Chrysler 2007 Annual Report Download - page 52

Report on Operations Financial Review of the Group 51
Statement of Cash Flows by Activity Segment
2007 2006
Industrial Financial Industrial Financial
(in millions of euros) Consolidated Activities Services Consolidated Activities Services
A) Cash and cash equivalents at beginning of the year as reported 7,736 6,706 1,030 6,417 5,517 900
Cash and cash equivalents included as Assets held for sale 55- ---
B) Cash and cash equivalents at beginning of the year 7,741 6,711 1,030 6,417 5,517 900
C) Cash flows from (used in) operating activities during the year:
Net result for the year 2,054 2,054 269 1,151 1,151 287
Amortisation and depreciation (net of vehicles sold under buy-back commitments) 2,738 2,667 71 2,969 2,639 330
(Gains)/losses on disposal and other non-cash items (a) (435) (704) - (568) (921) 66
Dividends received 81 203 13 69 180 1
Change in provisions 6 (40) 46 229 251 (22)
Change in deferred income taxes (157) (126) (31) (26) 12 (38)
Change in items due to buy-back commitments (b) 34 27 7 (18) 4 (26)
Change in working capital 1,588 1,675 (87) 812 679 136
Total 5,909 5,756 288 4,618 3,995 734
D) Cash flows from (used in) investment activities:
Investments in:
- Tangible and intangible assets (net of vehicles sold under buy-back commitments) (3,985) (3,666) (319) (3,789) (2,854) (935)
- Investments (c) (122) (136) - (1,617) (1,633) (7)
Proceeds from the sale of non-current assets (d) 735 680 55 1,591 1,574 19
Net change in receivables from financing activities (1,032) 41 (1,073) (876) 149 (1,025)
Change in current securities (63) (5) (58) 223 65 158
Other changes (e) (134) (2,719) 2,578 3,078 2,257 822
Total (4,601) (5,805) 1,183 (1,390) (442) (968)
E) Cash flows from (used in) financing activities:
Net change in financial payables and other financial assets/liabilities (1,675) (425) (1,250) (1,730) (2,256) 526
Proceeds from the increase in capital stock 551416 16 21
(Buy-back)/Disposal of treasury stock (395) (395) - 66 -
Dividends paid (310) (310) (135) (23) (23) (112)
Total (2,375) (1,125) (1,371) (1,731) (2,257) 435
Translation exchange differences (33) 11 (37) (173) (102) (71)
F) Net change in cash and cash equivalents (1,100) (1,163) 63 1,324 1,194 130
G) Cash and cash equivalents at end of the year 6,641 5,548 1,093 7,741 6,711 1,030
of which: Cash and cash equivalents included as Assets held for sale 22-55 -
H) Cash and cash equivalents at end of the year as reported in the
Consolidated Financial Statements 6,639 5,546 1,093 7,736 6,706 1,030
(a) In 2007 this item included among other things the net gains and losses on the disposal of non-current assets for 297 million euros and the net positive fair value adjustment arising from the equity
swaps on Fiat shares for 67 million euros (71 million euros in 2006). In 2006, this item also included the gain of 463 million euros realised on the establishment of FAFS and a gain of 80 million euros
on the disposal of B.U.C. - Banca Unione di Credito.
(b) The cash flows for the two periods generated by the sale of vehicles under buy-back commitments, net of the amount already included in the result, are included in operating activities for the year in a
single item which includes the change in working capital, capital expenditures, depreciation, gains and losses and proceeds from sales at the end of the contract term, relating to assets included in
Property, plant and equipment.
(c) In 2006, investments mainly referred to the repurchase of a 28.6% stake in Ferrari for 893 million euros, for 479 million euros to the repurchase of a 51% stake in Fidis Retail Italia and for 180 million
euros to its recapitalization in relation to the establishment of FAFS.
(d) In 2006, Proceeds from the sale of non-current assets included, among others, the proceed of 940 million euros following the disposal of investments transferred to FAFS, of 254 million euros on the
sale of B.U.C. - Banca Unione di Credito and of 290 million euros for vehicles under long-term renting operations. This activity was performed in 2007 by FAFS.
(e) In 2006 the item Other changes included, for approximately 3 billion euros, reimbursement of loans extended by the Group’s centralised cash management to the Financial Services companies of Fiat
Group Automobiles transferred to the FAFS joint venture.