CoNSolIdATEd STATEMENTS oF CASh FlowS  (IN ThoUSANdS) Years ended december 31 2014 2013 2012 Cash flows from operating activities: net income from consolidated operations  $ 7,559  $ 11,276 $ 10,895 Adjustments to reconcile net income to net cash  provided by operating activities: Depreciation and amortization  4,376   4,084 2,928 Loss (gain) on sales of property, plant, and equipment  5   11  (12) share-based compensation  1,119   924  860 Deferred income taxes  1,232   740 610 excess tax benefits on share-based compensation  (1,219)   (818)  (832) Changes in operating assets and liabilities, net of effects  from acquisition: Receivables, net  562   804  (842) Inventories  (1,845)   (1,353) 801  prepaid expenses  26   (36)  (65)  Refundable income taxes  (436)   994  (695)  Accounts payable  2,317   (1,007) 384 Accrued expenses  (2,243)   1,272 2,143  Retirement and other liabilities  (181)   (417) 190  Other assets  (146)   (368)  (203) net cash provided by operating activities  11,126   16,106 16,162 Cash flows from investing activities:  Additions to property, plant, and equipment  (13,436)   (5,830)  (11,994) Holdback payment related to the acquisition of packaging Alternatives Corporation (pAC)  —   (600)  — Redemption of cash value life insurance  —   37  — Acquisition of pAC net of cash acquired  —   —  (3,596)  proceeds from sale of property, plant, and equipment  112  1  86 net cash used in investing activities  (13,324)   (6,392)  (15,504) Cash flows from financing activities: Distribution to United Development Company partners  (non-controlling interest)  —   —  (1,196)  excess tax benefits on share-based compensation  1,219   818 832  proceeds from the exercise of stock options net of attestations 336   191 365  principal repayment of long-term debt  (977)   (6,601)  (740) payment of statutory withholding for stock options exercised  and restricted stock units vested  (831)   (879)  (672) payment of contingent note payable  (800)   — — proceeds from long-term borrowings  —   580 4,384  net cash (used in) provided by financing activities  (1,053)   (5,891) 2,973 net change in cash and cash equivalents  (3,251)   3,823 3,631 Cash and cash equivalents at beginning of year  37,303   33,480 29,849 cash and cash equivalents at end of year  $ 34,052  $ 37,303 $ 33,480 the accompanying notes are an integral part of these consolidated financial statements. 20