FINANCIAL CONDITION AND LIQUIDITY
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Three Months
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2020
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2019
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Net cash provided by operating activities
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$
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591
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$
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313
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Net cash used in investing activities
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(163
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)
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(303
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)
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Net cash provided by (used in) financing activities
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(768
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)
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(1,947
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)
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Effect of exchange rate changes on cash and cash equivalents
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(33
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)
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(5
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)
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Change in cash and cash equivalents
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$
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(373
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)
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$
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(1,942
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)
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Operating Activities
Cash provided by operating activities was $591 and $313 in the three months 2020 and 2019. The increase was primarily due to increases in cash provided by working capital, primarily accounts receivable collections, accounts payable due to timing of payments and higher net earnings.
Investing Activities
Cash used in investing activities was $163 and $303 in the three months 2020 and 2019. The decrease in cash used was primarily due to decreased payments for acquisitions in 2020.
Financing Activities
Cash used in financing activities was $768 and $1,947 in the three months 2020 and 2019. The decrease in cash used was primarily driven by the repayment of $500 of debt upon maturity in January 2020 compared to repayments of $1,341 of debt in the first quarter of 2019, along with the suspension of share repurchases.
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Three Months
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2020
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2019
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Total dividends paid to common shareholders
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$
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215
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$
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195
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Total amount paid to repurchase common stock
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$
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—
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$
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307
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Shares of repurchased common stock (in millions)
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—
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1.9
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Liquidity
Cash, cash equivalents and marketable securities were $4,048 and $4,425 on March 31, 2020 and December 31, 2019. Current assets exceeded current liabilities by $6,574 and $6,960 on March 31, 2020 and December 31, 2019. Despite the impact from the COVID-19 pandemic, we anticipate being able to support our short-term liquidity and operating needs from a variety of sources including cash from operations, commercial paper, existing credit lines and capital expenditure and operating expense reductions. We maintain a revolving credit facility with $1.5 billion of committed capital which expires in August 2023 and a $1.5 billion unsecured revolving credit facility that matures on April 29, 2021.
We have a well-positioned balance sheet and liquidity profile to manage these disruptions for the foreseeable future. We raised funds in the capital markets in 2019 and 2018 and may continue to do so from time to time. We continue to have strong investment-
grade short-term and long-term debt ratings that we believe should enable us to refinance our debt as needed.
Our cash, cash equivalents and marketable securities held in locations outside the United States was approximately 23% on March 31, 2020 compared to 25% on December 31, 2019. We intend to use this cash to sustain operations during our response to the COVID-19 pandemic.
Critical Accounting Policies
There were no changes to our critical accounting policies from those disclosed in our Annual Report on Form 10-K for 2019.
New Accounting Pronouncements Not Yet Adopted
Refer to Note 1 to our Consolidated Financial Statements for information.
Guarantees and Other Off-Balance Sheet Arrangements
We do not have guarantees or other off-balance sheet financing arrangements, including variable interest entities, of a magnitude that we believe could have a material impact on our financial condition or liquidity.
OTHER MATTERS
Legal and Regulatory Matters
We are involved in various ongoing proceedings, legal actions and claims arising in the normal course of our business, including proceedings related to product, labor, intellectual property and other matters. Refer to Note 6 to our Consolidated Financial Statements for further information.
FORWARD-LOOKING STATEMENTS
This report contains statements referring to us that are not historical facts and are considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, which are intended to take advantage of the "safe harbor" provisions of the Reform Act, are based on current projections about operations, industry conditions, financial condition and liquidity. Words that identify forward-looking statements include words such as "may," "could," "will," "should," "possible," "plan," "predict," "forecast," "potential," "anticipate," "estimate," "expect," "project," "intend," "believe," "may impact," "on track," "goal," "strategy" and words and terms of similar substance used in connection with any discussion of future operating or financial performance, an acquisition or our businesses. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. Those statements are not guarantees and are subject to risks, uncertainties and assumptions that are difficult to predict, including uncertainties related to the impact of the COVID-19 pandemic on our operations and financial results. Therefore, actual results could differ materially and adversely from these forward-looking