JP Morgan Chase 2014 Annual Report Download - page 178

Consolidated statements of cash flows
176 JPMorgan Chase & Co./2014 Annual Report
Year ended December 31, (in millions) 2014 2013 2012
Operating activities
Net income $ 21,762 $ 17,923 $ 21,284
Adjustments to reconcile net income to net cash provided by/(used in) operating activities:
Provision for credit losses 3,139 225 3,385
Depreciation and amortization 4,759 5,306 5,147
Deferred tax expense 4,210 8,003 1,130
Investment securities gains (77) (667) (2,110)
Stock-based compensation 2,190 2,219 2,545
Originations and purchases of loans held-for-sale (67,525) (75,928) (34,026)
Proceeds from sales, securitizations and paydowns of loans held-for-sale 71,407 73,566 33,202
Net change in:
Trading assets (24,814) 89,110 (5,379)
Securities borrowed 1,020 7,562 23,455
Accrued interest and accounts receivable (3,637) (2,340) 1,732
Other assets (9,166) 526 (4,683)
Trading liabilities 26,818 (9,772) (3,921)
Accounts payable and other liabilities 6,065 (5,743) (13,069)
Other operating adjustments 442 (2,037) (3,613)
Net cash provided by operating activities 36,593 107,953 25,079
Investing activities
Net change in:
Deposits with banks (168,426) (194,363) (36,595)
Federal funds sold and securities purchased under resale agreements 30,848 47,726 (60,821)
Held-to-maturity securities:
Proceeds from paydowns and maturities 4,169 189 4
Purchases (10,345) (24,214) —
Available-for-sale securities:
Proceeds from paydowns and maturities 90,664 89,631 112,633
Proceeds from sales 38,411 73,312 81,957
Purchases (121,504) (130,266) (189,630)
Proceeds from sales and securitizations of loans held-for-investment 20,115 12,033 6,430
Other changes in loans, net (51,749) (23,721) (30,491)
Net cash received from/(used in) business acquisitions or dispositions 843 (149) 88
All other investing activities, net 1,338 (679) (3,400)
Net cash used in investing activities (165,636) (150,501) (119,825)
Financing activities
Net change in:
Deposits 89,346 81,476 67,250
Federal funds purchased and securities loaned or sold under repurchase agreements 10,905 (58,867) 26,546
Commercial paper and other borrowed funds 9,242 2,784 9,315
Beneficial interests issued by consolidated variable interest entities (834) (10,433) 345
Proceeds from long-term borrowings 78,515 83,546 86,271
Payments of long-term borrowings (65,275) (60,497) (96,473)
Excess tax benefits related to stock-based compensation 407 137 255
Proceeds from issuance of preferred stock 8,847 3,873 1,234
Redemption of preferred stock —(1,800) —
Treasury stock and warrants repurchased (4,760) (4,789) (1,653)
Dividends paid (6,990) (6,056) (5,194)
All other financing activities, net (1,175) (1,050) (189)
Net cash provided by financing activities 118,228 28,324 87,707
Effect of exchange rate changes on cash and due from banks (1,125) 272 1,160
Net decrease in cash and due from banks (11,940) (13,952) (5,879)
Cash and due from banks at the beginning of the period 39,771 53,723 59,602
Cash and due from banks at the end of the period $ 27,831 $ 39,771 $ 53,723
Cash interest paid $ 8,194 $ 9,573 $ 11,161
Cash income taxes paid, net 1,392 3,502 2,050
The Notes to Consolidated Financial Statements are an integral part of these statements.