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XYZ Property & Casualty Company - Statement of Cash Flows
(in millions of dollars)
       
2003

2002

2001
Statement of Cash Flows - Indirect Method



Net Cash Flows Provided By/(Used In) Operating Activities, Indirect



Net Income
3,766.2
2,001.9
1,234.2
Adjustments to Reconcile Net Income/(Loss) to Net Cash Provided By/(Used In) Operations



Depreciation and Amortization
267.9
251.7
243
Amortization - Bond Premium and Discounts
33
0
0
Realized Gains/(Losses) on Sale of Investments
-38.1
235.8
335.7
Unearned Income
1,771.2
1,762.8
240.6
Increase/(Decrease) in Operating Assets and Liabilities



Increase/(Decrease) in Operating Assets



Increase/(Decrease) in the Loss and Loss Adjustment Expense Reserve
2,289.9
1,725
754.8
Increase/(Decrease) in Accounts Payable and Accrued Expenses



Increase/(Decrease) in Accounts Payable and Accrued Expenses - Total
373.5
769.8
310.2
Increase/(Decrease) in Prepaid Reinsurance Premiums
-54
-57.3
54.3
Increase/(Decrease) in Reinsurance Recoverable
-166.8
-42.6
108.6
Increase/(Decrease) in Premiums Receivable
-1,010.4
-737.1
209.7
Increase/(Decrease) in Deferred Policy Acquisition Costs
-146.4
-140.7
-20.1
Increase/(Decrease) in Operating Liabilities



Increase/(Decrease) in Income Taxes Payable
-0.3
-195.3
90.6
Tax Benefit from Exercise of Stock Options
132
57.9
73.2
Other Increase/(Decrease) in Operating Assets and Liabilities , Net
93
104.1
69
Net Cash Flows Provided By/(Used In) Operating Activities
7,310.7
5,736
3,703.8
Net Cash Flows Provided By/(Used In) Investing Activities



Purchases and Payments for Investments



Purchase of Investments



Purchase of Marketable Securities



Purchase of Fixed Maturity Securities
-28,474.8
-23,774.7
-14,805.6
Purchase of Equity Securities
-2,313.6
-2,042.1
-5,088
Disposal of Investments



Sale of Debt and Equity Securities



Sale of Fixed Maturity Securities
21,567.9
17,469.9
10,006.5
Sale of Equity Securities
1,013.4
1,236
4,308.9
Calls and Maturities on Fixed Maturity Securities and Mortgage Loans
2,337.6
1,782
1,355.7
Call Maturities Equity Maturity Securities
275.1
0
407.7
Increase/(Decrease) in Short Term Investments, Net



Purchase of Short Term Investments, Net
-240.6
-1,021.2
-121.8
Net Unsettled Security Transactions
-111.3
345.9
-285.9
Purchase of Other Assets
-513.3
-269.7
-224.7
Net Cash Flows Provided By/(Used In) Investing Activities
-6,459.6
-6,273.9
-4,447.2
Net Cash Flows Provided By/(Used In) Financing Activities



Increase/(Decrease) in Equity



Proceeds from Issuance of Equity



Proceeds from Stock Options Exercised
150
67.8
78
Increase/(Decrease) in Debt



Increase/(Decrease) in Short Term Borrowings



Proceeds from Short Term Borrowings



Proceeds from Other Debt
0
1,195.8
1,096.2
Repayments of Short Term Borrowings



Repayments of Other Debt
0
-2.4
-1.5
Payment of Dividends



Payment of Dividends - Total
-65.1
-63.3
-61.8
Repurchase of Common Stock
-950.4
-642.9
-360.6
Net Cash Flows Provided By/(Used In) Financing Activities
-865.5
555
750.3
Increase/(Decrease) in Cash and Cash Equivalents
-14.4
17.1
6.9
Cash and Cash Equivalents - Beginning Balance
50.7
33.6
26.7
Cash and Cash Equivalents - Ending Balance
36.3
50.7
33.6