Consolidated Cash Flow Statement

CHF million	Note		2016	2015

Net income		419.8		381.0
Depreciation, amortization, and impairment	7, 8	151.5		127.0
Changes in provisions, value adjustments and pension assets		2.6		29.3
Decrease (+)/increase (–) of accounts receivable		– 83.8		– 47.3
Decrease (+)/increase (–) of inventories		– 3.6		– 54.6
Decrease (+)/increase (–) of other receivables		14.5		– 24.0
Decrease (+)/increase (–) of accrued income and derivative assets and liabilities		– 25.6		– 7.7
Decrease (–)/increase (+) of accounts payable		– 2.9		6.7
Decrease (–)/increase (+) of other payables and accrued liabilities		16.5		28.2
Non-cash effective items ¹		26.4		50.3
Cash flow from operating activities (operating cash flow)			515.4		488.9

Investments in property, plant, and equipment	7	– 216.8		– 235.0
Disposals of property, plant, and equipment		4.6		4.1
Investments in intangible assets	8	– 17.3		– 17.8
Disposals (+)/investments (–) in financial assets (excluding pension assets)		4.9		1.6
Marketable securities and short-term financial assets	14
Investments		–		– 52.5
Disposals		–		52.5
Cash flow from investment activities			– 224.6		– 247.1

Proceeds from loans/borrowings	17	63.4		83.7
Repayments of loans/borrowings	17	– 83.8		– 12.9
Capital increase (including premium)		64.0		102.1
Purchase of treasury stock		– 10.0		– 10.1
Sale of treasury stock		52.0		1.4
Distribution of profits		– 187.2		– 166.3
Cash flow with non-controlling interests		1.5		2.8
Cash flow from financing activities			– 100.1		0.7

Net increase (+)/decrease (–) in cash and cash equivalents			190.7		242.6

Cash and cash equivalents as at January 1		404.3		171.8

Exchange gains/(-)losses on cash and cash equivalents		– 2.8	401.5	– 10.1	161.7

Cash and cash equivalents as at December 31	15		592.2		404.3

Interest received from third parties ²			2.3		1.1
Interest paid to third parties ²			12.8		9.8
Income tax paid ²			82.8		131.8

1 As at December 31, 2016, movements of CHF –13.7 million result from the translation of foreign exchange balances (CHF 30.8 million in 2015).

2 Included in cash flow from operating activities.

The accompanying notes form an integral part of the consolidated statements.