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CONSOLIDATED STATEMENTS OF CASH FLOWS - PHP (₱)
₱ in Millions
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES      
Income before income tax ₱ 22,815 ₱ 14,569 ₱ 22,071
Adjustments for:      
Depreciation and amortization (Note 9) 47,240 51,915 34,455
Asset impairment (Note 5) 8,065 8,258 11,042
Interest on loans and other related items – net (Note 5) 6,783 7,014 6,956
Pension benefit costs (Notes 5 and 25) 1,855 1,607 1,775
Amortization of intangible assets (Notes 5 and 14) 892 835 929
Foreign exchange losses – net (Notes 5 and 9) 771 411 2,785
Incentive plan (Notes 5 and 25) 208 827  
Impairment of investments (Notes 10 and 11) 172 2,562 5,515
Accretion on financial liabilities (Notes 5 and 20) 145 219 230
Equity share in net losses (earnings) of associates and joint ventures (Notes 5 and 10) 87 (2,906) (1,181)
Losses (gains) on disposal of property and equipment (Note 9) (12) 159 (1,360)
Gains on disposal of investment in associates and joint ventures (Note 10) (144) (6,512) (7,365)
Gains on derivative financial instruments – net (Notes 5 and 27) (1,086) (533) (996)
Interest income (Note 5) (1,943) (1,412) (1,046)
Gains on deconsolidation of subsidiary (Note 10) (12,054)    
Gains on disposal of investment property (Note 13)   (80)  
Others (1,076) (2,443) (400)
Operating income before changes in assets and liabilities 72,718 74,490 73,410
Decrease (increase) in:      
Prepayments 969 (212) (5,634)
Current portion of advances and other noncurrent assets (5,287) 162 (99)
Trade and other receivables (12,175) (10,674) (7,060)
Inventories and supplies 26 (542) (917)
Contract assets 390    
Increase (decrease) in:      
Customers’ deposits (250) 13 1
Pension and other employee benefits (5,733) (5,841) (5,863)
Other noncurrent liabilities (11) 38 (10)
Accounts payable 7,729 4,622 1,358
Accrued expenses and other current liabilities 5,184 (1,392) 755
Net cash flows generated from operations 63,560 60,664 55,941
Income taxes paid (2,444) (4,550) (6,965)
Net cash flows from operating activities 61,116 56,114 48,976
CASH FLOWS FROM INVESTING ACTIVITIES      
Interest received 1,115 1,217 947
Proceeds from:      
Collection of notes receivable 11,707 2,001  
Disposal of financial assets at fair value through profit or loss 11,643    
Proceeds from maturity of short-term investments 6,102 20,254 1,557
Disposal of investments in associates and joint ventures (Note 10) 1,710 14,884 17,000
Disposal of property and equipment (Note 9) 345 484 1,889
Redemption of debt instruments at amortized cost 105    
Disposal of available-for-sale financial investments   1,000 2,502
Redemption of investment in debt securities   456 609
Disposal of investment properties   290  
Payments for:      
Acquisition of intangible assets (Note 14) (21) (137) (159)
Purchase of investments in associates and joint ventures (Note 10) (111) (5,633) (21,524)
Interest capitalized to property and equipment (Notes 5 and 9) (1,524) (816) (566)
Purchase of investments - net of cash acquired (2,814) (266) (22)
Purchase of short-term investments (5,992) (18,424) (2,734)
Disposal of property and equipment (Note 9) (47,247) (36,616) (42,259)
Purchase of available-for-sale financial investments   (76) (3,500)
Purchase of investment properties     (6)
Purchase of investment in debt securities     (20)
Dividends received   833 4,409
Increase in advances and other noncurrent assets - net of current portion (72) (511) (105)
Net cash flows used in investing activities (25,054) (21,060) (41,982)
CASH FLOWS FROM FINANCING ACTIVITIES      
Availments of long-term debt (Notes 20 and 28) 20,500 26,255 40,569
Derivative financial instruments (Note 27) 886 218  
Issuance of perpetual notes (Note 19)   4,165  
Issuance of capital stock     5
Payments for:      
Debt issuance costs (Notes 20 and 28) (38) (153) (185)
Distribution charges on perpetual notes (Note 19) (236) (177)  
Interest – net of capitalized portion (Notes 5 and 20) (6,614) (7,076) (6,512)
Cash dividends (Notes 19 and 28) (13,928) (16,617) (22,987)
Long-term debt (Notes 20 and 28) (18,740) (39,199) (19,650)
Long-term financing for capital expenditures (Note 28)   (7,735) (6,040)
Derivative financial instruments (Note 27)     (541)
Decrease in treasury shares under employee benefit trust 26    
Net cash flows used in financing activities (18,144) (40,319) (15,341)
NET EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS 831 (552) 614
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 18,749 (5,817) (7,733)
CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR (Note 15) 32,905 38,722 46,455
CASH AND CASH EQUIVALENTS AT END OF THE YEAR (Note 15) ₱ 51,654 ₱ 32,905 ₱ 38,722