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Consolidated Statement of Cash Flows (BRL)
In Millions
12 Months Ended
Dec. 31, 2010
Dec. 31, 2009
Dec. 31, 2008
Operating activities      
Net income 11,891 14,612 4,878
Adjustment to reconcile net income to net cash provided by (used in) operating activities      
Provision for loan and lease losses 11,871 15,372 9,361
(Gain) loss on sale of foreclosed assets, net (12) 9 0
Amortization of intangible assets 4,592 3,663 1,201
Depreciation of premises and equipment 1,476 1,250 756
Equity in earnings of unconsolidated companies, net (308) 9 (474)
Gain on exchange of equity interest in Psiupar (Note 3c) 0 (936) 0
Gain on remeasurement of interest in Redecard S.A (Note 3b) 0 (4,530) 0
Bargain purchase gain (Note 3a) 0 (830) 0
(Gain) loss on sale of unconsolidated companies, net (104) (69) (279)
Stock based compensation (reversal) 198 618 (181)
Deferred tax 874 3,372 (3,015)
Net (gain) loss on sale of available-for-sale securities (220) (211) 114
Other than temporary impairment on available-for-sale securities 20 56 53
Other adjustments to net income 49 485 (136)
Net (gain) loss on sale of premises and equipment (5) (4) 6
Loss from impairment of intangible assets 11 10 0
Dividends received from investments in unconsolidated companies 85 63 246
Changes in assets and liabilities      
Trading account assets (increase) decrease (63,294) 16,704 (24,446)
Other assets and liabilities (increase) decrease (4,026) 7,507 (765)
Net cash provided by (used in) operating activities (36,902) 56,780 (12,681)
Investing activities      
Net (increase) decrease in Central Bank compulsory deposits (71,981) (462) 5,900
Net (increase) decrease in securities purchased under resale agreements which are not in cash and cash equivalents 25,170 (11,930) (23,343)
Purchase of available-for-sale securities (17,819) (7,624) (26,367)
Proceeds from sale and redemption of available-for-sale securities 17,538 13,905 19,728
Purchase of held-to-maturity securities (582) (1,133) 0
Proceeds from matured held-to-maturity securities 287 56 254
Net increase in loans and leases (63,842) (13,832) (54,791)
Cash and cash equivalents received on acquisition of Unibanco and Unibanco Holdings (Note 3a) 0 17,262 0
Net cash received on sale of consolidated subsidiaries 108 0 0
Cash payment for contractual rights to provide payroll and other services to government entities and other entities (178) (163) (243)
Purchase of intangible assets (367) (670) (352)
Purchase of premises and equipment (2,131) (1,701) (976)
Proceeds from sale of premises and equipment 86 187 181
Proceeds from sale of foreclosed assets 347 302 69
Cash received upon termination of contracts of intangible assets 152 43 0
Purchase of unconsolidated companies (7) (5) (301)
Purchase of other investments recorded at cost 0 0 (17)
Proceeds from sale of unconsolidated companies 125 642 329
Net cash used in investing activities (113,251) (5,538) (80,328)
Financing activities      
Net increase (decrease) in deposits 14,375 (13,339) 66,954
Net increase in investment contracts 13,810 8,600 3,010
Net increase (decrease) in securities sold under repurchase agreements 31,848 (16,848) 26,224
Net increase in short-term borrowings 43,888 16,627 4,995
Borrowings from long-term debt 35,909 11,623 13,045
Repayment of long-term debt (12,978) (16,952) (10,428)
Purchase of treasury shares 0 (7) (1,618)
Proceeds from exercise of stock options by grantees 268 278 107
Sale of treasury shares 138 0 0
Proceeds from acquisition of share-based instruments by grantees 62 0 0
Dividends and interest on capital paid to non-controlling interests (753) (343) 0
Dividends and interest on stockholders' equity paid (4,315) (3,782) (2,910)
Noncontrolling interest 378 321 44
Net cash provided by (used in) financing activities 122,630 (13,822) 98,836
Net increase in cash and cash equivalents (27,523) 37,420 5,827
Cash and cash equivalents      
At the beginning of the year 65,456 28,036 22,209
At the end of the year 37,933 65,456 28,036
Supplemental cash flow disclosure      
Cash paid for interest (25,275) (20,839) (15,015)
Cash paid for taxes on income (3,125) (4,277) (2,602)
Non-cash transactions      
Loans transferred to foreclosed assets 68 219 34
Dividends and interest on stockholders' equity declared but not paid 1,451 2,539 2,399
Exchange of equity interest in Psiupar (Note 3c) 0 1,886 0
Redecard S.A. [Member]
     
Investing activities      
Acquisition of controlling interest in business,net of cash and cash equivalents received 0 (415) 0
Visa [Member]
     
Adjustment to reconcile net income to net cash provided by (used in) operating activities      
Gain on sale of shares 0 (345) 0
Allianz [Member]
     
Adjustment to reconcile net income to net cash provided by (used in) operating activities      
Gain on sale of shares 0 (25) 0
BBA HE Participacoes S.A. [Member]
     
Investing activities      
Acquisition of controlling interest in business,net of cash and cash equivalents received 0 0 (399)
Unibanco and Unibanco Holdings [Member]
     
Adjustment to reconcile net income to net cash provided by (used in) operating activities      
Amortization of intangible assets 13,517    
Non-cash transactions      
Shares issued in connection with acquisition 0 24,659 0
Itausa Export S.A. [Member]
     
Investing activities      
Acquisition of controlling interest in business,net of cash and cash equivalents received 0 0 (587)
Non-cash transactions      
Shares issued in connection with acquisition 0 95 102
Itau Xl Seguros Corporativos S.A [Member]
     
Investing activities      
Acquisition of controlling interest in business,net of cash and cash equivalents received (157) 0 0