AIG 2014 Annual Report Download - page 232

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AMERICAN INTERNATIONAL GROUP, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
Years Ended December 31,
(in millions) 2014 2013 2012
Cash flows from operating activities:
Net income $ 7,524 $ 9,092 $ 3,700
(Income) loss from discontinued operations 50 (84) (1)
Adjustments to reconcile net income to net cash provided by operating activities:
Noncash revenues, expenses, gains and losses included in income:
Net gains on sales of securities available for sale and other assets (764) (2,741) (3,219)
Net (gains) losses on sales of divested businesses (2,197) 48 6,736
Net losses on extinguishment of debt 2,282 651 32
Unrealized gains in earnings – net (1,239) (156) (6,091)
Equity in income from equity method investments, net of dividends or distributions (1,394) (1,484) (911)
Depreciation and other amortization 4,448 4,713 7,349
Impairments of assets 610 1,332 1,747
Changes in operating assets and liabilities:
Insurance reserves (2,281) (2,576) (2,260)
Premiums and other receivables and payables – net 820 43 1,678
Reinsurance assets and funds held under reinsurance treaties 1,872 2,131 1,407
Capitalization of deferred policy acquisition costs (5,880) (5,834) (5,613)
Current and deferred income taxes – net 2,190 (437) (1,255)
Other, net (1,034) 1,167 377
Total adjustments (2,567) (3,143) (23)
Net cash provided by operating activities 5,007 5,865 3,676
Cash flows from investing activities:
Proceeds from (payments for)
Sales or distribution of:
Available for sale investments 25,526 36,050 39,818
Other securities 4,930 5,134 17,814
Other invested assets 3,884 6,442 19,012
Divested businesses, net 2,348 --
Maturities of fixed maturity securities available for sale 25,560 26,048 21,449
Principal payments received on and sales of mortgage and other loans receivable 3,856 3,420 3,313
Purchases of:
Available for sale investments (45,552) (63,339) (53,536)
Other securities (472) (2,040) (13,373)
Other invested assets (4,078) (7,242) (6,402)
Mortgage and other loans receivable (8,008) (5,266) (3,256)
Net change in restricted cash (1,447) 1,244 414
Net change in short-term investments 8,760 7,842 (8,109)
Other, net (1,023) (1,194) (532)
Net cash provided by investing activities 14,284 7,099 16,612
Cash flows from financing activities:
Proceeds from (payments for)
Policyholder contract deposits 16,829 15,772 13,288
Policyholder contract withdrawals (15,110) (16,319) (13,978)
Issuance of long-term debt 6,687 5,235 8,612
Repayments of long-term debt (16,160) (14,197) (11,101)
Repayment of Department of the Treasury SPV Preferred Interests - - (8,636)
Purchase of Common Stock (4,902) (597) (13,000)
Dividends paid (712) (294) -
Other, net (6,420) (1,358) 4,251
Net cash used in financing activities (19,788) (11,758) (20,564)
Effect of exchange rate changes on cash (74) (92) 16
Net increase (decrease) in cash (571) 1,114 (260)
Cash at beginning of year 2,241 1,151 1,474
Change in cash of businesses held for sale 88 (24) (63)
Cash at end of year $ 1,758 $ 2,241 $ 1,151