United Stationers Inc. provided a reconciliation of its non-GAAP financial measure of adjusted debt-to-total capitalization for 2003 and 2002. Its adjusted debt decreased from $316 million in 2002 to $167 million in 2003 due primarily to reductions in current and long-term debt balances. Its total capitalization also decreased slightly from $875 million to $840 million over this period. As a result, its adjusted debt-to-total capitalization ratio improved from 36.1% in 2002 to 19.9% in 2003.

1. United Stationers Inc. and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
(unaudited)
Debt-to-Total Capitalization
(dollars in thousands)
December 31,
2003 2002 Change
Current maturities of long-term debt $ 24 $ 45,904 $ (45,880)
Long-term debt 17,300 165,345 (148,045)
Accounts receivable sold 150,000 105,000 45,000
Adjusted debt 167,324 316,249 (148,925)
Stockholders’ equity 672,978 558,884 114,094
Total capitalization $ 840,302 $ 875,133 $ (34,831)
Adjusted debt-to-total capitalization 19.9% 36.1% (16.2%)
Note: Adjusted debt-to-total capitalization is provided as an additional liquidity measure. Generally Accepted
Accounting Principles require that accounts receivable sold under the company’s receivables securitization program be
reflected as a reduction in accounts receivable and not reported as debt. Internally, the company considers accounts
receivables sold to be a financing mechanism. The company believes it is helpful to provide readers of its financial
statements with a measure that adds accounts receivable sold to debt, and calculates debt-to-total capitalization on that
basis.