National Oilwell Varco 2011 Annual Report Download - page 68

Download and view the complete annual report

Please find page 68 of the 2011 National Oilwell Varco annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 115

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115

Index to Financial Statements
NATIONAL OILWELL VARCO, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In millions)
Years Ended December 31,
2011 2010 2009
Cash flows from operating activities:
Net income $ 1,985 $ 1,659 $ 1,473
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 555 507 490
Deferred income taxes (352) (165) (174)
Stock-based compensation 73 66 68
Excess tax benefit from the exercise of stock options (22) (10) (1)
Equity income in unconsolidated affiliates (46) (36) (47)
Dividend from unconsolidated affiliates 45 17 86
Intangible asset impairment 147
Other 69 135 75
Change in operating assets and liabilities, net of acquisitions:
Receivables (696) (189) 1,033
Inventories (591) 39 468
Costs in excess of billings 222 (4) (122)
Prepaid and other current assets (44) 15 23
Accounts payable 205 40 (361)
Billings in excess of costs 354 (620) (1,071)
Other assets/liabilities, net 386 88 8
Net cash provided by operating activities 2,143 1,542 2,095
Cash flows from investing activities:
Purchases of property, plant and equipment (483) (232) (250)
Business acquisitions, net of cash acquired (1,038) (556) (573)
Sale of equity interest, net 251
Dividend from unconsolidated affiliate 13 16 8
Other, net 50 29 12
Net cash used in investing activities (1,458) (743) (552)
Cash flows from financing activities:
Borrowings against lines of credit and other debt 3 7
Payments against lines of credit and other debt (391) (16) (47)
Dividends paid (191) (172) (460)
Excess tax benefits from exercise of stock options 22 10 1
Proceeds from stock options exercised 96 73 8
Net cash used in financing activities (464) (102) (491)
Effect of exchange rates on cash (19) 14 27
Increase in cash and cash equivalents 202 711 1,079
Cash and cash equivalents, beginning of period 3,333 2,622 1,543
Cash and cash equivalents, end of period $ 3,535 $ 3,333 $ 2,622
Supplemental disclosures of cash flow information:
Cash payments during the period for:
Interest $ 44 $ 56 $ 56
Income taxes $ 945 $ 551 $ 929
The accompanying notes are an integral part of these statements.
67