Consolidated Statements of Cash Flows

For the years ended December 31, 2016, 2015 and 2014
Amounts expressed in millions of U.S. dollars ( $ ) and in millions of Mexican pesos ( Ps.)

    2016 (*)   2016
2015   2014
Cash flows from operating activities:                
Income before income taxes $ 701 Ps. 14,455 Ps. 14,880 Ps. 14,827
Adjustments for:                
Non-cash operating expenses   113   2,329   1,435   438
Depreciation   368   7,579   6,310   6,072
Amortization   53   1,087   834   877
(Loss) Gain on disposal of long-lived assets   (1)   (22)   (217)   33
Write-off of long-lived assets   2   40   332   39
Share of the (profit) loss of associates and joint ventures
accounted for using the equity method, net of taxes		   (7)   (147)   (155)   125
Interest income   (35)   (715)   (414)   (379)
Interest expense   213   4,388   3,718   3,352
Foreign exchange loss, net   87   1,792   1,459   968
Non-cash movements in post-employment and
other non-current employee benefits obligations		   28   580   68   (27)
Monetary position (gain) loss, net   (117)   (2,417)   33   312
Market value loss on financial instruments   137   2,817   3,096   2,460
(Increase) decrease:                
Accounts receivable and other current assets   (132)   (2,727)   (1,010)   (777)
Other current financial assets   (172)   (3,552)   (2,849)   (2,156)
Inventories   (104)   (2,142)   (1,784)   (588)
Increase (decrease):                
Suppliers and other accounts payable   543   11,199   3,329   4,978
Other liabilities   45   931   249   (1,442)
Employee benefits paid   (13)   (258)   (193)   (235)
Income taxes paid   (135)   (2,771)   (5,919)   (4,471)
Net cash flows from operating activities   1,574   32,446   23,202   24,406
Investing activities:                
Partial payment of Vonpar, net of cash acquired (see Note 4)   (640)   (13,198)   -   -
Interest received   35   715   414   379
Acquisitions of long-lived assets   (500)   (10,308)   (10,545)   (10,862)
Proceeds from the sale of long-lived assets   15   324   233   147
Acquisition of intangible assets   (116)   (2,385)   (956)   (634)
Other non-current assets   -   -   (72)   (257)
Dividends received from investments in associates
and joint ventures (Note 9)		   -   5   13   148
Investment in shares   (99)   (2,068)   (32)   (58)
Net cash flows used in investing activities   (1,305)   (26,915)   (10,945)   (11,137)
Financing activities:                
Proceeds from borrowings   390   8,040   1,907   6,180
Repayment of borrowings   (240)   (4,948)   (9,076)   (6,490)
Interest paid   (200)   (4,122)   (3,568)   (3,182)
Dividends paid   (340)   (7,013)   (6,416)   (6,030)
Other financing activities   (122)   (2,517)   8,586   (1,828)
Increase in non-controlling interest   40   826   -   -
Net cash flows (used in) / from financing activities   (472)   (9,734)   (8,567)   (11,350)
Net increase (decrease) in cash and cash equivalents   (203)   (4,203)   3,690   1,919
Initial balance of cash and cash equivalents   776   15,989   12,958   15,306
Effects of exchange rate changes and inflation effects on
cash and cash equivalents held in foreign currencies		   (65)   (1,310)   (659)   (4,267)
Ending balance of cash and cash equivalents $ 508 Ps. 10,476 Ps. 15,989 Ps. 12,958

(*) Convenience translation to U.S. dollars ($) – See Note 2.2.3
The accompanying notes are an integral part of these consolidated statements of cash flow.