Consolidated statement of cash flows - CAD CAD in Millions		12 Months Ended
		Dec. 31, 2017		Dec. 31, 2016		Dec. 31, 2015
Operating activities
Net income (loss)		CAD 490		CAD 2,165		CAD 1,122
Adjustments for non-cash items:
Depreciation and depletion	[1]	2,172		1,628		1,450
(Gain) loss on asset sales (note 8)	[2],[3]	(220)		(2,244)		(97)
Inventory write-down to current market value						59
Deferred income taxes and other		321		114		367
Changes in operating assets and liabilities:
Accounts receivable		(689)		(442)		(42)
Inventories, materials, supplies and prepaid expenses		(83)		197		(172)
Income taxes payable		(431)		36		418
Accounts payable and accrued liabilities		678		237		(1,030)
All other items - net	[4],[5]	525		324		92
Cash flows from (used in) operating activities		2,763		2,015		2,167
Investing activities
Additions to property, plant and equipment	[5]	(993)		(1,073)		(2,994)
Proceeds from asset sales (note 8)		232		3,021		142
Additional investments		(1)		(1)		(32)
Loans to equity company		(19)
Cash flows from (used in) investing activities		(781)		1,947		(2,884)
Financing activities
Short-term debt - net				(1,749)		(32)
Long-term debt - additions (note 14)				495		1,206
Long-term debt - reductions (note 14)				(2,000)
Reduction in capitalized lease obligations (note 14)		(27)		(28)		(20)
Dividends paid		(524)		(492)		(449)
Common shares purchased (note 10)		(627)
Cash flows from (used in) financing activities		(1,178)		(3,774)		705
Increase (decrease) in cash		804		188		(12)
Cash at beginning of year		391	[6]	203	[6]	215
Cash at end of year	[6]	CAD 1,195		CAD 391		CAD 203

[1] The Upstream segment in 2017 includes non-cash impairment charges of $396 million, before tax, associated with the Horn River development and $379 million, before tax, associated with the Mackenzie gas project. The impairment charges are recognized in the lines exploration, and depreciation and depletion on the consolidated statement of income, and the accumulated depreciation and depletion line of the consolidated balance sheet.

[2] 2016 included a gain of $2.0 billion ($1.7 billion, after tax) from the sale of company-owned Esso-branded retail sites; and a gain of $161 million ($134 million, after tax) from the sale of Imperial's general aviation business.

[3] 2017 included a gain of $174 million ($151 million after tax) from the sale of surplus property in Ontario.

[4] Included contribution to registered pension plans. 212 163 225

[5] The impact of carbon emission programs are included in additions to property, plant and equipment, and all other items - net.

[6] Cash is composed of cash in bank and cash equivalents at cost. Cash equivalents are all highly liquid securities with maturity of three months or less when purchased.