54. inancial r continued
Financing structure
In millions of EUR2005Change 2004
38
Deferred tax
liabilities 393 3 384 3
Employee benefits 664 6 680 6
Provisions 273 2 298 3
Liabilities5,985515,68253
11,829 100 10,777100
Cash flow and investments
The cash flow from operating activities increased with €261 million to €1,872 million in 2005, mainly
due to lower interest and income taxes paid. Investments in property, plant and equipment amounted
to €853 million versus €719 million in 2004. The increase in investments reflects the investments in the
new brewery of Seville and investments in Russia and Chile. On the other hand, proceeds from the sale
of property, plant and equipment amounted to €161 million versus €67 million last year, which results
in an increase of net investment of €40 million compared to 2004.
A net amount of €460 million in 2005 was invested in acquisitions and expansion of existing interests
compared to €1,056 million in 2004. In 2004 the largest investment related to the second part of the
acquisition of BBAG. In 2005 we invested €730 million of which €530 million in Russia. As part of the
divestment of non-core assets we sold amongst others our real estate business in Austria, which resulted
in a total cash inflow of €270 million.
Finally, the increased net cash outflow from financing activities is mainly related to the increased
repayment on loans which is a result of the aforementioned improved cash flow and is facilitated
as well by the lower investing activities.
Total equity
as a percentage of total assets
2001 ■■■■■■^■■■■■i43.6
2002 ■■■■■■■■■■■■■■Mi 38.9
2003 WÊÊÊÊÊÊÊÊÊÊÊÊËÊÊÊBÊÊÊÊÊÊÊÊÊË 35.8
2004 ;4.6
2005 ■■■■■IM^^^Ml^^M 38.2
Heineken N.V. - Annual Report 2005
