Summary consolidated statements of cash flows
in millions of US dollars
| 12 months to December 31, 2008 $'M |
12 months to December 31 2007 $'M |
|
|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||
| Net income/(loss) | 156.0 | (1,451.8) |
| Adjustments to reconcile net income/(loss) to net cash provided by operating activities: | ||
| Loss from discontinued operations | 17.6 | - |
| Depreciation and amortization | 202.9 | 158.3 |
| Share-based compensation | 65.2 | 75.2 |
| In-process R&D charge | 128.1 | 1,866.4 |
| Interest on building financing obligation and amortization of deferred financing charges | 8.3 | 12.4 |
| Impairment of intangible assets, long-lived assets and available-for-sale securities | 157.3 | 5.2 |
| Gain on sale of product rights and long-term assets | (30.8) | (127.5) |
| Movement in deferred taxes | 74.0 | (25.4) |
| Equity in earnings of equity method investees | (2.4) | (1.8) |
| Minority interest | (3.6) | - |
| Changes in operating assets and liabilities, (net of acquisitions), return on investment | ||
| in joint venture and cash used by discontinued operations | 27.5 | (36.3) |
| Net cash provided by operating activities | 800.1 | 474.7 |
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||
| Movements in short-term investments | - | 55.8 |
| Movements in restricted cash | 10.3 | (9.7) |
| Purchases of subsidiary undertakings and long-term investments | (501.6) | (2,582.8) |
| Payment on settlement of TKT appraisal rights litigation | (419.9) | - |
| Purchases of property, plant and equipment and intangible assets | (261.0) | (169.4) |
| Proceeds from sale of long-term investments, property, plant and equipment and product rights | 17.1 | 235.7 |
| Returns from equity investments | 0.6 | 2.3 |
| Net cash used in investing activities | (1,154.5) | (2,468.1) |
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||
| Proceeds from drawings under bank facility | 190.0 | 1,300.0 |
| Repayment of drawings under bank facility | (190.0) | (1,300.0) |
| Proceeds from issue of 2.75% Convertible Bonds due 2014 | - | 1,100.0 |
| Redemption of New River convertible notes | - | (279.4) |
| Proceeds from exercise of New River purchased call option | - | 141.8 |
| Payment of debt arrangement and issuance costs | - | (32.8) |
| Building finance obligations, net | 9.5 | - |
| Proceeds from exercise of options and warrants | 11.4 | 43.4 |
| (Costs)/proceeds from issue of common stock, net | (5.6) | (877.3) |
| Payments to acquire treasury stock | (146.6) | (186.0) |
| Payment of dividends | (46.8) | (41.3) |
| Net cash (used in)/provided by financing activities | (178.1) | 1,623.0 |
| Effect of foreign exchange rate changes on cash and cash equivalents | (11.8) | 6.0 |
| Net decrease in cash and cash equivalents | (544.3) | (364.4) |
| Cash and cash equivalents at beginning of period | 762.5 | 1,126.9 |
| Cash and cash equivalents at end of period | 218.2 | 762.5 |