Taiwan Semiconductor Manufacturing Company Limited
STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2012 AND 2011
(In Thousands of New Taiwan Dollars)
| 2012 | 2011 | ||
|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | |||
| Net income | $166,158,802 | $134,201,279 | |
| Adjustments to reconcile net income to net cash provided by | |||
| operating activities: | |||
| Depreciation and amortization | 124,399,879 | 102,925,423 | |
| Unrealized (realized) gross profit from affiliates | 25,029 | (398,440) | |
| Amortization of premium/discount of financial assets | 2,281 | 9,860 | |
| Gain on disposal of available-for-sale financial assets | (110,634) | (35,151) | |
| Equity in earnings of equity method investees, net | (8,127,748) | (3,778,083) | |
| Cash dividends received from equity method investees | 1,688,878 | 2,941,548 | |
| Loss on disposal of property, plant and equipment and other assets, net | 125,488 | 99,884 | |
| Impairment loss of financial assets | 2,677,529 | - | |
| Impairment loss on idle assets | 418,330 | - | |
| Deferred income tax | 2,618,657 | (493,026) | |
| Changes in operating assets and liabilities: | |||
| Financial assets and liabilities at fair value through profit or loss | (17,625) | (22,759) | |
| Receivables from related parties | (16,209,910) | 956,440 | |
| Notes and accounts receivable | 4,167,955 | 2,356,519 | |
| Allowance for doubtful receivables | (11,083) | (2,880) | |
| Allowance for sales returns and others | 844,859 | (2,453,565) | |
| Other receivables from related parties | (89,347) | (38,049) | |
| Other financial assets | (53,251) | 138,196 | |
| Inventories | (12,442,994) | 2,775,646 | |
| Prepaid expenses and other current assets | (371,593) | (382,852) | |
| Accounts payable | 1,361,012 | (1,805,422) | |
| Payables to related parties | (67,770) | 418,132 | |
| Income tax payable | 4,548,602 | 3,538,928 | |
| Accrued profit sharing to employees and bonus to directors | 2,130,887 | (1,903,765) | |
| Accrued expenses and other current liabilities | 3,556,824 | (410,047) | |
| Accrued pension cost | 65,378 |
96,880 |
|
| Net cash provided by operating activities | 277,288,704 |
238,734,696 |
|
| CASH FLOWS FROM INVESTING ACTIVITIES | |||
| Cash contributed related to spin-off | - | (1,270,340) | |
| Acquisitions of: | |||
| Property, plant and equipment | (242,063,668) | (202,757,541) | |
| Investments accounted for using equity method | (2,259,244) | (7,390,883) | |
| Financial assets carried at cost | (1,093) | - | |
| Proceeds from return of capital by investees | 587,902 | 320,013 | |
| Proceeds from disposal or redemption of: | |||
| Available-for-sale financial assets | 612,834 | 1,035,151 | |
| Held-to-maturity financial assets | 700,000 | 4,789,000 | |
| Financial assets carried at cost | 14,900 | - | |
| Property, plant and equipment and other assets | 93,984 | 4,650,078 | |
| Increase in deferred charges | (1,743,043) | (1,658,296) | |
| Decrease in refundable deposits | 2,096,909 | 4,147,014 | |
| Decrease in other assets | 17,600 |
27,600 |
|
| Net cash used in investing activities | (241,942,919) |
(198,108,204) |
|
| CASH FLOWS FROM FINANCING ACTIVITIES | |||
| Increase (decrease) in short-term loans | 8,788,401 | (4,982,109) | |
| Cash dividends | (77,748,668) | (77,730,236) | |
| Proceeds from issuance of bonds | 62,000,000 | 18,000,000 | |
| Repayment of bonds | (4,500,000) | - | |
| Decrease in guarantee deposits | (239,717) | (308,855) | |
| Proceeds from exercise of employee stock options | 242,488 | 217,697 | |
| Acquisition of treasury stock | - |
(71,598) |
|
| Net cash used in financing activities | (11,457,496) |
(64,875,101) |
|
| NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 23,888,289 | (24,248,609) | |
| CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 85,262,521 |
109,511,130 |
|
| CASH AND CASH EQUIVALENTS, END OF YEAR | $109,150,810 |
$85,262,521 |
|
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | |||
| Interest paid | $109,150,810 |
$85,262,521 |
|
| Income tax paid | $109,150,810 |
$85,262,521 |
|
| INVESTING ACTIVITIES AFFECTING BOTH CASH AND NON-CASH ITEMS | |||
| Acquisition of property, plant and equipment | $255,108,068 | $195,932,728 | |
| Decrease (increase) in payables to contractors and equipment suppliers |
(12,764,075) |
6,827,106 |
|
| Increase in payables to related parties | (280,256) | - | |
| Nonmonetary exchange trade-out price | (69) |
(2,293) |
|
| Cash paid | $242,063,668 |
$202,757,541 |
|
| Disposal of property, plant and equipment and other assets | $91,641 | $3,370,165 | |
| Decrease in other receivables to related parties | 2,412 | 1,124,206 | |
| Decrease in other financial assets | - | 158,000 | |
| Nonmonetary exchange trade-out price | (69) |
(2,293) |
|
| Cash received | $93,984 |
$4,650,078 |
|
| Acquisition of deferred charges | $2,184,901 | $1,658,296 | |
| Increase in accounts payable | (303,584) | - | |
| Increase in payables to related parties | (25,274) | - | |
| Increase in other long-term payables | (113,000) |
- |
|
| Cash paid | $1,743,043 |
$1,658,296 |
|
| NON-CASH INVESTING AND FINANCING ACTIVITIES | |||
| Idle assets reclassified from property, plant and equipment | $418,330 |
$- |
|
| Current portion of other long-term payables
(under accrued expenses and other current liabilities) |
$59,000 |
$- |
|
| Current portion of bonds payable | $- |
$4,500,000 |
|
|
SUPPLEMENTAL INFORMATION FOR SPIN-OFF BUSINESSES In August 2011, the Company transferred the solid state lighting and solar businesses into its wholly-owned, newly incorporated subsidiaries, TSMC Solid State Lighting Ltd. (TSMC SSL) and TSMC Solar Ltd. (TSMC Solar), respectively. The relevant information about spin-off was as follows: |
|||
| TSMC SSL | TSMC Solar | Total | |
| Acquired investments accounted for using equity method | $2,270,000 |
$11,180,000 |
$13,450,000 |
| Non-cash items transferred | |||
| Current assets | 36,050 | 18,807 | 54,857 |
| Long-term investments | 2,872 | 7,912,710 | 7,915,582 |
| Property, plant and equipment | 1,929,563 | 2,372,214 | 4,301,777 |
| Other assets | 234,696 | 201,677 | 436,373 |
| Current liabilities | (292,728) | (337,439) | (630,167) |
| Other liabilities | (36,272) | (25,218) | (61,490) |
| Capital surplus | - | (56,094) | (56,094) |
| Unrealized gain/loss on financial instruments | - | (3,298) | (3,298) |
| Cumulative translation adjustments | 256 |
221,864 |
222,120 |
(1,874,437) |
(10,305,223) |
(12,179,660) |
|
| Cash contributed related to spin-off | $395,563 |
$874,777 |
$1,270,340 |