Cincinnati Bell 2007 Annual Report Download - page 135

Cincinnati Bell Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Millions of Dollars)
Year Ended December 31,
2007 2006 2005
Cash flows from operating activities
Net income (loss) .................................................... $ 73.2 $ 86.3 $ (64.5)
Adjustments to reconcile net income (loss) to net cash provided by operating
activities
Depreciation ...................................................... 147.1 138.6 174.7
Amortization ...................................................... 3.7 4.4 —
Gain on sale of broadband assets ...................................... — (7.6) —
Asset impairments and other charges ................................... — — 41.7
Loss on extinguishment of debt ....................................... 0.7 0.1 99.8
Provision for loss on receivables ...................................... 15.2 14.0 14.3
Noncash interest expense ............................................ 5.0 4.9 22.4
Minority interest income ............................................ — (0.5) (11.0)
Deferred income tax expense, including valuation allowance change ......... 51.7 62.4 52.5
Pension and other postretirement expense in excess of payments ............. 19.2 28.1 32.3
Other, net ........................................................ 4.0 (2.1) (0.1)
Changes in operating assets and liabilities, net of effect of acquisitions
Increase in receivables .............................................. (27.8) (15.0) (33.5)
Increase in inventory, materials, supplies, prepaids and other current assets .... (7.3) (6.2) (2.1)
Increase in accounts payable ......................................... 19.8 4.1 10.9
Increase (decrease) in accrued and other current liabilities .................. (28.7) 23.3 (13.4)
Decrease (increase) in other long-term assets ............................ (0.7) 0.5 (3.2)
Increase (decrease) in other long-term liabilities .......................... 33.7 (0.6) 1.5
Net cash provided by operating activities ................................. 308.8 334.7 322.3
Cash flows from investing activities
Capital expenditures ................................................ (233.8) (151.3) (143.0)
Acquisitions of businesses and remaining minority interest in CBW .......... (23.6) (86.7) —
Purchase and deposit — wireless licenses ............................... (4.4) (37.1) —
Proceeds from sale of investment ..................................... — 5.7 —
Proceeds from sale of broadband assets ................................. — 4.7 —
Other, net ........................................................ (1.7) 4.7 0.3
Net cash used in investing activities ..................................... (263.5) (260.0) (142.7)
Cash flows from financing activities
Issuance of long-term debt ........................................... 75.6 — 752.1
Increase in corporate credit facility, net ................................. 55.0 — —
Repayment of debt ................................................. (219.1) (13.3) (903.3)
Debt issuance costs and consent fees ................................... (1.3) — (21.9)
Issuance of common shares — exercise of stock options ................... 2.5 1.9 2.5
Preferred stock dividends ............................................ (10.4) (10.4) (10.4)
Other ............................................................ (0.9) 0.8 2.2
Net cash used in financing activities ..................................... (98.6) (21.0) (178.8)
Net increase (decrease) in cash and cash equivalents ........................ (53.3) 53.7 0.8
Cash and cash equivalents at beginning of year ............................. 79.4 25.7 24.9
Cash and cash equivalents at end of year .................................. $ 26.1 $ 79.4 $ 25.7
The accompanying notes are an integral part of the consolidated financial statements.
55
Form 10-K