Delta Airlines 2008 Annual Report Download - page 74

Table of Contents
Index to Financial Statements
DELTA AIR LINES, INC.
Consolidated Statements of Cash Flow
Successor Predecessor
(in millions)
Year Ended
December 31,
2008
Eight Months
Ended
December 31,
2007
Four Months
Ended
April 30,
2007
Year Ended
December 31,
2006
Cash Flows From Operating Activities:
Net (loss) income $ (8,922) $ 314 $ 1,298 $ (6,203)
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Depreciation and amortization 1,266 778 386 1,276
Deferred income taxes (119) 211 (4) (765)
Pension, postretirement and postemployment expense (less than) in excess of payments (278) (604) (20) 489
Impairment of goodwill and other intangible assets 7,296 — — —
Restructuring and merger-related items 892 — — 13
Reorganization items, net — — (1,215) 6,206
Changes in certain current assets and liabilities:
Decrease (increase) in short-term investments 36 50 426 (614)
(Increase) decrease in receivables (416) 22 (132) (152)
Decrease (increase) in restricted cash and cash equivalents 320 473 (390) 116
(Increase) decrease in prepaid expenses and other current assets (18) (111) 2 41
(Decrease) increase in air traffic liability (444) (585) 763 86
(Decrease) increase in other payables, deferred revenue and accrued liabilities (1,073) (359) — 154
Other, net (247) 145 (89) 346
Net cash (used in) provided by operating activities (1,707) 334 1,025 993
Cash Flows From Investing Activities:
Property and equipment additions:
Flight equipment, including advance payments (1,281) (643) (167) (265)
Ground property and equipment, including technology (241) (185) (41) (148)
Decrease in restricted cash and cash equivalents 609 129 56 8
Increase in short-term investments (92) — — —
Increase in cash in connection with the Merger 2,441 — — —
Proceeds from sales of flight equipment 154 84 21 40
Proceeds from sales of investments — 83 34 —
Other, net 8 4 — 4
Net cash provided by (used in) investing activities 1,598 (528) (97) (361)
Cash Flows From Financing Activities:
Payments on long-term debt and capital lease obligations (1,296) (1,314) (2,242) (600)
Proceeds from long-term obligations 2,132 2,005 1,500 —
Proceeds from American Express Agreement 1,000 — — —
Payment of short-term obligations, net (300) — — —
Proceeds from sale of treasury stock, net of commissions 192 — — —
Other, net (12) (19) (50) (6)
Net cash provided by (used in) financing activities 1,716 672 (792) (606)
Net Increase in Cash and Cash Equivalents 1,607 478 136 26
Cash and cash equivalents at beginning of period 2,648 2,170 2,034 2,008
Cash and cash equivalents at end of period $ 4,255 $ 2,648 $ 2,170 $ 2,034
Supplemental disclosure of cash paid (refunded) for:
Interest $ 742 $ 363 $ 243 $ 728
Professional fee disbursements due to bankruptcy — — — 101
Interest received from the preservation of cash due to Chapter 11 filing — — (50) (109)
Non-cash transactions:
Shares of Delta common stock issued or issuable in connection with the Merger $ 3,251 $ — $ — $ —
Flight equipment 13 — 135 —
Flight equipment under capital leases 32 35 117 159
Debt extinguishment from aircraft renegotiation — 33 — 171
Debt discount on American Express Agreement 303 — — —