Corporate general and administrative expenses of $53 million declined $11 million compared to the prior quarter but continues to run at elevated levels due to additional professional service fees incurred in the quarter related to the income tax remediation.
During the second quarter 2012, we generated EBITDA, defined as non-GAAP operating income plus depreciation and amortization, of $731 million, with depreciation and amortization of $310 million compared to EBITDA of $729 million and depreciation and amortization of $301 million in the prior quarter.
Capital expenditures were $554 million for the quarter, net of $30 million of loss in whole revenue or approximately 15% of revenue. Full year 2012 CapEx is projected to be between 10% and 15% of revenue. Actual CapEx in the second half of the year will be driven primarily by how we see our incremental growth developing in 2013.
Net debt for the quarter increased $641 million, primarily due to increases in capital expenditures and working capital metrics for accounts receivable, while inventory metrics improved. We continue to target 76 days and 75 days for receivables and inventory, respectively, by the end of 2012, as we continue our focus on working capital improvements and work to improve our CapEx returns.Subject to the risks and uncertainties regarding forward-looking statements highlighted in our press release and public filings, we expect North America should have significant revenue and margin improvement in Q3 compared to Q2, due in large part to Canadian seasonality but also to improving margins in the U.S. International should show modest top line growth and continued margin improvement. Q3 non-operating costs are protected at about $60 million for corporate general and administrative cost, depreciation and amortization at $310 million, interest at $127 million, and R&D at about $72 million a quarter. Increases in corporate general and administrative costs are for planned additional procedures related to the tax remediation. Read the rest of this transcript for free on seekingalpha.com