American Express 2014 Annual Report Download - page 73

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AMERICAN EXPRESS COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS
Years Ended December 31 (Millions) 2014 2013 2012
Cash Flows from Operating Activities
Net income $ 5,885 $ 5,359 $ 4,482
Adjustments to reconcile net income to net cash provided by operating activities:
Provisions for losses 2,044 1,832 1,712
Depreciation and amortization 1,012 1,020 991
Deferred taxes and other (941) (5) 496
Stock-based compensation 290 350 297
Changes in operating assets and liabilities, net of effects of acquisitions and dispositions:
Other receivables (56) (73) 153
Other assets 650 335 390
Accounts payable and other liabilities 2,594 88 (358)
Travelers Cheques and other prepaid products (488) (359) (540)
Premium paid on debt exchange —— (541)
Net cash provided by operating activities 10,990 8,547 7,082
Cash Flows from Investing Activities
Sales of available-for-sale investment securities 242 217 525
Maturities and redemptions of available-for-sale investment securities 1,116 1,292 1,562
Sales of other investments 990 ——
Purchase of investments (886) (1,348) (473)
Net increase in Card Member loans/receivables (8,077) (6,301) (6,671)
Purchaseofpremisesandequipment,netofsales:2014,$3;2013,$72;2012,$3 (1,195) (1,006) (1,053)
Acquisitions/dispositions, net of cash acquired (229) (195) (466)
Net decrease in restricted cash 72 72 31
Net cash used in investing activities (7,967) (7,269) (6,545)
Cash Flows from Financing Activities
Net increase in customer deposits 2,459 1,195 2,300
Net (decrease) increase in short-term borrowings (1,374) 1,843 (1,015)
Issuance of long-term debt 16,020 11,995 13,934
Principal payments on long-term debt (12,768) (14,763) (14,076)
Issuance of American Express preferred shares 742 ——
Issuance of American Express common shares 362 721 443
Repurchase of American Express common shares (4,389) (3,943) (3,952)
Dividends paid (1,041) (939) (902)
Net cash provided by (used in) financing activities 11 (3,891) (3,268)
Effect of exchange rate changes on cash and cash equivalents (232) (151) 88
Net increase (decrease) in cash and cash equivalents 2,802 (2,764) (2,643)
Cash and cash equivalents at beginning of year 19,486 22,250 24,893
Cash and cash equivalents at end of year $ 22,288 $19,486$22,250
Supplemental cash flow information
Non-cash financing activities
Charge related to impact of debt exchange on long-term debt $—$—$439
Gain on business travel joint venture transaction $630$—$—
See Notes to Consolidated Financial Statements.
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