Chrysler 2014 Annual Report Download - page 86

84 2014 | ANNUAL REPORT
Operating Results
(ii) €166 million related to equity investments, which principally includes €94 million of additional investment in RCS
MediaGroup S.p.A., €37 million of capital injection into the 50.0 percent joint venture related to GAC Fiat Chrysler
Automobiles Co. Ltd (previously known as GAC Fiat Automobiles Co. Ltd.); and
(iii) €459 million of net increase in receivables from financing activities, primarily due to the increased lending portfolio
of the financial services activities of the Group.
These cash outflows were partially offset by:
(i) €59 million proceeds from the sale of tangible and intangible assets.
Investing Activities — Year Ended December 31, 2012
For the year ended December 31, 2012, our net cash used in investing activities was €7,542 million, and was primarily
the result of:
(i) €7,564 million of capital expenditures, including €2,138 million of capitalized development costs, to support our
investments in existing and future products;
partially offset by:
(ii) €118 million proceeds from the sale of tangible assets.
Financing Activities —Year Ended December 31, 2014
For the year ended December 31, 2014, net cash from financing activities was €2,137 million and was primarily the
result of:
(i) net proceeds from the mandatory convertible securities issuance due 2016 of €2,245 million and the net proceeds
from the offering of 100 million common shares of €849 million;
(ii) proceeds from bond issuances for a total amount of €4,629 million which includes (a) approximately €2,556
million of notes issued as part of the Global Medium Term Notes Program (“GMTN Program”) and (b) €2,073
million (for a total face value of U.S.$2,755 million) of Secured Senior Notes issued by FCA US used to repay the
VEBA Trust Note;
(iii) proceeds from new medium-term borrowings for a total of €4,876 million, which include (a) the incremental term
loan entered into by FCA US of U.S.$250 million (€181 million) under its existing tranche B term loan facility and (b)
the new U.S.$1,750 million (€1.3 billion) tranche B term loan, issued under a new term loan credit facility entered
into by FCA US to facilitate the prepayment of the VEBA Trust Note, and new medium term borrowing in Brazil;
and
(iv) a positive net contribution of €548 million from the net change in other financial payables and other financial
assets/liabilities.
These positive items, were partially offset by:
(i) the cash payment to the VEBA Trust for the acquisition of the remaining 41.5 percent ownership interest in FCA
US held by the VEBA Trust equal to U.S.$3,650 million (€2,691 million) and U.S.$60 million (€45 million) of tax
distribution by FCA US to cover the VEBA Trust’s tax obligation. In particular the consideration for the acquisition
consisted of a special distribution paid by FCA US to its members on January 21, 2014 of U.S.$1,900 million
(€1,404 million) (FCA NA’s portion of the special distribution was assigned to the VEBA Trust as part of the
purchase consideration) which served to fund a portion of the transaction; and a cash payment by FCA NA to
the VEBA Trust of U.S.$1,750 million (€1.3 billion). The special distribution by FCA US and the cash payment by
FCA NA for an aggregate amount of €2,691 million is classified as acquisition of non-controlling interest while the
tax distribution (€45 million) is classified separately in the Statement of cash flows in the Consolidated financial
statements included elsewhere in this report,