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Note 12: Cash and cash flows


Cash and cash equivalents

In € millions

 

2011

 

2012

Short-term investments

 

343

 

301

Cash on hand and in banks

 

1,292

 

1,451

Included under cash and cash equivalents in the balance sheet

 

1,635

 

1,752

Debt to credit institutions

 

(300)

 

(194)

Total per cash flow statement

 

1,335

 

1,558

Short-term investments almost entirely consist of cash loans, time deposits, marketable private borrowings and marketable securities immediately convertible into cash. For more information on credit risk management, see Note 22.

At December 31, 2012, an amount of €119 million in cash and cash equivalents was restricted (2011: €125 million). Restricted cash is defined as cash that cannot be accessed centrally due to regulatory or contractual restrictions.

Changes in working capital

In € millions

 

2011

 

2012

Trade and other receivables

 

(160)

 

(18)

Inventories

 

(210)

 

108

Trade and other payables

 

39

 

161

Total

 

(331)

 

251

Changes in provisions

In € millions

 

2011

 

2012

Pension provisions

 

(403)

 

(607)

Restructuring

 

 

51

Other provisions

 

(81)

 

(132)

Total

 

(484)

 

(688)

Cash flow and net debt

Operating activities in 2012 resulted in a cash inflow of €737 million (2011: €396 million). The change is mainly due to a net effect of:

  • Higher cash inflow from working capital, which was mainly realized in Q4

Partly offset by:

  • Higher payments related to provisions (mainly in relation to pensions)

Net debt increased in 2012 to €2,298 million (2011: €1,895 million) as higher cash flows from operating activities were more than offset by higher capital expenditures.

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