Consolidated Statements of Cash Flows
| Years Ended December 31 | |||
|---|---|---|---|
| (in millions) | 2017 | 2016 | 2015 |
| Operating activities | |||
| Net income | 3,842.8 | 2,469.8 | 2,560.0 |
| Adjustments to reconcile net income to net cash provided by operating activities: | |||
| Net realized gains on financial instruments | 144.8 | 4.9 | 157.5 |
| Other-than-temporary impairment losses recognized in income | 33.1 | 115.4 | 83.4 |
| Loss (gain) on extinguishment of debt | 282.4 | — | 9.3 |
| Loss on disposal of assets | 13.0 | 4.5 | 16.0 |
| Deferred income taxes | 1,272.1 | 126.9 | 65.9 |
| Amortization, net of accretion | 779.7 | 807.8 | 802.1 |
| Depreciation expense | 110.7 | 104.0 | 105.8 |
| Impairment of property and equipment | 2.5 | 44.8 | 1.8 |
| Share-based compensation | 169.6 | 164.6 | 148.2 |
| Excess tax benefits from share-based compensation | — | 53.5 | 95.8 |
| Changes in operating assets and liabilities: | |||
| Receivables, net | 22.2 | 1,380.5 | 42.9 |
| Other invested assets | 35.5 | 19.4 | 5.9 |
| Other assets | 629.0 | 127.7 | 33.8 |
| Policy liabilities | 731.6 | 321.7 | 193.0 |
| Unearned income | 120.1 | 173.6 | 33.9 |
| Accounts payable and accrued expenses | 921.8 | 182.3 | 123.4 |
| Other liabilities | 120.2 | 605.7 | 686.4 |
| Income taxes | 193.9 | 178.8 | 41.5 |
| Other, net | 164.6 | 96.5 | 5.1 |
| Net cash provided by operating activities | 4,184.8 | 3,270.2 | 4,211.9 |
| Investing activities | |||
| Purchases of fixed maturity securities | 9,794.6 | 10,157.7 | 9,792.0 |
| Proceeds from fixed maturity securities: | |||
| Sales | 7,931.7 | 8,636.0 | 8,909.2 |
| Maturities, calls and redemptions | 1,847.6 | 1,418.6 | 1,313.6 |
| Purchases of equity securities | 5,416.3 | 1,476.3 | 1,561.4 |
| Proceeds from sales of equity securities | 3,462.5 | 1,592.8 | 1,471.1 |
| Purchases of other invested assets | 1,163.8 | 433.1 | 505.8 |
| Proceeds from sales of other invested assets | 219.0 | 304.9 | 85.9 |
| Changes in collateral and settlement of non-hedging derivatives | 64.9 | 34.5 | 36.5 |
| Changes in securities lending collateral | 624.5 | 222.0 | 214.4 |
| Purchases of subsidiaries, net of cash acquired | 2,079.6 | — | 638.9 |
| Purchases of property and equipment | 799.5 | 583.6 | 638.2 |
| Proceeds from sales of property and equipment | 9.3 | — | 35.3 |
| Other, net | 11.9 | 3.0 | 8.2 |
| Net cash used in investing activities | 5,082.4 | 513.9 | 1,151.5 |
| Financing activities | |||
| Net proceeds from (repayments of) commercial paper borrowings | 174.6 | 53.2 | 682.2 |
| Proceeds from long-term borrowings | 5,457.8 | — | 1,226.5 |
| Repayments of long-term borrowings | 2,815.1 | — | 2,697.2 |
| Proceeds from short-term borrowings | 5,835.0 | 2,400.0 | 2,760.0 |
| Repayments of short-term borrowings | 5,000.0 | 2,500.0 | 2,620.0 |
| Changes in securities lending payable | 624.5 | 222.0 | 214.4 |
| Changes in bank overdrafts | 71.0 | 513.8 | 243.8 |
| Premiums paid on equity call options | — | — | 16.7 |
| Proceeds from sale of put options | 0.9 | — | 16.6 |
| Repurchase and retirement of common stock | 1,997.7 | — | 1,515.8 |
| Change in collateral and settlements of debt-related derivatives | 149.0 | 360.4 | — |
| Cash dividends | 704.9 | 684.0 | 656.6 |
| Proceeds from issuance of common stock under employee stock plans | 225.3 | 119.4 | 186.0 |
| Taxes paid through withholding of common stock under employee stock plans | 46.5 | 65.7 | 95.9 |
| Excess tax benefits from share-based compensation | — | 53.5 | 95.8 |
| Net cash provided by (used in) financing activities | 426.9 | 798.6 | 3,093.3 |
| Effect of foreign exchange rates on cash and cash equivalents | 4.3 | 4.1 | 5.3 |
| Change in cash and cash equivalents | 466.4 | 1,961.8 | 38.2 |
| Cash and cash equivalents at beginning of year | 4,075.3 | 2,113.5 | 2,151.7 |
| Cash and cash equivalents at end of year | 3,608.9 | 4,075.3 | 2,113.5 |
The information presented above should be read in conjunction with the audited financial statements and accompanying notes included in Anthem's 2017 Annual Report on Form 10-K.