Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
6 Months Ended
Jul. 02, 2017
Jul. 03, 2016
CASH FLOWS FROM OPERATING ACTIVITIES    
Consolidated net income $ 846 $ 760
Adjustments to reconcile consolidated net income to net cash provided by operating activities    
Depreciation and amortization 284 259
Deferred income taxes 0 2
Equity in income of investees, net of dividends (Note 4) (132) (87)
Pension contributions in excess of expense (Note 3) (44) (82)
Other post-retirement benefits payments in excess of expense (Note 3) (8) (17)
Stock-based compensation expense 23 20
Restructuring payments 0 (42)
Loss contingency (Note 9) 0 39
Translation and hedging activities 31 (45)
Changes in current assets and liabilities    
Accounts and notes receivable (488) (252)
Inventories (264) (101)
Other current assets 21 189
Accounts payable 403 143
Accrued expenses 132 (209)
Changes in other liabilities and deferred revenue 103 129
Other, net (81) 32
Net cash provided by operating activities 826 738
CASH FLOWS FROM INVESTING ACTIVITIES    
Capital expenditures (182) (189)
Investments in internal use software (40) (27)
Investments in and advances to equity investees (64) (17)
Investments in marketable securities—acquisitions (Note 5) (69) (379)
Investments in marketable securities—liquidations (Note 5) [1] 162 237
Cash flows from derivatives not designated as hedges 19 (21)
Other, net 14 5
Net cash used in investing activities (160) (391)
CASH FLOWS FROM FINANCING ACTIVITIES    
Proceeds from borrowings 2 109
Net (payments) borrowings of commercial paper (Note 7) (78) 200
Payments on borrowings and capital lease obligations (29) (133)
Distributions to noncontrolling interests (10) (24)
Dividend payments on common stock (343) (333)
Repurchases of common stock (Note 2) (120) (695)
Other, net 34 (20)
Net cash used in financing activities (544) (896)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS 51 (117)
Net increase (decrease) in cash and cash equivalents 173 (666)
Cash and cash equivalents at beginning of year 1,120 1,711
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 1,293 $ 1,045
[1] Gross realized gains and losses from the sale of available-for-sale securities were immaterial.