />Deferred taxes <br />1,933,000 <br />(9,180,000) <br />Tax (benefit) expense of unrealized gain /loss on interest rate swap <br />(1,225,000) <br />1,333,000 <br />Inventory value adjustment <br />2,779,000 <br />5,376,000 <br />Equity in (earnings) loss of unconsolidated JV <br />771,000 <br />— <br />Loss from disposition of golf course <br />6,166,000 <br />— <br />Stock -based compensation <br />1,079,000 <br />937,000 <br />Changes in operating assets and liabilities: <br />Investments and escrowed retention <br />(886,000) <br />(556,000) <br />Receivables <br />25,788,000 <br />5,191,000 <br />Costs and estimated earnings in excess of billings on uncompleted contracts <br />(690,000) <br />(34,000) <br />Inventories <br />3,034,000 <br />(3,226,000) <br />Prepaids and other assets <br />(389,000) <br />(8,670,000) <br />Accounts payable and accrued liabilities <br />(19,140,000) <br />(961,000) <br />Billings in excess of costs and estimated earnings on uncompleted contracts <br />(7,875,000) <br />(6,533,000) <br />Income taxes payable <br />(1.321,000) <br />(1,709,000) <br />Other liabilities <br />(4,651.900) <br />— <br />Net cash provided by operating activities <br />35,966,000 <br />25,220,000 <br />.................................................................................. ............................... <br />6 ValleyCrest Landscape Maintenance [ 3 of 20 ] <br />