Statutory results Condensed consolidated cash flow statement for the period ended 31 December 2016 Year ended 31 December 31 December 2016 2015 £m £m Operating activities Operating loss before tax on continuing operations (4,082) (2,703) Operating profit before tax on discontinued operations - 1,766 Adjustments for non-cash items (7,810) (6,661) Net cash outflow from trading activities (11,892) (7,598) Changes in operating assets and liabilities 8,413 8,589 Net cash flows from operating activities before tax (3,479) 991 Income taxes paid (171) (73) Net cash flows from operating activities (3,650) 918 Net cash flows from investing activities (4,359) (4,866) Net cash flows from financing activities (5,107) (940) Effects of exchange rate changes on cash and cash equivalents 8,094 576 Net decrease in cash and cash equivalents (5,022) (4,312) Cash and cash equivalents at beginning of year 103,592 107,904 Cash and cash equivalents at end of year 98,570 103,592 54 RBS – Annual results 2016