Financials

Statements of Cash Flows

Years ended December 31, 2008 and 2007 (in thousands)
2008 2007
Cash flows from operating activities:
Change in net assets $(3,007,324) $512,100
Adjustments to reconcile change in net assets to net cash used in operating activities
Depreciation 5,662 5,047
Net realized and unrealized (gains) on investments 2,541,862 (863,798)
Change in assets and liabilities
Decrease in interest and dividends receivable 5,389 7,018
Decrease (increase) in contributions receivable 3,579 (43)
Increase in program related investments (2,591) (572)
(Decrease) increase in accounts payable and accrued expenses (2,607) 4,238
Increase in unpaid grants 59,182 80,855
Increase in accrued postretirement benefit obligation 2,979 8,024
Increase in other assets (18,310) (137)
Net cash used in operating activities (412,179) (247,268)
Cash flows from investing activities:
Proceeds from sales of investments 3,706,009 3,474,347
Cost of investments purchased (3,217,852) (3,244,699)
Acquisition of property and equipment (6,674) (5,619)
Net cash provided by investing activities 481,483 224,029
Cash flows from financing activities
Decrease in book overdrafts (14,559)
Net cash used in financing activities (14,559)
Net decrease in cash and cash equivalents 69,304 (37,798)
Cash and cash equivalents
Beginning of year 164,501 202,299
End of year $233,805 $164,501
Supplemental data
Federal and state taxes paid $38,247 $38,115

The accompanying notes are an integral part of these financial statements.