Annual report pursuant to Section 13 and 15(d)

CONSOLIDATED STATEMENTS OF CASH FLOWS

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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Operating activities      
Net income $ 193,848 [1] $ 215,305 $ 266,019
Adjustments to reconcile net income to cash provided by operating activities:      
Depreciation 256,118 257,826 235,093
Amortization of intangible and other assets and favorable/unfavorable leases 5,037 3,336 2,420
Amortization of long-term prepaid rents [2]   2,382 2,274
Amortization of debt issue costs 5,311 5,561 6,197
Amortization of deferred revenues, deferred lease incentives and other (13,665) (21,706) (16,211)
Impairment of long-lived assets 57,001 32,372 15,084
Share based awards compensation expense 14,615 14,336 12,681
Loss on disposal of assets and other 12,008 38,702 22,812
Loss on debt amendments and refinancing   1,484 521
Non-cash rent expense [3] (4,360)    
Deferred lease expenses [2]   (1,320) (1,268)
Reclassification of cumulative translation adjustments   518 (1,551)
Equity in income of affiliates (41,870) (39,242) (35,985)
Deferred income tax expenses (1,843) 23,187 (15,015)
Distributions from equity investees 53,366 30,143 25,973
Changes in other assets and liabilities:      
Inventories (2,367) (1,813) (541)
Accounts receivable 11,326 (4,584) (13,195)
Income tax receivable (794) 8,442 (4,363)
Prepaid expenses and other (24,013) 1,419 (775)
Deferred charges and other assets - net (8,495) (6,303) (4,956)
Accounts payable and accrued expenses 36,106 (11,408) 23,405
Income tax payable (6,984) 6,670 438
Liabilities for uncertain tax positions 341 (10,066) 2,041
Other long-term liabilities 21,309 11,674 7,900
Net cash provided by operating activities 561,995 556,915 528,998
Investing activities      
Additions to theatre properties and equipment and other (303,627) (346,073) (380,862)
Proceeds from sale of theatre properties and equipment and other 3,155 3,920 15,098
Acquisitions of theatres in the U.S. and international markets, net of cash acquired (10,170) (11,289) (40,997)
Investment in joint ventures and other, net   (19,535) (3,715)
Net cash used for investing activities (310,642) (451,370) (410,476)
Financing activities      
Dividends paid to stockholders (159,281) (149,492) (135,079)
Payroll taxes paid as a result of restricted stock withholdings (2,308) (2,905) (2,943)
Repayments of long-term debt (7,984) (7,984) (5,671)
Payment of debt issue costs   (5,218) (1,146)
Fees paid related to debt amendments   (704) (521)
Payments on capital and finance leases (14,600) (25,353) (21,725)
Proceeds from financing lease     10,200
Other (2,333) (992) (1,123)
Net cash used for financing activities (186,506) (192,648) (158,008)
Effect of exchange rate changes on cash and cash equivalents (2,756) (9,222) 798
Increase (decrease) in cash and cash equivalents 62,091 (96,325) (38,688)
Cash and cash equivalents:      
Beginning of period 426,222 522,547 561,235
End of period $ 488,313 426,222 $ 522,547
NCM      
Investing activities      
Acquisition of NCM common units   $ (78,393)  
[1] See Note 3 for discussion of the impact of ASC 842 that was effective January 1, 2019.
[2] Amounts for the year ended December 31, 2019 were impacted by the adoption of ASC Topic 842 and the resulting change in the classification of certain of the Company’s leases.  See Note 3 for further discussion.
[3] The adoption of ASC Topic 842 impacted how the Company amortizes lease related assets and liabilities such as deferred lease expenses, favorable and unfavorable lease intangible assets, long-term prepaid rents and deferred lease incentives.  Beginning January 1, 2019, these items are amortized to facility lease expense for theatre operating leases and utilities and other for equipment operating leases.  See Note 3 for discussion of the impact of ASC Topic 842.