Computer Associates 2012 Annual Report Download - page 49

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Fiscal 2012 versus Fiscal 2011
Operating Activities:
Cash provided by continuing operating activities for fiscal 2012 was $1,505 million, representing an increase of $128 million
compared with fiscal 2011. The increase was primarily due to an increase in cash collections from billings of $368 million, offset by
an increase in income tax payments of $198 million and an increase in vendor, payroll and other disbursements of $42 million.
Investing Activities:
Cash used in continuing investing activities for fiscal 2012 was $455 million compared with $700 million for fiscal 2011. The
decrease in cash used in investing activities was primarily due to a decrease of $360 million in our net investment activities in
marketable securities. During fiscal 2012, proceeds from the sale of marketable securities were approximately $207 million, of which
$180 million was due to the liquidation of a majority of our marketable securities portfolio during the fourth quarter of fiscal 2012.
This decrease was partially offset by an increase in cash paid for acquisitions of $135 million.
Financing Activities:
Cash used in continuing financing activities for fiscal 2012 was $1,330 million compared with $320 million in fiscal 2011. The
increase in cash used in financing activities was primarily due to an increase in common shares repurchased of $818 million, the
repayment of $250 million under our revolving credit facility due August 2012 and an increase in annual dividends paid of $110
million as a result of the new capital allocation program approved by our Board of Directors during the fourth quarter of fiscal 2012.
These increases were partially offset by an increase in borrowing positions outstanding of $139 million relating to our notional
pooling arrangement.
Refer to the “Debt Arrangements” table below for additional information about our debt balances at March 31, 2012.
Fiscal 2011 versus Fiscal 2010
Operating Activities:
Cash provided by continuing operating activities for fiscal 2011 was $1,377 million, representing an increase of $41 million
compared with fiscal 2010. This growth reflects a year-over-year increase of $58 million in up-front cash collections from single
installment payments, an increase in collections from billings of $63 million and a decrease in income tax payments of $107 million.
These favorable variances were mostly offset by an increase in disbursements of $187 million, primarily attributable to acquisitions.
Investing Activities:
Cash used in continuing investing activities for fiscal 2011 was $700 million compared with $888 million for fiscal 2010. The
decrease in cash used in investing activities was primarily due to a decrease in acquisition related costs of $365 million and a
decrease in capitalized software costs of $18 million. These decreases were partially offset by our net investment in marketable
securities of $181 million.
Financing Activities:
Cash used in financing activities for fiscal 2011 was $320 million compared with $705 million in fiscal 2010. The changes in cash
used in financing activities were primarily due to the refinancing of our debt, which occurred during the third quarter of fiscal 2010.
At that time, we repaid debt of $1,196 million and issued debt, net of debt issuance costs, of $738 million and received proceeds of
$61 million from the exercise of a call spread option associated with our 1.625% Convertible Senior Notes due December 2009.
During fiscal 2011, we purchased $235 million of our common stock, compared with $227 million in fiscal 2010.
Refer to the “Debt Arrangements” table below for additional information about our debt balances at March 31, 2011.
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