Consolidated Statements of Cash Flows

Year ended December 31 ($ in millions)

2015

2014

2013

See accompanying Notes to the Consolidated Financial Statements

Operating activities:

 

 

 

Net income

2,055

2,718

2,907

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

 

 

 

Depreciation and amortization

1,160

1,305

1,318

Pension and other employee benefits

56

16

6

Deferred taxes

(219)

65

(137)

Net loss (gain) from sale of property, plant and equipment

(26)

(17)

(18)

Net loss (gain) from sale of businesses

20

(543)

16

Net loss (gain) from derivatives and foreign exchange

15

167

(39)

Other

99

112

79

Changes in operating assets and liabilities:

 

 

 

Trade receivables, net

162

(12)

(555)

Inventories, net

105

(176)

324

Trade payables

(112)

257

(70)

Accrued liabilities

(24)

9

71

Billings in excess of sales

35

(118)

(168)

Provisions, net

330

(127)

199

Advances from customers

106

39

(145)

Income taxes payable and receivable

(32)

(13)

(18)

Other assets and liabilities, net

88

163

(117)

Net cash provided by operating activities

3,818

3,845

3,653

 

 

 

 

Investing activities:

 

 

 

Purchases of marketable securities (available-for-sale)

(1,925)

(1,430)

(526)

Purchases of short-term investments

(614)

(1,465)

(30)

Purchases of property, plant and equipment and intangible assets

(876)

(1,026)

(1,106)

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

(56)

(70)

(914)

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

434

361

1,367

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

1,022

523

118

Proceeds from short-term investments

653

1,011

47

Proceeds from sales of property, plant and equipment

68

33

80

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

69

1,110

62

Net cash from settlement of foreign currency derivatives

231

(179)

180

Other investing activities

20

11

5

Net cash used in investing activities

(974)

(1,121)

(717)

 

 

 

 

Financing activities:

 

 

 

Net changes in debt with maturities of 90 days or less

3

(103)

(697)

Increase in debt

68

150

492

Repayment of debt

(101)

(90)

(1,893)

Delivery of shares

107

38

74

Purchase of treasury stock

(1,487)

(1,003)

Dividends paid

(1,357)

(1,841)

(1,667)

Reduction in nominal value of common shares paid to shareholders

(392)

Dividends paid to noncontrolling shareholders

(137)

(132)

(149)

Other financing activities

(84)

(43)

(16)

Net cash used in financing activities

(3,380)

(3,024)

(3,856)

 

 

 

 

Effects of exchange rate changes on cash and equivalents

(342)

(278)

66

Net change in cash and equivalents—continuing operations

(878)

(578)

(854)

Cash and equivalents, beginning of period

5,443

6,021

6,875

Cash and equivalents, end of period

4,565

5,443

6,021

 

 

 

 

Supplementary disclosure of cash flow information:

 

 

 

Interest paid

221

259

287

Taxes paid

1,043

1,155

1,278