Financial Statements
19 Notes to the cash flow statement
Reconciliation of profit on ordinary activities before tax to cash generated from operations
| 2007 £m |
2006† £m |
|
|---|---|---|
| Profit on ordinary activities before tax | 1,440 | 1,498 |
| Non-cash movements | ||
| Net valuation gains on investment properties | ||
| Revaluation of properties | (1,053) | (1,201) |
| Gains on property disposals (including trading property appropriations) | (115) | (164) |
| Other revaluations and gains | 1 | (4) |
| (1,167) | (1,369) | |
| Share of profits after tax of funds and joint ventures | (459) | (311) |
| Spreading of tenant incentives, guaranteed rent uplifts and letting fees | (36) | (55) |
| Goodwill impairment | 106 | 240 |
| Depreciation and amortisation | 15 | 11 |
| Share options, share awards and pension funding | 20 | 20 |
| (1,521) | (1,464) | |
| Changes to working capital and other cash movements | ||
| Net financing costs | 313 | 369 |
| Refinancing charges (as described in note 7) | 305 | 122 |
| Dividends received | (51) | (16) |
| Pension funding | (10) | (6) |
| Increase in debtors | (29) | (9) |
| Increase (decrease) in creditors | 32 | (39) |
| 560 | 421 | |
| Cash generated from operations | 479 | 455 |
† Restated as described in note 1.