GE 2014 Annual Report Download - page 99

GE 2014 FORM 10-K 79
MD&A FINANCIAL RESOURCES AND LIQUIDITY
2014–2013 COMMENTARY
GE cash from operating activities increased $0.9 billion primarily due to the following:
x An increase of operating cash collections of $4.9 billion to $109.7 billion in 2014. This increase is consistent with
comparable GE segment revenue increases from sales of goods and services and higher collections on current
receivables. These increases were partially offset by a decrease in progress collections.
x This increase is partially offset by an increase of operating cash payments of $1.0 billion to $97.5 billion in 2014 consistent
with cost and expense increases, which was partially offset by the non-recurrence of payments made in 2013, including
NBCU LLC deal-related tax payments, and payouts under our long-term incentive plan.
x Further, GECC paid dividends totaling $3.0 billion and $6.0 billion to GE, including special dividends of $1.0 billion and
$4.1 billion in 2014 and 2013, respectively.
GE cash used for investing activities was $5.9 billion in 2014, compared with cash from investing activities of $4.8
billion in 2013, a decrease of $10.7 billion primarily due to the following:
x 2013 proceeds of $16.7 billion from the sale of our remaining 49% common equity interest in NBCU LLC to Comcast
Corporation.
x This was partially offset by lower business acquisition activity of $5.9 billion primarily driven by the 2014 acquisitions of
Thermo Fisher for $1.1 billion, Cameron’s Reciprocating Compression Division for $0.6 billion, and API for $0.3 billion
compared with the 2013 acquisitions of Avio for $4.4 billion and Lufkin for $3.3 billion.
GE cash used for financing activities decreased $14.2 billion primarily due to the following:
x A decrease in net repurchases of GE shares for treasury in accordance with our share repurchase program of $8.1 billion.
x The 2013 repayment of $5.0 billion of GE unsecured notes compared with the issuance of $3.0 billion of unsecured notes
in 2014.
x These decreases were partially offset by an increase in the dividends paid to shareowners of $1.0 billion.
2013–2012 COMMENTARY
GE cash from operating activities decreased $3.5 billion primarily due to the following:
x A decrease of operating cash collections of $0.6 billion to $104.8 billion in 2013. The decrease is consistent with a
decrease in collections on long-term contracts and increases in current receivables, partially offset by increased progress
collections and improved segment revenues.
x GE operating cash payments increased by $2.5 billion to $96.5 billion in 2013. The increase is consistent with NBCU deal-
related tax payments and payouts under our long-term incentive plan, partially offset by the non-recurrence of principal
pension plan funding in 2012.
x Additionally, GECC paid dividends totaling $6.0 billion and $6.4 billion to GE, including special dividends of $4.1 billion
and $4.5 billion in 2013 and 2012, respectively.
GE cash from investing activities of $4.8 billion in 2013, compared with cash used for investing activities of $5.4
billion in 2012, an increase of $10.2 billion primarily due to the following:
x 2013 proceeds of $16.7 billion from the sale of our remaining 49% common equity interest in NBCU LLC to Comcast.
x This was partially offset by the 2013 acquisitions of Avio for $4.4 billion and Lufkin for $3.3 billion.
GE cash used for financing activities increased $15.6 billion primarily due to the following:
x The 2013 repayment of $5.0 billion of GE unsecured notes compared with an issuance of $7.0 billion of unsecured notes
in 2012.
x An increase in net repurchases of GE shares for treasury in accordance with our share repurchase program of $5.1
billion.
x An increase in dividends paid to shareowners of $0.6 billion in 2013.