Dish Network 2004 Annual Report Download - page 86

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ECHOSTAR COMMUNICATIONS CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
The accompanying notes are an integral part of these consolidated financial statements.
For the Years Ended December 31,
2004 2003 2002
Cash Flows From Operating Activities:
Net income (loss) ......................................................................................................................................................................... 214,769$ 224,506$ (852,034)$
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Depreciation and amortization ..................................................................................................................................................... 502,901 398,206 372,958
Equity in losses (earnings) of affiliates ........................................................................................................................................ (5,686) 1,649 8,012
Realized and unrealized losses (gains) on investments ................................................................................................................ 9,031 (19,784) 135,619
Non-cash, stock-based compensation recognized ........................................................................................................................ 1,180 3,544 11,279
Deferred tax expense (benefit)...................................................................................................................................................... 5,362 629 66,703
Change in valuation of contingent value rights, net of gain on extinguishment............................................................................ - - 19,645
Amortization of debt discount and deferred financing costs ........................................................................................................ 22,262 26,685 11,906
Recognition of bridge commitment fees from reduction of bridge financing commitments.......................................................... - - 48,435
Capitalized merger costs............................................................................................................................................................... - - 56,474
Change in noncurrent assets.......................................................................................................................................................... (114,705) (49,333) -
Change in long-term deferred revenue, distribution and carriage payments and other long-term liabilities................................. 109,522 11,434 (20,924)
Other, net ...................................................................................................................................................................................... 9,942 15,835 4,756
Changes in current assets and current liabilities:
Trade accounts receivable, net ..................................................................................................................................................... (125,629) (14,178) (10,619)
Inventories .................................................................................................................................................................................... (70,501) 18,020 69,709
Other current assets ...................................................................................................................................................................... (44,757) (6,860) (474)
Trade accounts payable ................................................................................................................................................................ 76,152 (91,176) 18,014
Deferred revenue and other........................................................................................................................................................... 211,161 71,074 84,333
Accrued programming and other accrued expenses ..................................................................................................................... 200,438 (14,670) 42,952
Net cash flows from operating activities ...................................................................................................................................... 1,001,442 575,581 66,744
Cash Flows From Investing Activities:
Purchases of marketable investment securities ............................................................................................................................. (1,932,789) (5,050,502) (5,770,963)
Sales of marketable investment securities .................................................................................................................................... 4,096,005 3,641,939 5,602,398
Purchases of property and equipment ........................................................................................................................................... (980,587) (321,819) (435,819)
Change in cash reserved for satellite insurance (Note 9)............................................................................................................... 176,843 (25,471) (29,304)
Change in restricted cash and marketable investment securities .................................................................................................. (10,918) (1,533) 1,288
Incentive payments under in-orbit satellite contract - Echo VI..................................................................................................... - - (8,441)
Capitalized merger-related costs .................................................................................................................................................. - - (38,644)
Asset acquisition (Note 2)............................................................................................................................................................. (238,610) - -
FCC auction deposits.................................................................................................................................................................... (26,684) - -
Other ............................................................................................................................................................................................ (4,979) (4,484) (2,902)
Net cash flows from investing activities ....................................................................................................................................... 1,078,281 (1,761,870) (682,387)
Cash Flows From Financing Activities:
Proceeds from issuance of Series D Convertible Preferred Stock and contingent value rights..................................................... - - 1,483,477
Repurchase of Series D Convertible Preferred Stock and contingent value rights........................................................................ - - (1,065,689)
Proceeds from issuance of 6 5/8% Senior Notes due 2014 (Note 4)............................................................................................. 1,000,000 - -
Proceeds from issuance of 3% Convertible Subordinated Notes due 2011 and 2010, respectively (Note 4)................................ 25,000 500,000 -
Proceeds from issuance of Floating Rate Senior Notes due 2008................................................................................................. - 500,000 -
Proceeds from issuance of 5 3/4% Senior Notes due 2008........................................................................................................... - 1,000,000 -
Proceeds from issuance of 6 3/8% Senior Notes due 2011........................................................................................................... - 1,000,000 -
Redemption of 10 3/8% Senior Notes due 2007 (Note 4)............................................................................................................. (1,000,000) - -
Redemption of 9 1/4% Senior Notes due 2006............................................................................................................................. - (375,000) -
Repurchase and partial redemption of 9 1/8% Senior Notes due 2009, respectively (Note 4)...................................................... (8,847) (245,000) -
Redemption of 4 7/8% Convertible Subordinated Notes due 2007............................................................................................... - (1,000,000) -
Redemption and repurchase of 9 3/8% Senior Notes due 2009, respectively (Note 4)................................................................. (1,423,351) (201,649) -
Class A common stock repurchases (Note 6)................................................................................................................................ (809,609) (190,391) -
Deferred debt issuance costs ........................................................................................................................................................ (3,159) (12,500) (1,837)
Cash dividend on Class A and Class B common stock (Note 6)................................................................................................... (455,650) - -
Repayment of mortgages and other notes payable ....................................................................................................................... (6,998) (1,828) (4,549)
Net proceeds from Class A common stock options exercised and Class A common stock issued
under Employee Stock Purchase Plan ....................................................................................................................................... 16,592 20,438 9,430
Net cash flows from financing activities ...................................................................................................................................... (2,666,022) 994,070 420,832
Net increase (decrease) in cash and cash equivalents ................................................................................................................... (586,299) (192,219) (194,811)
Cash and cash equivalents, beginning of period............................................................................................................................ 1,290,859 1,483,078 1,677,889
Cash and cash equivalents, end of period...................................................................................................................................... 704,560$ 1,290,859$ 1,483,078$
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