|
Year Ended December 31 |
| Millions of dollars |
2008 |
2007 |
2006 |
| Cash flows from operating activities: |
| | |
| Net income |
$ 1,538 |
$ 3,499 |
$ 2,348 |
| Adjustments to reconcile net income to net cash from operations: |
| | |
| Depreciation, amortization and amortization |
738 |
583 |
480 |
| Loss on extinguishment of debt |
693 |
— |
— |
| (Income) loss from discontinued operations |
423 |
(975) |
(171) |
| Provision (benefit) for income taxes, continuing operations |
254 |
(140) |
714 |
| Gain on sale of business assets, net |
(62) |
(52) |
(66) |
| Other changes: |
| | |
| Accounts payable |
(161) |
77 |
96 |
| Contributions to pension plans |
(52) |
(41) |
(75) |
| Inventories |
(368) |
(218) |
(309) |
| Receivables |
(670) |
(326) |
(327) |
| Other |
19 |
288 |
656 |
| Cash flows from discontinued operations |
31 |
31 |
311 |
| Total cash flows from operating activities |
2,674 |
2,726 |
3,561 |
| Cash flows from investing activities: |
| | |
| Sales (purchases) of short-term investments in marketable securities, net |
388 |
(332) |
(20) |
| Sales of property, plant, and equipment |
191 |
203 |
151 |
| Dispositions of business assets, net of cash disposed |
81 |
70 |
98 |
| Disposal of KBR, Inc. cash upon separation |
— |
(1,461) |
— |
| Acquisitions of business assets, net of cash acquired |
(652) |
(563) |
(27) |
| Capital expenditures |
(1,824) |
(1,583) |
(834) |
| Other investing activities |
(40) |
18 |
20 |
| Cash flows from discontinued operations |
— |
(13) |
223 |
| Total cash flows from investing activities |
(1,856) |
(3,661) |
(426) |
| Cash flows from financing activities: |
| | |
| Proceeds from long-term debt, net of offering costs |
1,187 |
— |
— |
| Proceeds from exercise of stock options |
120 |
110 |
159 |
| Tax benefit from exercise of options and restricted stock |
44 |
29 |
53 |
| Payments of dividends to shareholders |
(319) |
(314) |
(306) |
| Payments to reacquire common stock |
(507) |
(1,374) |
(1,339) |
| Payments on long-term debt |
(2,048) |
(7) |
(324) |
| Other financing activities |
— |
4 |
(8) |
| Cash flows from discontinued operations |
— |
(18) |
485 |
| Total cash flows from financing activities |
(1,523) |
(1,570) |
(1,280) |
| Effect of exchange rate changes on cash, including $0, $0, and $50 related to discontinued operations |
(18) |
(27) |
37 |
| Increase (decrease) in cash and equivalents |
(723) |
(2,532) |
1,988 |
| Cash and equivalents at beginning of year, including $0, $1,461, and $390 related to discontinued operations |
1,847 |
4,379 |
2,391 |
| Cash and equivalents at end of year, including $0, $0, and $1,461 related to discontinued operations |
$ 1,124 |
$ 1,847 |
$ 4,379 |