Consolidated Statements of Cash Flows

Year ended December 31 ($ in millions)

2016

2015

2014

See accompanying Notes to the Consolidated Financial Statements

Operating activities:

 

 

 

Net income

2,034

2,055

2,718

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

Depreciation and amortization

1,135

1,160

1,305

Deferred taxes

(147)

(219)

65

Net loss from derivatives and foreign exchange

10

15

167

Net gain from sale of property, plant and equipment

(38)

(26)

(17)

Net loss (gain) from sale of businesses

10

20

(543)

Share-based payment arrangements

54

61

73

Other

112

94

55

Changes in operating assets and liabilities:

 

 

 

Trade receivables, net

10

162

(12)

Inventories, net

115

105

(176)

Trade payables

340

(112)

257

Accrued liabilities

80

(24)

9

Billings in excess of sales

(25)

35

(118)

Provisions, net

14

330

(127)

Advances from customers

(163)

106

39

Income taxes payable and receivable

125

(32)

(13)

Other assets and liabilities, net

177

88

163

Net cash provided by operating activities

3,843

3,818

3,845

 

 

 

 

Investing activities:

 

 

 

Purchases of marketable securities (available-for-sale)

(1,214)

(1,925)

(1,430)

Purchases of short-term investments

(3,092)

(614)

(1,465)

Purchases of property, plant and equipment and intangible assets

(831)

(876)

(1,026)

Acquisition of businesses (net of cash acquired) and increases in cost- and equity-accounted companies

(26)

(56)

(70)

Proceeds from sales of marketable securities (available-for-sale)

1,057

434

361

Proceeds from maturity of marketable securities (available-for-sale)

539

1,022

523

Proceeds from short-term investments

2,241

653

1,011

Proceeds from sales of property, plant and equipment

61

68

33

Proceeds from sales of businesses (net of transaction costs and cash disposed) and cost- and equity-accounted companies

(1)

69

1,110

Net cash from settlement of foreign currency derivatives

(57)

231

(179)

Other investing activities

18

20

11

Net cash used in investing activities

(1,305)

(974)

(1,121)

 

 

 

 

Financing activities:

 

 

 

Net changes in debt with maturities of 90 days or less

(152)

3

(103)

Increase in debt

912

68

150

Repayment of debt

(1,249)

(101)

(90)

Delivery of shares

192

107

38

Purchase of treasury stock

(1,299)

(1,487)

(1,003)

Dividends paid

(1,357)

(1,841)

Reduction in nominal value of common shares paid to shareholders

(1,610)

(392)

Dividends paid to noncontrolling shareholders

(122)

(137)

(132)

Other financing activities

(27)

(84)

(43)

Net cash used in financing activities

(3,355)

(3,380)

(3,024)

 

 

 

 

Effects of exchange rate changes on cash and equivalents

(104)

(342)

(278)

Net change in cash and equivalents – continuing operations

(921)

(878)

(578)

 

 

 

 

Cash and equivalents, beginning of period

4,565

5,443

6,021

Cash and equivalents, end of period

3,644

4,565

5,443

 

 

 

 

Supplementary disclosure of cash flow information:

 

 

 

Interest paid

213

221

259

Taxes paid

814

1,043

1,155