Interim results for 6 months ended 30 June 2006
Summarised consolidated cash flow statement – IFRS basis
For the six months ended 30 June 2006
The cash flows presented in this statement cover all the Group’s activities and include flows from policyholder and shareholder activities.
| 6 months 2006 |
6 months 2005 |
Full year 2005 |
|||
|---|---|---|---|---|---|
| Long-term business operations £m |
Non-long-term business operations £m |
Group £m |
Group £m |
Group £m |
|
| Cash flows from operating activities: | |||||
| Cash generated from operations | 1,100 | 1,365 | 2,465 | 2,874 | 2,784 |
| Tax paid | (286) | (77) | (363) | (17) | (375) |
| Net cash from operating activities | 814 | 1,288 | 2,102 | 2,857 | 2,409 |
| Cash flows from investing activities: | |||||
| Acquisition of subsidiaries, joint ventures and associates, net of cash acquired | (95) | (110) | (205) | (700) | (1,423) |
| Disposal of subsidiaries, joint ventures and associates, net of cash transferred | 114 | 366 | 480 | 192 | 464 |
| Loans to joint ventures and associates | – | – | – | – | (128) |
| Purchases of property and equipment | (23) | (83) | (106) | (59) | (206) |
| Proceeds on sale of property and equipment | 8 | 17 | 25 | 15 | 50 |
| Purchases of intangible assets | (2) | (22) | (24) | – | (60) |
| Net cash from investing activities | 2 | 168 | 170 | (552) | (1,303) |
| Cash flows from financing activities: | |||||
| Proceeds from issue of shares, net of transaction costs | – | 47 | 47 | 27 | 59 |
| Net drawdown of borrowings | (276) | 342 | 66 | 55 | 856 |
| Interest paid on borrowings | (124) | (260) | (384) | (277) | (609) |
| Preference dividends paid | – | (9) | (9) | (9) | (17) |
| Ordinary dividends paid | – | (341) | (341) | (364) | (498) |
| Coupon payments on direct capital instrument | – | – | – | – | (42) |
| Finance lease payments | – | (4) | (4) | (5) | (8) |
| Capital contributions from minority shareholders | 35 | – | 35 | 93 | 212 |
| Dividends paid to minority interests of subsidiaries | (46) | (11) | (57) | (36) | (70) |
| Non-trading cash flows between operations | (557) | 557 | – | – | – |
| Net cash from financing activities | (968) | 321 | (647) | (516) | (117) |
| Total cash flow | (152) | 1,777 | 1,625 | 1,789 | 989 |
| Net (decrease)/ increase in cash and cash equivalents: | (152) | 1,777 | 1,625 | 1,789 | 989 |
| Cash and cash equivalents at 1 January | 10,107 | 2,960 | 13,067 | 12,126 | 12,126 |
| Effect of exchange rate changes on cash and cash equivalents | 9 | (2) | 7 | (332) | (48) |
| Cash and cash equivalents at 30 June/31 December | 9,964 | 4,735 | 14,699 | 13,583 | 13,067 |
| Cash and cash equivalents at 30 June/31 December comprised: | |||||
| Cash at bank and in hand | 2,540 | 1,313 | 3,853 | 4,097 | 3,530 |
| Cash equivalents | 7,605 | 3,927 | 11,532 | 10,308 | 10,227 |
| 10,145 | 5,240 | 15,385 | 14,405 | 13,757 | |
| Bank overdrafts | (181) | (505) | (686) | (822) | (690) |
| 9,964 | 4,735 | 14,699 | 13,583 | 13,067 | |
Of the total cash and cash equivalents shown above, £117 million has been classified as held for sale (full year 2005: £25 million).
