| 38. | Statements of Cash Flows |
| (1) | Adjustments for income and expenses from operating activities for the years ended December 31, 2017, 2016 and 2015 are as follows: |
| (In millions of won) | ||||||||||||
| 2017 | 2016 | 2015 | ||||||||||
|
Interest income |
￦ | (76,045 | ) | (54,353 | ) | (45,884 | ) | |||||
|
Dividend |
(12,416 | ) | (19,161 | ) | (16,102 | ) | ||||||
|
Gain on foreign currency translation |
(7,110 | ) | (5,085 | ) | (5,090 | ) | ||||||
|
Gain on disposal of long-term investment securities |
(4,890 | ) | (459,349 | ) | (10,786 | ) | ||||||
|
Gain on valuation of derivatives |
(223,943 | ) | (4,132 | ) | (1,927 | ) | ||||||
|
Gain relating to investments in associates and joint ventures, net |
(2,245,732 | ) | (544,501 | ) | (786,140 | ) | ||||||
|
Gain on sale of accounts receivable — trade |
(18,548 | ) | (18,638 | ) | — | |||||||
|
Gain on disposal of property and equipment and intangible assets |
(13,991 | ) | (6,908 | ) | (7,140 | ) | ||||||
|
Gain relating to financial assets at fair value through profit or loss |
(33 | ) | (25 | ) | — | |||||||
|
Gain related to financial liabilities at fair value through profit or loss |
— | (121 | ) | (5,188 | ) | |||||||
|
Reversal of impairment loss on available-for-sale financial assets |
(9,900 | ) | — | — | ||||||||
|
Other income |
(1,129 | ) | (2,123 | ) | (7,577 | ) | ||||||
|
Interest expenses |
299,100 | 290,454 | 297,662 | |||||||||
|
Loss on foreign currency translation |
8,419 | 3,991 | 4,750 | |||||||||
|
Loss on disposal of long-term investment securities |
36,024 | 2,919 | 2,599 | |||||||||
|
Other finance costs |
14,519 | 5,255 | 21,787 | |||||||||
|
Loss on sale of accounts receivable — trade |
9,682 | — | — | |||||||||
|
Loss on settlement of derivatives |
10,031 | 3,428 | 4,845 | |||||||||
|
Income tax expense |
745,654 | 436,038 | 519,480 | |||||||||
|
Expense related to defined benefit plan |
127,696 | 118,143 | 110,021 | |||||||||
|
Share option |
414 | — | — | |||||||||
|
Depreciation and amortization |
3,247,519 | 3,068,558 | 2,993,486 | |||||||||
|
Bad debt expense |
34,584 | 37,820 | 60,450 | |||||||||
|
Loss on disposal of property and equipment and intangible assets |
60,086 | 63,797 | 21,392 | |||||||||
|
Impairment loss on property and equipment and intangible assets |
54,946 | 24,506 | 35,845 | |||||||||
|
Loss relating to financial liabilities at fair value through profit or loss |
678 | 4,018 | 526 | |||||||||
|
Bad debt for accounts receivable — other |
5,793 | 40,312 | 15,323 | |||||||||
|
Loss on impairment of investment assets |
9,003 | 24,033 | 42,966 | |||||||||
|
Other expenses |
46,353 | 30,685 | 4,845 | |||||||||
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| ￦ | 2,096,764 | 3,039,561 | 3,250,143 | |||||||||
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| (2) | Changes in assets and liabilities from operating activities for the years ended December 31, 2017, 2016 and 2015 are as follows: |
| (In millions of won) | ||||||||||||
| 2017 | 2016 | 2015 | ||||||||||
|
Accounts receivable — trade |
￦ | 46,144 | 88,549 | 7,554 | ||||||||
|
Accounts receivable — other |
(159,960 | ) | (446,286 | ) | (11,108 | ) | ||||||
|
Accrued income |
14 | 445 | 116 | |||||||||
|
Advance payments |
(1,269 | ) | 47,615 | (35,906 | ) | |||||||
|
Prepaid expenses |
(28,362 | ) | (30,311 | ) | (40,464 | ) | ||||||
|
Value-Added Tax refundable |
(3,080 | ) | (4,587 | ) | 1,385 | |||||||
|
Inventories |
(17,958 | ) | 798 | (7,814 | ) | |||||||
|
Long-term accounts receivable — other |
(137,979 | ) | (147,117 | ) | — | |||||||
|
Guarantee deposits |
14,696 | 4,844 | (11,238 | ) | ||||||||
|
Accounts payable — trade |
(26,151 | ) | 75,585 | 12,442 | ||||||||
|
Accounts payable — other |
134,542 | 316,464 | (107,114 | ) | ||||||||
|
Advanced receipts |
(13,470 | ) | 37,429 | 6,421 | ||||||||
|
Withholdings |
(13,041 | ) | 107,516 | (191,209 | ) | |||||||
|
Deposits received |
(4,916 | ) | (2,153 | ) | (9,661 | ) | ||||||
|
Accrued expenses |
116,065 | 173,072 | (28,845 | ) | ||||||||
|
Value-Added Tax payable |
7,505 | (4,072 | ) | 3,494 | ||||||||
|
Unearned revenue |
(339 | ) | (36,209 | ) | (115,187 | ) | ||||||
|
Provisions |
(20,488 | ) | 20,235 | (30,562 | ) | |||||||
|
Long-term provisions |
(2,449 | ) | 4,115 | (4,447 | ) | |||||||
|
Plan assets |
(95,828 | ) | (125,440 | ) | (67,831 | ) | ||||||
|
Retirement benefit payment |
(60,883 | ) | (55,350 | ) | (58,513 | ) | ||||||
|
Others |
5,739 | (11,378 | ) | 2,753 | ||||||||
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| ￦(261,468) | 13,764 | (685,734 | ) | |||||||||
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| (3) | Significant non-cash transactions for the years ended December 31, 2017, 2016 and 2015 are as follows: |
| (In millions of won) | ||||||||||||
| 2017 | 2016 | 2015 | ||||||||||
|
Increase of accounts payable — other related to acquisition of property and equipment and intangible assets |
￦ | 44,214 | 1,511,913 | 39,973 | ||||||||
| (4) | Reconciliation of liabilities arising from financing activities for the year ended December 31, 2017 is as follows: |
| (In millions of won) | ||||||||||||||||||||||||
| January 1, 2017 |
Cash flows |
Non-cash transactions | December 31, 2017 |
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| Exchange rate changes |
Fair value changes |
Other changes |
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Total liabilities from financing |
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|
Short-term borrowings |
￦ | 2,614 | 127,386 | — | — | — | 130,000 | |||||||||||||||||
|
Long-term borrowings |
172,906 | 87,299 | (7,898 | ) | — | 510 | 252,817 | |||||||||||||||||
|
Debentures |
7,194,207 | 130,558 | (245,456 | ) | — | 6,878 | 7,086,187 | |||||||||||||||||
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Long-term payables — other |
1,918,024 | (305,476 | ) | — | — | 28,533 | 1,641,081 | |||||||||||||||||
|
Derivative financial liabilities |
87,153 | (105,269 | ) | 13,281 | 39,267 | 5,038 | 39,470 | |||||||||||||||||
|
Derivative financial assets |
(214,770 | ) | 188 | 922 | (40,235 | ) | 682 | (253,213 | ) | |||||||||||||||
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| ￦ | 9,160,134 | (65,314 | ) | (239,151 | ) | (968 | ) | 41,641 | 8,896,342 | |||||||||||||||
|
Other cash flows from financing |
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Payments of cash dividends |
￦ | (706,091 | ) | |||||||||||||||||||||
|
Payments of interest on hybrid bond |
(16,840 | ) | ||||||||||||||||||||||
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Transactions with non-controlling interests |
|
(38,373 | ) | |||||||||||||||||||||
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| (761,304 | ) | |||||||||||||||||||||||
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Total |
￦ | (826,618 | ) | |||||||||||||||||||||
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