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Consolidated Statements of Cash Flows - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
Cash flows from operating activities      
Net income $ 5,580 $ 3,682 $ 3,595
Adjustments to net income:      
Depreciation 590 539 605
Amortization of acquisition-related intangibles 318 318 319
Amortization of capitalized software 46 47 31
Stock compensation 232 242 252
Gains on sales of assets (3) 0 (40)
Deferred taxes (105) 112 (202)
Increase (decrease) from changes in:      
Accounts receivable 71 (7) (108)
Inventories (282) (167) (99)
Prepaid expenses and other current assets 669 76 (81)
Accounts payable and accrued expenses (7) 51 72
Accrued compensation (7) (3) 36
Income taxes payable 158 468 333
Changes in funded status of retirement plans 36 21 (73)
Other (107) (16) (26)
Cash flows from operating activities 7,189 5,363 4,614
Cash flows from investing activities      
Capital expenditures (1,131) (695) (531)
Proceeds from asset sales 9 40 0
Purchases of short-term investments (5,641) (4,555) (3,503)
Proceeds from short-term investments 6,708 4,095 3,390
Other (23) (12) (6)
Cash flows from investing activities (78) (1,127) (650)
Cash flows from financing activities      
Proceeds from issuance of long-term debt 1,500 1,099 499
Repayment of debt (500) (625) (1,000)
Dividends paid (2,555) (2,104) (1,646)
Stock repurchases (5,100) (2,556) (2,132)
Proceeds from common stock transactions [1] 373 483 472
Other (47) (31) (3)
Cash flows from financing activities (6,329) (3,734) (3,810)
Net change in cash and cash equivalents 782 502 154
Cash and cash equivalents at beginning of period 1,656 1,154 1,000
Cash and cash equivalents at end of period $ 2,438 $ 1,656 $ 1,154
[1] Net of taxes paid for employee shares withheld of $60 million, $83 million and $70 million in 2018, 2017 and 2016, respectively.