Salomon Swapco Inc
Statement of Cash Flows
Dollars in thousands
Year ended December 31,
1996
1995
Cash flows from operating activities:
Net income adjusted for noncash items-
Net income
$ 39,052
$ 33,853
Amortization of intermediation, guarantee and sales fees, net
(43,951)
(27,362)
Total cash items included in net income
(4,899)
6,491
(Increase)/decrease in operating assets-
Securities purchased under agreements to resell
(209,743)
141,414
Investment securities and related hedge swaps
3
1,307
Customer derivative receivables
587,330
(576,651)
SBHC derivative receivables
(127,984)
154,445
Other assets
124
1,095
Total decrease/(increase) in operating assets
249,730
(278,390)
Increase/(decrease) in operating liabilities-
Customer derivative payables
274,008
(226,548)
SBHC derivative payables
(121,128)
121,128
Deferred revenue
108,424
81,240
Other liabilities
(3,807)
5,023
Total increase/(decrease) in operating liabilities
257,497
(19,157)
Cash provided by/(used in) operating activities
502,328
(291,056)
Cash flows from financing activities:
Capital contributions
50,000
1,207,000
Dividend payments
(618,000)
(855,000)
Cash (used in)/provided by financing activities
(568,000)
352,000
Cash flows from investing activities:
Proceeds from-
Sale of investment securities
77,581
125,599
Termination of hedge swaps on investment securities
6,296
4,006
Payments for-
Investment securities
(12,097)
(175,114)
Termination of hedge swaps on investment securities
(5,924)
(15,374)
Cash provided by/(used in) investing activities
65,856
(60,883)
Increase in cash
184
61
Cash at beginning of period
82
21
Cash at end of period
$ 266
$ 82
The accompanying Summary of Accounting Policies and Notes to Financial Statements are integral parts of this statement.
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