SAMPO- About SAMPO- Financial Report- Statements of Cash Flows

SAMPO CORPORATION

STATEMENTS OF CASH FLOWS

YEARS ENDED DECEMBER 31, 1996 AND 1995

(In Thousands of New Taiwan Dollars)

	1996	1995
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$601,389	$756,462
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation	233,900	230,147
Amortization	244,407	219,790
Extinguishment of accrued interes on convertible bonds at conversion	625	87
Equity in gains of equity method investees	(20,145)	(141,914)
Gain on sale of long-term investments	(94,522)	40,833
&nb;Net Loss (gain) on disposal of property, plant and equipment	2,105	87
(Recovery of) loss on devaluation of marketable securities	(46,700)	38,150
Loss on sale of marketable securities	13,167
Loss on liquidation and eliminated capital of equity method investees		11,268
Realized gains on intercompany transactions	(160,063)	(74,098)
Provision for redemption of convertible bonds	117,088	103,993
Changes in assets and liabilities provided (used) cash:
Notes and accounts receivables	(186,823)	(475,129)
Inventories	809,415	915,316
Other current assets	(81,268)	(141,914)
Intangible assets	10,978
Other assets	(62,600)	71,423
Notes, and accounts payable	50,262	77,960
Income tax payable	54,862	31,842
Accrued expenses	(10,017)	(127,704)
Other current liabilities	(204,139)	153,970
Pension liabilities	14,504
Miscellaneous liabilities	(90,665)	171,680
Total adjustments	594,371	(870,369)
Net cash provided by (used in) operating activities	1,195,760	104,907
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of property, plant and equipment	(401,848)	(785,723)
Proceeds from disposal of property, plant and equipment	12,347	5,337
Acquisition of long-term investments	(2,112,940)	(471,159)
Proceeds from disposal of long-term investments	256,552	122,133
Capital contribution refunds received		15,000
Acquisition of marketable securities	(86,026)	(16,200)
Proceeds from sale of marketable securities	108,338
Decrease in refundable deposits	3,739	1,190
Proceeds from sale of government bonds	620	568
Cash dividends from equity method investees	9,407	26,606
Net cash used in investing activities	(2,209,811)	(1,102,248)

	1996	1995
CASH FLOWS FROM FINANCING ACTIVITES:
Net increase in short-term borrowings	98,550	76,155
Net increase in short-term bills	450,000	390,000
(Decrease) Increase in long-term liabilities	31,671	117,590
Repayment of bonds	(218,000)
Issuance of capital stock	750,000
Cash dividends paid		(284,548)
Cash for fractional shares from conversion of bonds		(59)
Bonuses to employees, directors and supervisors	(25,029)	(41,545)
Net cash provided by financing activities	1,023,850	257,593
EFFECT OF EXCHANGE RATE CHANGES ON CASH	12,835	43,227
NET INCREASE (DECREASE) IN CASH	22,634	(906,335)
CASH, BEGINNING OF YEAR	189,443	1,095,778
CASH, END OF YEAR	$212,077	$189,443
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION:
Cash paid during the period for:
Interest (net of amount capitalized)	$196,631	$174,594
Income tax	$72,085	$122,215
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING AND FINANCING ACTIVITES:
Bonds converted into common stock	$38,700	$3,799
Transfer of current portion of long-term liabilities to current liabilities	$282,756	$179,456
Transfer of capital surplus and unappropriated earnings to capital stock	$573,798	$682,916
Increase in deferred pension cost		$418,189
Increase in pension liability		$418,189
See notes to financial statememts.		(Concluded)