Seattle City Light 2016 ANNUAL REPORT | Audited Financial Statements 24 - 24 - THE CITY OF SEATTLE—CITY LIGHT DEPARTMENT STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2016 AND 2015 ($ in millions) 2016 2015 OPERATING ACTIVITIES: Cash received from customers and counterparties 869.9 $ 836.6 $ Interfund operating cash received 1.9 1.9 Cash paid to suppliers and counterparties (322.7) (326.5) Cash paid to employees (181.0) (177.0) Interfund operating cash paid (30.4) (28.4) Taxes paid (86.9) (78.5) Net cash provided by operating activities 250.8 228.1 NONCAPITAL FINANCING ACTIVITIES: Principal paid on long-term debt (10.4) (12.3) Interest paid on long-term debt (9.1) (10.5) Noncapital grants received 2.5 4.6 Bonneville receipts for conservation 9.4 2.2 Payment to vendors on behalf of customers for conservation (32.2) (35.2) Net cash used in noncapital financing activities (39.8) (51.2) CAPITAL AND RELATED FINANCING ACTIVITIES: Proceeds from long-term debt 309.6 271.8 Proceeds from long-term debt premiums 50.7 11.9 Payment to trustee for defeased bonds (178.8) - Bond issue costs paid (1.4) (1.0) Principal paid on long-term debt (97.1) (92.6) Interest paid on long-term debt (85.5) (79.2) Acquisition and construction of capital assets (348.2) (306.1) Interfund payments for acquisition and construction of capital assets (26.2) (23.0) Capital contributions 38.9 38.0 Interfund receipts for capital contributions 0.6 0.3 Capital grants received/(paid) (2.0) (3.6) Interest received for suburban infrastructure improvements 2.5 2.1 Proceeds on sale of property 0.4 1.1 (Increase) Decrease in other assets (0.8) (9.8) Net cash used in capital and related financing activities (337.3) (190.1) INVESTING ACTIVITIES: Interest received (paid) on cash and equity in pooled investments 3.6 4.1 Net cash provided by (used in) investing activities 3.6 4.1 NET INCREASE (DECREASE) IN CASH AND EQUITY IN POOLED INVESTMENTS (122.7) (9.1) CASH AND EQUITY IN POOLED INVESTMENTS: Beginning of year 417.6 426.7 End of year 294.9 $ 417.6 $ See notes to financial statements.