This excerpt taken from the ICI 6-K filed Mar 16, 2005.
Group cash flow management format
The following analysis of Group cash flow, distinguishes between cash flows which relate to operating activities and those which relate to investing activities. Included within operating activities are the top-up payments to the ICI UK Pension Fund, interest, tax paid (excluding tax on disposals) and dividends paid. Included within investing activities are sales and purchases of tangible fixed assets, net proceeds from disposals of businesses, payments against disposal provisions which, in some cases, will continue for a number of years, and acquisition expenditure.
Operating and investing activities
As expected, exceptional outflows increased in 2004, largely as a result of the Groups restructuring activities but with lower average net debt across the year, interest payments were lower. Net interest payments for 2004 amounted to £66m, £16m lower than 2003.
Despite an increase in tax paid, the Group generated a net cash inflow from operating activities of £327m in 2004, which was in line with 2003.
The completion of the sale of Quests Food Ingredients business, with gross proceeds of £249m received in the second quarter, was the major contributor to net disposal proceeds of £279m. These more than offset capital expenditure of £158m and £95m of payments in respect of disposals prior to 2004. Consequently, there was a net cash inflow from investing activities of £29m, £90m better than 2003.
Cash flow before acquisitions and divestments
Movement in net debt