BROADCOM INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED

(IN MILLIONS)

 Fiscal Quarter Ended 

Fiscal Year Ended

November 4, 

August 5,

October 29,

November 4, 

October 29,

2018

2018

2017

2018

2017

Cash flows from operating activities:

Net income

$              1,115

$              1,196

$                 561

$            12,610

$              1,784

Adjustments to reconcile net income to net cash
provided by operating activities:

Amortization of intangible assets

836

836

1,102

3,566

4,286

Depreciation

132

129

117

515

451

Stock-based compensation

317

315

252

1,227

921

Deferred taxes and other non-cash taxes

242

22

(74)

(8,270)

(173)

Impairment on investment

106

-

-

106

-

Non-cash portion of debt extinguishment loss

-

-

7

-

166

Non-cash restructuring, impairment and
disposal charges

8

3

17

21

71

Amortization of debt issuance costs and accretion of debt discount

6

6

5

24

24

Other

15

5

9

37

7

Changes in assets and liabilities, net of
acquisitions and disposals:

  Trade accounts receivable, net

(312)

(262)

(31)

(652)

(267)

  Inventory

92

19

(16)

417

(39)

  Accounts payable

28

(41)

(63)

(325)

(97)

  Employee compensation and benefits

93

205

80

6

109

  Contributions to defined benefit pension plans

-

(1)

(345)

(130)

(361)

  Other current assets and current liabilities

163

(148)

80

369

(490)

  Other long-term assets and long-term
  liabilities

(206)

(37)

258

(641)

159

Net cash provided by operating activities

2,635

2,247

1,959

8,880

6,551

Cash flows from investing activities:

Acquisitions of businesses, net of cash acquired

(7)

(7)

-

(4,800)

(40)

Business sale proceeds (repayments)

(9)

-

-

773

10

Purchases of property, plant and equipment

(106)

(120)

(233)

(635)

(1,069)

Proceeds from disposals of property, plant and
equipment

1

-

440

239

441

Purchases of investments

-

-

(7)

(249)

(207)

Proceeds from sale and maturity of investments

-

-

200

54

200

Other

3

(47)

(4)

(56)

(9)

Net cash provided by (used in) investing
activities

(118)

(174)

396

(4,674)

(674)

Cash flows from financing activities:

Proceeds from issuance of long-term debt

-

-

3,980

-

17,426

Repayment of debt

(117)

-

-

(973)

(13,668)

Payment of debt issuance costs

-

-

(1)

-

(24)

Dividend and distribution payments

(723)

(754)

(439)

(2,998)

(1,745)

Repurchases of common stock

(1,533)

(5,378)

-

(7,258)

-

Issuance of common stock, net of shares
withheld for employee taxes

38

6

66

156

257

Payment of capital lease obligations

-

-

(6)

(21)

(16)

Other

(26)

2

-

(24)

-

Net cash provided by (used in) financing
activities

(2,361)

(6,124)

3,600

(11,118)

2,230

Net change in cash and cash equivalents

156

(4,051)

5,955

(6,912)

8,107

Cash and cash equivalents at the beginning of
period

4,136

8,187

5,249

11,204

3,097

Cash and cash equivalents at end of period

$              4,292

$              4,136

$            11,204

$              4,292

$            11,204

Supplemental disclosure of cash flow
information:

Cash paid for interest

$                     2

$                 312

$                     1

$                 547

$                 310

Cash paid for income taxes

$                 189

$                 127

$                   96

$                 512

$                 349