Depreciation and amortization
Depreciation and amortization expense totaled $5.2 million for the current year quarter as compared to $4.0 million in the prior year quarter. The increase in depreciation and amortization expense derives from our investment in assets to support our efforts to launch a potential network.
Investment and Other (Expense) Income
Investment income, interest and other expense, net, yielded expense of $1.3 million compared to income of $0.5 million in the prior year quarter, reflecting incremental expenses associated with other non-income taxes and realized foreign exchange losses as compared to gains in the prior year quarter.
Effective tax rate
In the current quarter, the effective tax rate was 37% as compared to 7% in the prior year quarter. The 7% rate in the prior year quarter was primarily due to the recognition of a $4.1 million benefit related to previously unrecognized tax benefits.
Net cash used in operating activities was $5.9 million for the three months ended March 31, 2013 as compared to $32.4 million generated by operating activities in the prior year quarter. This $38.3 million decrease was driven by an approximate $12.3 million reduction in operating performance, an $11.0 million increase in the annual payout of management incentive compensation (with the return to a more normalized level of management compensation in 2012), an $8.0 million impact due to the recognition of an advance associated with the termination of our video game license with THQ, and a $5.3 million increase in net tax payments. Additionally, changes in working capital associated with our international live event tours and pay-per-view events contributed to the decline in net cash flow provided by operating activities compared to the prior year quarter.
Purchases of property and equipment and other assets declined by $8.4 million from the prior year period, primarily due to lower investment in assets to support our efforts to create and distribute new content, including through a potential network.
UFC Middleweight Champion Chris Weidman Accuses Vitor Belfort Of Cheating Ahead Of UFC 187 Fight
WWE Hall Of Famer Tammy "Sunny" Sytch Talks Possible Porn Career To TMZ And Fake JR Account
Bob Zmuda Talks Vince McMahon Turning Down Andy Kaufman Idea, Lawler - Kaufman Angle On Letterman
ROH/NJPW Updates, Bobby Roode Backstage, Young Bucks, Alberto El Patron, More
WWE Superstars Results (5/23): Mega Powers Vs. Adam Rose & Heath Slater, Summer Rae Vs. Alicia Fox
Possible Match For Monday's RAW, Triple H Hangs With Famous Strongman At NXT, Outside Intruders
UFC 187 Preview: Two Title Fights, Ten Top-5 Fighters, Weidman Vs. Belfort, Cormier Vs. Johnson
** SPOILERS ** WWE NXT Taping Results For The Next Four Weeks (With Photos)
CM Punk Posts Light Hearted Tweet About Wrestling Again, Promoter Wants To Book Samoa Joe Vs. Punk
Details On Samoa Joe's NXT Deal, Jerry Lawler Featured On Last Letterman Episode, Stars At NXT
TNA Announcer Blasts WWE Hypocrisy After Samoa Joe Debut, TNA Live Event Tickets, Slammiversary
Backstage News On Samoa Joe's WWE Status, Joe Still Working Indie Tournament, New Comments