Information Relating to the Consolidated Statement of Cash Flows

3 Months Ended

Mar. 31, 2013

Supplemental Cash Flow Elements [Abstract]

Information Relating to the Consolidated Statement of Cash Flows

Information Relating to the Consolidated Statement of Cash Flows

The “Net increase in operating working capital” was composed of the following operating changes:

	Three Months Ended March 31
	2013			2012
	(Millions of dollars)
Increase in accounts and notes receivable	$	(994	)	$	(153	)
Increase in inventories	(520		)	(1,847		)
Increase in prepaid expenses and other current assets	(437		)	(119		)
Decrease in accounts payable and accrued liabilities	(1,759		)	(1,027		)
Increase in income and other taxes payable	350			351
Net increase in operating working capital	$	(3,360	)	$	(2,795	)

The “Net increase in operating working capital” includes reductions of $28 million and $26 million for excess income tax benefits associated with stock options exercised during the three months ended March 31, 2013, and 2012, respectively. These amounts are offset by an equal amount in “Net purchases of treasury shares.”

“Net Cash Provided by Operating Activities” included the following cash payments for interest on debt and for income taxes:

	Three Months Ended March 31
	2013		2012
	(Millions of dollars)
Interest on debt (net of capitalized interest)	$	—	$	36
Income taxes	3,434		4,140

"Other" includes changes in postretirement benefits obligations and other long-term liabilities.

Information related to "Restricted Cash" is included on page 21 in Note 12 under the heading "Restricted Cash."

The “Net (purchases) sales of time deposits” consisted of the following gross amounts:

	Three Months Ended March 31
	2013			2012
	(Millions of dollars)
Time deposits purchased	$	(708	)	$	(8	)
Time deposits matured	8			3,308
Net (purchases) sales of time deposits	$	(700	)	$	3,300

The “Net sales of marketable securities” consisted of the following gross amounts:

	Three Months Ended March 31
	2013		2012
	(Millions of dollars)
Marketable securities purchased	$	—	$	—
Marketable securities sold	—		11
Net sales of marketable securities	$	—	$	11

The “Net purchases of treasury shares” represents the cost of common shares acquired less the cost of shares issued for share-based compensation plans. Purchases totaled $1.3 billion for the first three months in both 2013 and 2012. During the first three months of 2013 and 2012, the company purchased 10.8 million and 11.6 million common shares under its ongoing share repurchase program, respectively, for $1.25 billion in each corresponding period.

The major components of “Capital expenditures” and the reconciliation of this amount to the capital and exploratory expenditures, including equity affiliates, are as follows:

	Three Months Ended March 31
	2013			2012
	(Millions of dollars)
Additions to properties, plant and equipment	$	7,935		$	5,511
Additions to investments	262			192
Current year dry hole expenditures	12			205
Payments for other liabilities and assets, net	(17		)	(13		)
Capital expenditures	8,192			5,895
Expensed exploration expenditures	235			161
Assets acquired through capital lease obligations	2			—
Capital and exploratory expenditures, excluding equity affiliates	8,429			6,056
Company’s share of expenditures by equity affiliates	453			361
Capital and exploratory expenditures, including equity affiliates	$	8,882		$	6,417