RBS 2011 Annual Report Download - page 425

RBS Group 2011 423
Cash flow statement for the year ended 31 December 2011
Note
2011
£m
2010
£m
2009
£m
Operating activities
Operating loss before tax (34) (4,471) (1,286)
Adjustments for:
Write-down of investment in subsidiaries 570 5,124 5,139
Interest on subordinated liabilities 419 462 537
Gain on redemption of own debt —(53) (238)
Elimination of foreign exchange differences (4) 272 (753)
Other non-cash items (5) (1) 20
Net cash flows from trading activities 946 1,333 3,419
Changes in operating assets and liabilities 2,964 (10,238) 12,537
Net cash flows from operating activities before tax 3,910 (8,905) 15,956
Income taxes (paid)/received (95) (133) 409
Net cash flows from operating activities 12 3,815 (9,038) 16,365
Investing activities
Investment in subsidiaries (4,568) (1,884) (23,902)
Disposal of subsidiaries —6 7,908
Repayments from subsidiaries —— 274
Net cash flows from investing activities (4,568) (1,878) (15,720)
Financing activities
Issue of ordinary shares 21—
Placing and open offer —— 5,274
Issue of B shares —— 12,801
Redemption of paid-in equity —(132) (308)
Issue of subordinated liabilities 940 ——
Redemption of preference shares —(2,352) (5,000)
Repayment of subordinated liabilities (193) (98) (458)
Dividends paid —(124) (935)
Interest on subordinated liabilities (415) (475) (557)
Net cash flows from financing activities 334 (3,180) 10,817
Effects of exchange rate changes on cash and cash equivalents (55) 5 (83)
Net (decrease)/increase in cash and cash equivalents (474) (14,091) 11,379
Cash and cash equivalents at 1 January 2,357 16,448 5,069
Cash and cash equivalents at 31 December 15 1,883 2,357 16,448
The accompanying notes on pages 424 to 431 form an integral part of these financial statements.