Condensed Consolidated Statement of Cash Flows Hewlett-Packard Company and Subsidiaries See accompanying Notes to Condensed Consolidated Financial Statements. 49 For the years ended October 31 In millions  2000 1999 1998 Cash flows from operating activities: Net earnings from continuing operations $ 3,561 $ 3,104 $ 2,678 Adjustments to reconcile net earnings from continuing operations to net cash provided by operating activities: Depreciation and amortization 1,368 1,316 1,377 Gains from divestitures (212) – (27) Deferred taxes on earnings (689) (171) (1,101) Tax benefit on employee stock options 495 289 157 Changes in assets and liabilities: Accounts and financing receivables (1,312) (1,637) (1,100) Inventory (845) (171) 630 Accounts payable 1,544 751 61  Taxes on earnings 175 (639) 1,200 Other current assets and liabilities (282) 330 731 Other, net (343) (76) 154 Net cash provided by operating activities 3,460 3,096 4,760 Cash flows from investing activities: Investment in property, plant and equipment (1,737) (1,134) (1,584) Disposition of property, plant and equipment 420 542 260 Purchases of investments (1,131) (1,015) (4,059) Maturities and sales of investments 1,004 1,063 4,834 Net proceeds from divestitures 448 35 89 Other, net (130) (119) (148) Net cash used in investing activities (1,126) (628) (608) Cash flows from financing activities: (Decrease) increase in notes payable  and short-term borrowings (1,297) 2,399 (734) Issuance of long-term debt Payment of long-term debt (474) (1,047) (573) Issuance of common stock under employee stock plans 748 660 467 Repurchase of common stock (5,570) (2,643) (2,424) Dividends (638) (650) (625) Net cash used in financing activities (5,295) (1,041) (3,666) Net cash provided by (used in) discontinued operations 965 (62) 488 (Decrease) increase in cash and cash equivalents (1,996) 1,365 974 Cash and cash equivalents at beginning Cash and cash equivalents at end of period $ 3,415 $ 5,411 $ 4,046