Barclays 2012 Annual Report Download - page 237

The strategic report Governance Risk review Financial review Financial statements Risk management Shareholder information
For the year ended 31 December
2012
£m
2011
£m
2010
£m
Continuing operations
Reconciliation of profit before tax to net cash flows from operating activities:
Profit before tax 246 5,879 6,065
Adjustment for non-cash items:
Allowance for impairment 3,596 5,602 5,672
Depreciation, amortisation and impairment of property, plant, equipment and intangibles 1,119 1,104 1,346
Other provisions, including pensions 3,057 1,787 914
Net profit on disposal of investments and property, plant and equipment (679) (1,645) (1,057)
Other non-cash movements 5,448 1,345 (5,904)
Changes in operating assets and liabilities
Net decrease/(increase) in loans and advances to banks and customers 2,231 (13,836) (875)
Net (increase)/decrease in reverse repurchase agreements and other similar secured lending (23,291) 52,176 (62,337)
Net (decrease)/increase in deposits and debt securities in issue (4,594) 6,712 36,958
Net increase /(decrease) in repurchase agreements and other similar secured borrowing 10,050 (18,266) 26,753
Net decrease/(increase) in derivative financial instruments 4,376 3,730 (1,298)
Net decrease/(increase) in trading assets 6,893 21,360 (17,505)
Net (decrease)/increase in trading liabilities (973) (26,899) 21,441
Net (increase)/decrease in financial investments (18,838) (4,255) 11,126
Net decrease in other assets 555 119 1,366
Net (decrease) in other liabilities (1,396) (4,148) (2,521)
Corporate income tax paid (1,516) (1,686) (1,458)
Net cash from operating activities (13,716) 29,079 18,686
Purchase of available for sale investments (80,796) (67,525) (76,418)
Proceeds from sale or redemption of available for sale investments 73,769 66,941 71,251
Purchase of property, plant and equipment (604) (1,454) (1,767)
Other cash flows associated with investing activities 532 126 1,307
Net cash from investing activities (7,099) (1,912) (5,627)
Dividends paid (1,427) (1,387) (1,307)
Proceeds of borrowings and issuance of subordinated debt 2,258 880 2,131
Repayments of borrowings and redemption of subordinated debt (2,680) (4,003) (1,211)
Net issue of shares and other equity instruments 97 41 1,535
Net (purchase)/disposal of treasury shares (979) (235) (989)
Net redemption of shares issued to non-controlling interests (111) (1,257) –
Net cash from financing activities (2,842) (5,961) 159
Effect of exchange rates on cash and cash equivalents (4,109) (2,933) 3,842
Net (decrease)/increase in cash and cash equivalents (27,766) 18,273 17,060
Cash and cash equivalents at beginning of year 149,673 131,400 114,340
Cash and cash equivalents at end of year 121,907 149,673 131,400
Cash and cash equivalents comprise:
Cash and balances at central banks 86,175 106,894 97,630
Loans and advances to banks with original maturity less than three months 33,500 40,481 31,934
Available for sale treasury and other eligible bills with original maturity less than three months 2,228 2,209 1,667
Trading portfolio assets with original maturity less than three months 4 89 169
121,907 149,673 131,400
Interest received in 2012 was £24,390m (2011: £28,673m; 2010: £28,631m) and interest paid in 2012 was £16,701m (2011:£20,106m; 2010:
£20,759m).
The Group is required to maintain balances with central banks and other regulatory authorities and these amounted to £5,169m at 31 December
2012 (2011: £4,364m; 2010: £5,244m)a.
For the purposes of the cash flow statement, cash comprises cash on hand and demand deposits, and cash equivalents comprise highly liquid
investments that are convertible into cash with an insignificant risk of changes in value with original maturities of three months or less.
Repurchase and reverse repurchase agreements are not considered to be part of cash equivalents.
Consolidated financial statements
Consolidated cash flow statement
Note
a Amounts have been restated to include additional balances (2011: £1,864m; 2010: £2,934m) held with central banks and other regulatory authorities.
barclays.com/annualreport Barclays PLC Annual Report 2012 I 235