|
Under UK GAAP, the Consolidated
Statements of Cash Flows are presented in accordance with
UK Financial Reporting Standard No. 1 (FRS 1). The statements
prepared under FRS 1 present substantially the same information
as that required under SFAS No. 95.
Under SFAS No. 95 cash and cash equivalents include cash
and short-term investments with maturities of three months
or less at the date of purchase. Under FRS 1 cash comprises
cash in hand and at bank and overnight deposits, net of
bank overdrafts.
Under FRS 1, cash flows are presented for operating activities;
returns on investments and servicing of finance; taxation;
capital expenditure and financial investments; acquisitions
and disposals; dividends paid to the company’s shareholders;
management of liquid resources and financing. SFAS No.
95 requires a classification of cash flows as resulting
from operating, investing and financing activities.
Cash flows under FRS 1 in respect of interest received,
interest paid (net of that capitalised under US GAAP)
and taxation would be included within operating activities
under SFAS No. 95. Cash flows from purchases, sales and
maturities of trading securities, while not separately
identified under UK GAAP, would be included within operating
activities under US GAAP. Capitalised interest, while
not recognised under UK GAAP, is included in investing
activities under US GAAP. Dividends paid are included
within financing activities under US GAAP.
The following statements summarise the statements of cash
flows as if they had been presented in accordance with
US GAAP, and include the adjustments which reconcile cash
and cash equivalents under US GAAP to cash at bank and
in hand reported under UK GAAP.
|
2003 |
|
2002 |
|
2001 |
|
|
£m |
|
£m |
|
£m |
|
|
| Net
cash provided by operating activities |
3,395 |
|
1,455 |
|
5,515 |
|
| Net
cash provided by (used in) investing activities |
1,253 |
|
3,049 |
|
(22,785 |
) |
| Net
cash (used in) provided by financing activities |
(2,852 |
) |
(5,611 |
) |
18,311 |
|
|
| Net
increase (decrease) in cash and cash equivalents |
1,796 |
|
(1,107 |
) |
1,041 |
|
| Effect
of exchange rate changes on cash |
13 |
|
(50 |
) |
(15 |
) |
| Cash
and cash equivalents under US GAAP at beginning
of year |
1,124 |
|
2,281 |
|
1,255 |
|
|
| Cash
and cash equivalents under US GAAP at end of year |
2,933 |
|
1,124 |
|
2,281 |
|
| Short-term
investments with original maturities of less than
three months |
(2,842 |
) |
(966 |
) |
(1,869 |
) |
|
| Cash
at bank and in hand under UK GAAP at end of year |
91 |
|
158 |
|
412 |
|
|
|
