Consolidated statement of cash flows

(€m)Note20182017
Cash and cash equivalents at beginning of year   2,428 3,902
Profit/(Loss) before tax   1,490 1,067
Depreciation, amortisation and impairments [tab. C8] 537 545
Impairment of goodwill/goodwill arising from consolidation [tab. A3] 33 -
Net provisions for risks and charges [tab. B6] 579 707
Use of provisions for risks and charges [tab. B6] (656) (617)
Provisions for employee termination benefits [tab. B7] 1 1
Employee termination benefits [tab. B7] (92) (96)
Impairment of disposal groups [tab. A11,1] - 3
(Gains)/Losses on disposals   (120) (2)
Impairment losses/(Reversals of impairment losses) on financial assets [tab. C13] 20 94
(Dividends) [tab. C12,1] - -
Dividends received   - -
(Finance income realised) [tab. C12,1] (7) (9)
(Finance income in form of interest) [tab. C12,1] (95) (94)
Interest received   94 102
Interest expense and other finance costs [tab. C12,2] 66 80
Interest paid   (59) (57)
Losses and impairment losses/(Reverseals of impairment losses) on receivables [tab. C11] 46 55
Income tax paid [tab. C14,3] (351) (472)
Other changes   42 (1)
Cash flow generated by operating activities before movements in working capital [a] 1,528 1,306
Movements in working capital:      
(Increase)/decrease in Inventories [tab. A6] (2) (1)
(Increase)/decrease in Trade receivables   (201) 80
(Increase)/decrease in Other receivables and assets   (428) (202)
Increase/(decrease) in Trade payables   222 (176)
Increase/(decrease) in Other liabilities   104 97
Movement in group of assets and liabilites held for sale   - (12)
Cash flow generated by/(used in) movements in working capital [b] (305) (214)
Increase/(decrease) in liabilities attributable to financial activities, payments, cards and acquiring   4,513 2,911
Net cash generated by/(used for) financial assets attributable to financial activities, payments, cards and acquiring   (2,585) (2,290)
(Increase)/decrease in cash and deposits attributable to BancoPosta [tab. A9] (122) (702)
Income)/Expenses and other non-cash components from financial activities   (1,065) (1,405)
Cash generated by/(used for) assets and liabilities attributable to financial activities [c] 741 (1,486)
Net cash generated by/(used for) financial assets attributable to insurance activities   (5,860) (9,941)
Net cash generated by/(used for) financial assets attributable to insurance activities   6,369 11,185
(Gains)/Losses on financial assets/liabilities measured at fair value   1,444 (348)
(Income)/Expenses and other non-cash components from insurance activities   (1,320) (1,211)
Cash generated by/(used for) assets and liabilities attributable to insurance activities [d] 633 (315)
Net cash flow from/(for) operating activities [e]=[a+b+c+d] 2,597 (709)
of which related party transactions   (1,484) 241
Investing activities:      
Property, plant and equipment [tab. A1] (260) (241)
Investment property [tab. A2] - (1)
Intangible assets [tab. A3] (278) (225)
Investments   (30) (228)
Other financial assets   - -
Disposals:      
Property, plant and equipment, investment property, intangible assets and assets held for sale   2 5
Investments   120 -
Other financial assets   165 296
Disposal groups   - 131
Net cash flow from/(for) investing activities [f] (281) (263)
- of which related party transactions   254 (65)
Proceeds from/(Repayments of) long-term borrowings   - 4
(Increase)/decrease in loans and receivables   - 1
Increase/(decrease) in short-term borrowings   (1,000) 1
Dividends paid [B2] (549) (509)
Net cash flow from/(for) financing activities and shareholder transactions [g] (1,549) (503)
- of which related party transactions   (405) (327)
Cash and cash equivalents reclassified from non-current assets and disposal groups held for sale [h] [tab. A11] - 1
Net increase/(decrease) in cash [i]=[e+f+g+h] 767 (1,474)
Cash and cash equivalents at end of year [tab. A10] 3,195 2,428
Cash and cash equivalents at end of year [tab. A10] 3,195 2,428
Cash subject to investment restrictions   (53) -
Escrow account with the Italian Treasury   (72) (55)
Cash attributable to technical provisions for insurance business   (1,392) (358)
Amounts that cannot be drawn on due to court rulings   (18) (15)
Current account overdrafts   0 (1)
Cash received on delivery (restricted) and other restrictions   (21) (21)
Unrestricted net cash and cash equivalents at end of year   1,639 1,978