Table of Contents Arconic and subsidiaries Statement of Consolidated Cash Flows (in millions) For the year ended December 31, 2019 2018 2017 Operating activities Net income (loss) $ 470 $ 642 $ (74) Adjustments to reconcile net income (loss) to cash provided from (used for) operations: Depreciation and amortization 536 576 551 Deferred income taxes (19 ) 31 434 Impairment of goodwill ( A  and  N ) — — 719 Restructuring and other charges 620 9 165 Net loss (gain) from investing activities - asset sales 7 10 (513) Net periodic pension benefit cost ( F ) 115 130 217 Stock-based compensation 60 50 67 Other 13 75 112 Changes in assets and liabilities, excluding effects of acquisitions, divestitures, and foreign currency translation adjustments: (Increase) in receivables (977 ) (1,142 ) (915 ) (Increase) in inventories (3) (74) (192) Decrease (increase) in prepaid expenses and other current assets 4 (1 ) 11 (Decrease) increase in accounts payable, trade (56) 339 62 (Decrease) in accrued expenses (42 ) (190 ) (116 ) (Decrease) increase in taxes, including income taxes (2) 104 (23) Pension contributions (268 ) (298 ) (310 ) (Increase) in noncurrent assets (7) (20) (41) (Decrease) in noncurrent liabilities (45 ) (24 ) (193 ) Cash provided from (used for) operations 406 217 (39) Financing Activities Net change in short-term borrowings (original maturities of three months or less) 2 (7) (2) Additions to debt (original maturities greater than three months) ( P ) 400 600 816 Payments on debt (original maturities greater than three months) ( P ) (806) (1,103) (1,634) Premiums paid on early redemption of debt ( P ) — (17 ) (52 ) Proceeds from exercise of employee stock options 56 16 50 Dividends paid to shareholders (57 ) (119 ) (162 ) Distributions to noncontrolling interests — — (14) Repurchase of common stock ( H ) (1,150 ) — — Other (13) (19) (17) Cash used for financing activities (1,568 ) (649 ) (1,015 ) Investing Activities Capital expenditures (586 ) (768 ) (596 ) Proceeds from the sale of assets and businesses ( S ) 103 309 (9) Sales of investments ( U ) 73 9 890 Cash receipts from sold receivables ( K ) 995 1,016 792 Other ( U ) (2 ) (1 ) 243 Cash provided from investing activities 583 565 1,320 Effect of exchange rate changes on cash, cash equivalents and restricted cash — (4 ) 9 Net change in cash, cash equivalents and restricted cash (579) 129 275 Cash, cash equivalents and restricted cash at beginning of year 2,282 2,153 1,878 Cash, cash equivalents and restricted cash at end of year $ 1,703 $ 2,282 $ 2,153 The accompanying notes are an integral part of the consolidated financial statements. 60