CONSTELLATION BRANDS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) Table of Contents For the Years Ended February 28,  2019 February 28,  2018 February 28,  2017 Cash flows from operating activities: Net income $ 3,459.1 $ 2,315.3 $ 1,532.7 Adjustments to reconcile net income to net cash provided by operating activities: Unrealized net gain on securities measured at fair value (1,971.2 ) (464.3 ) — Net gain on sale of unconsolidated investment (99.8) — — Net income tax benefit related to the Tax Cuts and Jobs Act (37.6 ) (351.2 ) — Deferred tax provision 426.9 113.8 124.8 Depreciation 333.1 293.8 237.5 Impairment and amortization of intangible assets 114.0 92.7 56.4 Stock-based compensation 64.1 60.9 56.1 Amortization of debt issuance costs and loss on extinguishment of debt 29.4 108.7 12.7 Gain on sale of business — — (262.4 ) Loss on contract termination — 59.0 — Change in operating assets and liabilities, net of effects from purchases of businesses: Accounts receivable (71.9) (34.1) (49.4) Inventories (61.9 ) (123.8 ) (151.0 ) Prepaid expenses and other current assets (103.0) (111.5) (71.6) Accounts payable 21.4 12.8 115.9 Other accrued expenses and liabilities (22.1) (66.8) 132.6 Other 165.8 26.1 (38.3 ) Total adjustments (1,212.8) (383.9) 163.3 Net cash provided by operating activities 2,246.3 1,931.4 1,696.0 Cash flows from investing activities: Investments in equity method investees and securities (4,081.5) (210.9) (17.1) Purchases of property, plant and equipment (886.3 ) (1,057.6 ) (907.4 ) Purchases of businesses, net of cash acquired (45.6) (150.1) (1,111.0) Proceeds from sale of unconsolidated investment 110.2 — — Proceeds from sales of assets 72.3 5.9 2.1 Proceeds from (payments related to) sale of business — (5.0 ) 575.3 Other investing activities (0.9) (5.4) (3.7) Net cash used in investing activities (4,831.8 ) (1,423.1 ) (1,461.8 ) Cash flows from financing activities: Proceeds from issuance of long-term debt 3,657.6 7,933.4 1,965.6 Proceeds from shares issued under equity compensation plans 63.2 49.4 59.7 Net proceeds from short-term borrowings 45.5 137.2 197.1 Dividends paid (557.7 ) (400.1 ) (315.1 ) Purchases of treasury stock (504.3) (1,038.5) (1,122.7) Principal payments of long-term debt (62.8 ) (7,128.7 ) (971.8 ) Payments of debt issuance, debt extinguishment and other financing costs (34.6) (122.2) (14.1) Payments of minimum tax withholdings on stock-based payment awards (13.6 ) (31.7 ) (64.9 ) Excess tax benefits from stock-based payment awards — — 131.4 Net cash provided by (used in) financing activities 2,593.3 (601.2 ) (134.8 ) Effect of exchange rate changes on cash and cash equivalents (4.5 ) 5.8 (5.1 ) Net increase (decrease) in cash and cash equivalents 3.3 (87.1 ) 94.3 Cash and cash equivalents, beginning of year 90.3 177.4 83.1 Cash and cash equivalents, end of year $ 93.6 $ 90.3 $ 177.4 59