Waste Management 2011 Annual Report Download - page 151

WASTE MANAGEMENT, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Millions)
Years Ended December 31,
2011 2010 2009
Cash flows from operating activities:
Consolidated net income ................................................................. $1,009 $ 1,002 $ 1,060
Adjustments to reconcile consolidated net income to net cash provided by operating activities:
Depreciation and amortization ........................................................... 1,229 1,194 1,166
Deferred income tax (benefit) provision ................................................... 198 154 (94)
Interest accretion on landfill liabilities ..................................................... 84 82 80
Interest accretion on and discount rate adjustments to environmental remediation liabilities and recovery
assets ............................................................................ 23 8 (30)
Provision for bad debts ................................................................ 44 41 48
Equity-based compensation expense ...................................................... 45 36 30
Net gain from disposal of assets ......................................................... (24) (22) (13)
Excess tax benefits associated with equity-based transactions .................................. (8) (9) (4)
Effect of (income) expense from divestitures, asset impairments and unusual items ................. 10 (1) 83
Equity in net losses of unconsolidated entities, net of dividends ................................. 31 20 2
Change in operating assets and liabilities, net of effects of acquisitions and divestitures:
Receivables ....................................................................... (110) (159) 29
Other current assets ................................................................. (23) 47 (4)
Other assets ....................................................................... 28 (3) 20
Accounts payable and accrued liabilities ................................................. 65 (57) 51
Deferred revenues and other liabilities .................................................. (132) (58) (62)
Net cash provided by operating activities .................................................... 2,469 2,275 2,362
Cash flows from investing activities:
Acquisitions of businesses, net of cash acquired ............................................. (867) (407) (281)
Capital expenditures ................................................................... (1,324) (1,104) (1,179)
Proceeds from divestitures of businesses (net of cash divested) and other sales of assets ............. 36 44 28
Net receipts from restricted trust and escrow accounts ........................................ 107 48 196
Investments in unconsolidated entities .................................................... (155) (173) (21)
Other .............................................................................. 18 (14) 7
Net cash used in investing activities ........................................................ (2,185) (1,606) (1,250)
Cash flows from financing activities:
New borrowings ...................................................................... 1,201 908 1,749
Debt repayments ..................................................................... (503) (1,112) (1,335)
Common stock repurchases ............................................................. (575) (501) (226)
Cash dividends ....................................................................... (637) (604) (569)
Exercise of common stock options ....................................................... 45 54 20
Excess tax benefits associated with equity-based transactions .................................. 8 9 4
Distributions paid to noncontrolling interests ............................................... (59) (45) (50)
Other .............................................................................. (46) 18 (50)
Net cash used in financing activities ........................................................ (566) (1,273) (457)
Effect of exchange rate changes on cash and cash equivalents .................................... 1 3 5
Increase (decrease) in cash and cash equivalents ............................................... (281) (601) 660
Cash and cash equivalents at beginning of year ............................................... 539 1,140 480
Cash and cash equivalents at end of year ..................................................... $ 258 $ 539 $1,140
See notes to Consolidated Financial Statements.
72