STATEMENT OF CONSOLIDATED CASH FLOWS Exhibit 13(e) Cleveland-Cliffs Inc and Consolidated Subsidiaries
(In Millions, Brackets Indicate Cash Decrease) Year Ended December 31 ----------------------------------------- 1995 1994 1993 - ------------------------------------------------------------------------------------------------------------------------ OPERATING ACTIVITIES Net income $ 57.8 $ 42.8 $ 54.6 Adjustments to reconcile net income to net cash from operations: Depreciation and amortization: Consolidated 6.1 3.7 2.6 Share of associated companies 10.7 10.7 10.9 Provision for deferred income taxes 5.5 (1.8) 2.2 Recovery on bankruptcy claims -- -- (31.6) Increases to capacity rationalization reserve .5 3.8 2.5 Tax credit (12.2) -- -- Increases to environmental reserve 13.2 2.2 .9 Extraordinary loss on debt extinguishment 4.8 -- -- Other (1.7) (6.9) (7.3) ------- ------ ------ Total before changes in operating assets and liabilities 84.7 54.5 34.8 Changes in operating assets and liabilities: Marketable securities (8.1) 92.3 (93.1) Inventories and prepaid expenses (15.7) 13.6 22.3 Receivables 3.9 (11.6) 2.7 Payables and accrued expenses (6.8) 19.1 10.5 ------- ------ ------ Total changes in operating assets and liabilities (26.7) 113.4 (57.6) ------- ------ ------ Net cash from (used by) operating activities 58.0 167.9 (22.8) INVESTING ACTIVITIES Acquisition of Northshore Mining -- (97.3) -- Weirton Preferred Stock redemption -- 25.0 -- Purchase of property, plant and equipment: Consolidated (16.6) (6.9) (2.8) Share of associated companies (5.9) (4.0) (2.2) Sale (purchase) of long-term investments 8.8 5.3 (3.6) Other (4.4) -- .3 ------- ------ ------ Net cash (used by) investing activities (18.1) (77.9) (8.3) FINANCING ACTIVITIES Principal payments on long-term debt: Consolidated (75.0) -- (.1) Share of associated companies (4.3) (4.3) (4.3) Debt prepayment fees (4.8) -- -- Proceeds from long-term debt 70.0 -- -- Repurchases of Common Shares (10.7) -- -- Dividends * (15.5) (14.8) (26.4) Other .3 .6 1.2 ------- ------ ------ Net cash (used by) financing activities (40.0) (18.5) (29.6) EFFECT OF EXCHANGE RATE CHANGES ON CASH (.6) 1.2 -- ------- ------ ------ INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (.7) 72.7 (60.7) CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 140.6 67.9 128.6 ------- ------ ------ CASH AND CASH EQUIVALENTS AT END OF YEAR $ 139.9 $140.6 $ 67.9 ======= ====== ====== Taxes paid on income $ 29.0 $ 17.6 $ 16.6 Interest paid on debt obligations $ 7.2 $ 6.5 $ 6.5 *The 1993 dividends exclude the non-cash distribution of 1.5 million shares ($20.4 million) of the 2.3 million shares of LTV Corporation common stock received in the 1993 bankruptcy settlement.
See notes to consolidated financial statements. 42