Consolidated Annual Accounts 2017

Translation of consolidated financial statements originally issued in Spanish and prepared in accordance with the regulatory financial reporting framework applicable to the Group in Spain (see Notes 2 and 29). In the event of discrepancy, the Spanish-language version prevails. 5 ATRESMEDIA CORPORACIÓN DE MEDIOS DE COMUNICACIÓN, S.A. AND SUBSIDIARIES CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2017 Thousands of euros 2017 2016 1.- CASH FLOWS FROM OPERATING ACTIVITIES Consolidated profit for the year before tax 176,573 174,718 Adjustments for: 22,080 28,075 - Depreciation and amortisation 17,780 17,759 - Provisions and other : 2,327 7,699 - Provisions (3,490) 803 - Net impairment losses (+/-) 4,652 5,158 - Share of profit/(loss) of associates 1,165 1,738 - Financial profit 1,973 2,617 Changes in working capital 36,315 (52,614) Cash flows from operating activities 234,968 150,179 Income tax paid (25,187) (22,772) Net cash flows from operating activities 209,781 127,407 2.- CASH FLOWS FROM INVESTING ACTIVITIES Investments (62,123) (50,648) Subsidiaries, joint ventures and associates (30,588) (13,068) Property, plant and equipment and intangible assets (31,535) (37,580) Disposals 55 3,243 Subsidiaries, joint ventures and associates 55 3,243 Net cash flows used in investing activities (62,068) (47,405) 3.- CASH FLOWS FROM FINANCING ACTIVITIES Finance costs paid (7,827) (1,294) Financing - Associates and related parties (5) (50) Net bank borrowings 84,451 20,652 Dividends paid (206,946) (89,834) Acquisition of treasury shares - (8,931) Net cash flows used in financing activities (130,327) (79,457) NET INCREASE IN CASH AND CASH EQUIVALENTS 17,386 545 Cash and cash equivalents at beginning of year 1,562 1,017 Changes in the scope of consolidation 6,078 - Cash and cash equivalents at end of year 25,026 1,562 The accompanying Notes 1 to 28 are an integral part of the consolidated statement of cash flows for the year ended 31 December 2017.