Bayer Group Consolidated Statements of Cash Flows

	Note	2006	2007
€ million
Income from continuing operations after taxes		1,526	2,306
Income taxes		454	(72)
Non-operating result		782	920
Income taxes paid		(763)	(915)
Depreciation and amortization		1,913	2,712
Change in pension provisions		(295)	(369)
(Gains) losses on retirements of noncurrent assets		(133)	(13)
Non-cash effects of the remeasurement of acquired assets (inventory work-down)		429	215
Gross cash flow		3,913	4,784

Decrease (increase) in inventories		(155)	(347)
Decrease (increase) in trade accounts receivable		(201)	(183)
(Decrease) increase in trade accounts payable		130	189
Changes in other working capital, other non-cash items		241	(162)
Net cash provided by (used in) operating activities (net cash flow), continuing operations	[33]	3,928	4,281
Net cash provided by (used in) operating activities (net cash flow), discontinued operations	[6.3]	275	2
Net cash provided by (used in) operating activities (net cash flow) (total)		4,203	4,283

Cash outflows for additions to property, plant, equipment and intangible assets		(1,876)	(1,860)
Cash inflows from sales of property, plant, equipment and other assets		185	165
Cash inflows from divestitures		489	4,648
Cash inflows from noncurrent financial assets		850	70
Cash outflows for acquisitions less acquired cash		(15,351)	(491)
Interest and dividends received		686	636
Cash inflows (outflows) from current financial assets		287	18
Net cash provided by (used in) investing activities (total)	[34]	(14,730)	3,186

Capital contributions		1,174	0
Bayer AG dividend, dividend payments to minority stockholders, reimbursements of advance capital gains tax payments		(535)	(773)
Issuances of debt		13,931	2,155
Retirements of debt		(3,216)	(7,768)
Interest paid		(1,155)	(1,344)
Net cash provided by (used in) financing activities (total)	[35]	10,199	(7,730)

Change in cash and cash equivalents due to business activities (total)		(328)	(261)

Cash and cash equivalents at beginning of year		3,290	2,915

Change in cash and cash equivalents due to changes in scope of consolidation		(2)	(4)
Change in cash and cash equivalents due to exchange rate movements		(45)	(119)

Cash and cash equivalents at end of year	[36]	2,915	2,531