DCP MIDSTREAM PARTNERS, LP
CONSOLIDATED STATEMENTS OF CASH FLOWS
Year Ended December 31,
2011
2010 2009
(Millions)
OPERATING ACTIVITIES:
Net income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 119.2 $ 71.6 $ (2.4)
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
81.0 73.7 64.9
Earnings from unconsolidated affiliates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(36.9) (38.2) (26.9)
Distributions from unconsolidated affiliates . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
46.2 28.9 29.6
Step acquisition – equity interest re-measurement gain . . . . . . . . . . . . . . . . . . . . . —
(9.1) —
Net unrealized (gains) losses on derivative instruments . . . . . . . . . . . . . . . . . . . . .
(20.5) 4.0 83.8
Deferred income taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(29.2)
(0.1) 0.1
Other, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.4 0.1
(0.5)
Change in operating assets and liabilities which (used) provided cash, net of
effects of acquisitions:
Accounts receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(10.7) 5.8 (36.6)
Inventories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(0.6)
(8.7) (13.3)
Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
46.3 5.7 21.5
Accrued interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 1.8
(0.6)
Other current assets and liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7.5 2.6
(3.2)
Other long-term assets and liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2.6) 1.6 0.9
Net cash provided by operating activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204.1 139.7 117.3
INVESTING ACTIVITIES:
Capital expenditures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(104.2) (50.7) (164.8)
Acquisitions, net of cash acquired . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(60.5) (203.3) (44.5)
Acquisition of unconsolidated affiliates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(114.3) — —
Investments in unconsolidated affiliates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(15.1) (28.6)
(7.0)
Return of investment from unconsolidated affiliates . . . . . . . . . . . . . . . . . . . . . . . . .
14.9 1.2 2.2
Proceeds from sales of assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.2 3.4 0.3
Purchases of available-for-sale securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — —
(1.1)
Proceeds from sales of available-for-sale securities . . . . . . . . . . . . . . . . . . . . . . . . . . — 10.1 51.1
Net cash used in investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(274.0) (267.9) (163.8)
FINANCING ACTIVITIES:
Proceeds from debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,524.0 868.2 237.0
Payments of debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,425.0) (833.4) (280.5)
Payment of deferred financing costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4.2)
(2.1) —
Proceeds from issuance of common units, net of offering costs . . . . . . . . . . . . . . . . 169.7 189.3 69.5
Excess purchase price over acquired assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(35.7) — —
Net change in advances to predecessor from DCP Midstream, LLC . . . . . . . . . . . . . — 27.4
(6.4)
Distributions to unitholders and general partner . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(132.4) (101.9) (85.3)
Distributions to noncontrolling interests . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(44.8) (25.6) (27.0)
Contributions from noncontrolling interests . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18.3 13.8 78.7
Contributions from DCP Midstream, LLC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 0.6 0.7
Purchase of additional interest in a subsidiary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —
(3.5) —
Net cash provided by (used in) financing activities . . . . . . . . . . . . . . . . . . . .
69.9 132.8 (13.3)
Net change in cash and cash equivalents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 4.6 (59.8)
Cash and cash equivalents, beginning of period . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6.7 2.1 61.9
Cash and cash equivalents, end of period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6.7 $ 6.7 $ 2.1
See accompanying notes to consolidated financial statements.
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