AIG 2015 Annual Report Download - page 156

ITEM 7 / LIQUIDITY AND CAPITAL RESOURCES
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Uses(b)
• Debt Reduction
In March 2015, we repurchased, through cash tender offers, approximately $1.0 billion aggregate principal amount of
certain senior notes issued or guaranteed by AIG for an aggregate purchase price of approximately $1.1 billion.
In April 2015, we repurchased, through cash tender offers, (i) approximately $22 million aggregate principal amount of
certain senior notes issued or guaranteed by AIG for an aggregate purchase price of approximately $24 million, and (ii)
approximately $915 million aggregate principal amount of certain junior subordinated debentures issued or guaranteed by
AIG for an aggregate purchase price of approximately $1.25 billion.
In July 2015, we repurchased, through cash tender offers, (i) approximately $142 million aggregate principal amount of
certain senior notes issued by AIG for an aggregate purchase price of approximately $153 million, and (ii) approximately
$3.3 billion aggregate principal amount of certain senior notes and junior subordinated notes issued or guaranteed by AIG
for an aggregate purchase price of approximately $3.6 billion.
We also made other repurchases and repayments of approximately $4.6 billion during 2015. AIG Parent made interest
payments on our debt instruments totaling $1.0 billion during 2015.
• Dividend
We paid a cash dividend of $0.125 per share on AIG Common Stock during each of the first and second quarters of 2015,
and a cash dividend of $0.28 per share during each of the third and fourth quarters of 2015.
• Repurchase of Common Stock(c)
We repurchased approximately 182 million shares of AIG Common Stock during 2015, for an aggregate purchase price of
approximately $10.7 billion. The total number of shares of AIG Common Stock repurchased in 2015 includes (but the
aggregate purchase price does not include) approximately 3.5 million shares of AIG Common Stock received in January
2015 upon the settlement of an ASR agreement executed in the fourth quarter of 2014.
• PICC P&C
During 2015, AIG Parent purchased 440 million ordinary H shares of PICC P&C from our Non-Life Insurance Companies
for approximately $864 million.
(a) Presented net of $818 million of tax payments to the Life Insurance Companies, which were returned in the form of dividends.
(b) In January 2016, AIG Parent made a capital contribution of approximately $2.9 billion to our Non-Life Insurance Companies.
(c) Pursuant to Exchange Act Rule 10b5-1 repurchase plans, from January 1 to February 11, 2016, we have repurchased approximately $2.5 billion of additional
shares of AIG Common Stock. As of February 11, 2016, approximately $5.8 billion remained under our share repurchase authorization.
Analysis of Sources and Uses of Cash
The following table presents selected data from AIG's Consolidated Statements of Cash Flows:
Years Ended December 31,
(in millions) 2015
2014* 2013
Sources:
Net cash provided by operating activities $2,877 $ 5,007 $ 5,865
Net cash provided by changes in restricted cash 1,457 - 1,244
Net cash provided by other investing activities 7,005 15,731 5,855
Changes in policyholder contract balances 2,410 1,719 -
Issuance of long-term debt 6,867 6,687 5,235
Total sources 20,616 29,144 18,199