continuing

discontinued

total

continuing

discontinued

total

A. Reconciliation of operating profit to net cash inflow from operating activities

Operating profit – total

229

21

250

295

33

328

Share of profit of partnerships

and other associates

(53)

2

(51)

(43)

(4)

(47)

Depreciation charges

54

12

66

49

16

65

Goodwill amortisation

12

–

12

–

–

–

Decrease/(increase) in stocks

43

1

44

7

(2)

5

(Increase)/decrease in debtors

(67)

5

(62)

(131)

(8)

(139)

Increase/(decrease) in creditors

113

–

113

(8)

4

(4)

Increase/(decrease) in operating provisions

2

–

2

(3)

(1)

(4)

Other and non-cash items

28

–

28

(1)

1

–

Net cash inflow from operating activities*

361

41

402

165

39

204

Purchase of fixed assets and

finance leases

(113)

(13)

(126)

(93)

(18)

(111)

Sale of operating tangible

fixed assets

12

1

13

14

–

14

Dividends from partnerships and

other associates

53

–

53

40

–

40

Other

25

2

27

10

2

12

Operating cash flow

338

31

369

136

23

159

cash

over-drafts

sub-total

short term
deposits

within
one
year

debt due
after one
year

debt due
finance
leases

total

B. Analysis of net debt

At 31 December 1997

144

(23)

121

71

(290)

(609)

(1)

(708)

Exchange differences

(30)

1

(29)

14

–

10

–

(5)

Acquired with subsidiary*

–

–

–

–

–

–

(19)

(19)

Disposed with subsidiary*

–

–

–

–

5

1

–

6

Debt issue costs

–

–

–

–

–

21

–

21

Other non-cash items

–

–

–

–

–

(1)

–

(1)

Net cash flow

191

(45)

146

(45)

280

(1,974)

1

(1,592)

At 31 December 1998

305

(67)

238

40

(5)

(2,552)

(19)

(2,298)

At 31 December 1996

139

(69)

70

160

(105)

(555)

(2)

(432)

Exchange differences

(8)

(11)

(19)

–

–

(3)

–

(22)

Acquired with subsidiary*

–

–

–

–

(54)

(66)

–

(120)

Transfers

–

–

–

–

(8)

8

–

–

Net cash flow

13

57

70

(89)

(123)

7

1

(134)

At 31 December 1997

144

(23)

121

71

(290)

(609)

(1)

(708)

C. Reconciliation of net cash flow to movement in net debt

Decrease in net debt from net cash flow

146

70

(Increase) in net debt from management of liquid resources

(45)

(89)

(Increase) in net debt from other borrowings

(1,694)

(116)

Decrease in finance leases

1

1

Acquired with subsidiary

(19)

(120)

Disposed with subsidiary

6

–

Debt issue costs

21

–

Other non cash items

(1)

–

Exchange differences

(5)

(22)

Movement in net debt in the year

(1,590)

(276)

Net debt at beginning of year

(708)

(432)

Net debt at end of year

(2,298)

(708)