Sprint - Nextel 2006 Annual Report Download - page 84

Download and view the complete annual report

Please find page 84 of the 2006 Sprint - Nextel 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 140

  • 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
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140

SPRINT NEXTEL CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
2006 2005 2004
Year Ended December 31,
(in millions)
Cash flows from operating activities
Net income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,329 $ 1,785 $(1,012)
Adjustments to reconcile net income (loss) to net cash provided by operating
activities:
Income from discontinued operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (334) (980) (994)
Provision for losses on accounts receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 656 388 318
Depreciation and amortization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,592 5,200 3,658
Deferred income taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 468 798 (749)
Share-based compensation expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 338 254 85
Gain on sale or exchange of equity investments . . . . . . . . . . . . . . . . . . . . . . . . . . (205) (62) (15)
Losses on impairment of assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69 44 3,538
Other, net. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (70) 108 249
Changes in assets and liabilities, net of effects of acquisitions:
Accounts receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (582) (364) (540)
Inventories and other current assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (254) 23 (86)
Accounts payable and other current liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . (1,024) 380 7
Increase in communications towers lease liability . . . . . . . . . . . . . . . . . . . . . . . — 1,195 —
Non-current assets and liabilities, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72 (114) 19
Net cash provided by continuing operations. . . . . . . . . . . . . . . . . . . . . . . . . . 10,055 8,655 4,478
Net cash provided by discontinued operations . . . . . . . . . . . . . . . . . . . . . . . . 903 2,024 2,155
Net cash provided by operating activities . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,958 10,679 6,633
Cash flows from investing activities
Capital expenditures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (7,556) (5,057) (3,980)
Expenditures relating to FCC licenses and other intangibles . . . . . . . . . . . . . . . . . . . (822) (150) (35)
Proceeds from spin-off of local communications business, net . . . . . . . . . . . . . . . . . . 1,821 — —
Proceeds from sale of Embarq notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,447 — —
Cash acquired in Nextel merger, net of cash paid . . . . . . . . . . . . . . . . . . . . . . . . . . . — 1,183 —
Acquisitions, net of cash acquired . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (10,481) (1,371) —
Purchases of marketable securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (527) (821) (542)
Cash collateral for securities loan agreements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (866) — —
Proceeds from maturities and sales of marketable securities . . . . . . . . . . . . . . . . . . . . 1,657 808 444
Proceeds from sales of assets and investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 842 648 77
Distributions from unconsolidated investees, net. . . . . . . . . . . . . . . . . . . . . . . . . . . . — 167 (20)
Other, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93 (131) —
Net cash used in investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (11,392) (4,724) (4,056)
Cash flows from financing activities
Borrowings under bank credit facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 3,200 —
Retirement of bank credit facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,700) (3,200) —
Purchase and retirements of debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (4,342) (1,170) (1,884)
Proceeds from issuance of debt securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,992 — —
Net issuances and maturities of commercial paper . . . . . . . . . . . . . . . . . . . . . . . . . . 514 — —
Proceeds from securities loan agreements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 866 — —
Retirement of redeemable preferred shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (247) — —
Purchase of common shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,643) — —
Proceeds from issuance of common shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 405 432 1,874
Dividends paid . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (296) (525) (670)
Other,net ...................................................... 28 35 —
Net cash used in financing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (6,423) (1,228) (680)
Net (decrease) increase in cash and cash equivalents . . . . . . . . . . . . . . . . . . . . . . . . (6,857) 4,727 1,897
Cash and cash equivalents, beginning of period . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,903 4,176 2,279
Cash and cash equivalents, end of period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,046 $ 8,903 $ 4,176
See Notes to Consolidated Financial Statements.
F-7