Statement of Cash Flows

1st Quarter 2016

Compared with same quarter of the previous year, cash provided by operating activities decreased by €1,344 million to €1,046 million in the first quarter of 2016. Cash tied down in net working capital mainly arose from seasonal increases in trade accounts receivable. In the same period of 2015, funds had been released in net working capital by inventory reductions – especially in the gas storage business, which has since been divested – and by higher operating liabilities and provisions.

Investing activities led to a cash outflow of €1,258 million, compared with €1,502 million in the first quarter of 2015. At €1,001 million, payments made for property, plant and equipment and intangible assets were €277 million below the level of the previous first quarter. The first quarter of 2016 contained no cash inflows or outflows from acquisitions and divestitures.

Cash provided by financing activities amounted to €1,997 million; in the first quarter of 2015, €400 million had been used in financing activities. Changes in financial liabilities resulted in a cash inflow of €1,996 million, due particularly to BASF SE’s higher utilization of the U.S. dollar commercial paper program and issuance of a 1.5% euro bond with a nominal value of €200 million. Partly counterbalancing this was the repayment of liabilities to banks and other financing-related liabilities. Minority shareholders of Group companies received €4 million in the form of dividends. Cash and cash equivalents amounted to €4,036 million as of March 31, 2016, compared with €2,241 million at the end of 2015.