Guarantor and Nonguarantor Financial Statements | 16. Guarantor and Nonguarantor Financial Statements The following condensed consolidating financial information includes: (1) Condensed consolidating balance sheets as of June 30, 2015 and December 31, 2014; condensed consolidating statements of operations for the three and six months ended June 30, 2015 and 2014; condensed consolidating statements of comprehensive income (loss) for the three and six months ended June 30, 2015 and 2014; and condensed consolidating statements of cash flows for the six months ended June 30, 2015 and 2014 of (a) CBRE Group, Inc., as the parent, (b) CBRE Services, Inc. (CBRE), as the subsidiary issuer, (c) the guarantor subsidiaries, (d) the nonguarantor subsidiaries and (e) CBRE Group, Inc. on a consolidated basis; and (2) Elimination entries necessary to consolidate CBRE Group, Inc. as the parent with CBRE and its guarantor and nonguarantor subsidiaries. Investments in consolidated subsidiaries are presented using the equity method of accounting. The principal elimination entries eliminate investments in consolidated subsidiaries and intercompany balances and transactions. CONDENSED CONSOLIDATING BALANCE SHEET AS OF JUNE 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Current Assets: Cash and cash equivalents $ 5 $ 15,041 $ 56,547 $ 264,829 $ — $ 336,422 Restricted cash — — 1,150 64,861 — 66,011 Receivables, net — — 593,479 1,011,141 — 1,604,620 Warehouse receivables (a) — — 628,013 122,803 — 750,816 Trading securities — — 101 68,452 — 68,553 Income taxes receivable 9,625 — 27,942 12,428 — 49,995 Prepaid expenses — — 59,910 94,550 — 154,460 Deferred tax assets, net — — 140,746 64,112 — 204,858 Real estate and other assets held for sale — — 1,058 841 — 1,899 Available for sale securities — — 1,129 — — 1,129 Other current assets — 7,077 59,473 37,643 — 104,193 Total Current Assets 9,630 22,118 1,569,548 1,741,660 — 3,342,956 Property and equipment, net — — 345,569 138,463 — 484,032 Goodwill — — 1,205,056 1,108,763 — 2,313,819 Other intangible assets, net — — 512,318 293,784 — 806,102 Investments in unconsolidated subsidiaries — — 185,767 36,772 — 222,539 Investments in consolidated subsidiaries 3,343,116 2,493,405 930,412 — (6,766,933 ) — Intercompany loan receivable — 2,552,719 700,000 — (3,252,719 ) — Real estate under development — — 842 13,026 — 13,868 Real estate held for investment — — 5,675 15,542 — 21,217 Available for sale securities — — 56,304 1,819 — 58,123 Other assets, net — 48,726 113,133 35,744 — 197,603 Total Assets $ 3,352,746 $ 5,116,968 $ 5,624,624 $ 3,385,573 $ (10,019,652 ) $ 7,460,259 Current Liabilities: Accounts payable and accrued expenses $ — $ 19,664 $ 209,244 $ 535,616 $ — $ 764,524 Compensation and employee benefits payable — 626 346,696 230,645 — 577,967 Accrued bonus and profit sharing — — 207,347 213,761 — 421,108 Short-term borrowings: Warehouse lines of credit (a) — — 624,360 119,232 — 743,592 Other — — 16 879 — 895 Total short-term borrowings — — 624,376 120,111 — 744,487 Current maturities of long-term debt — 12,500 1,380 14 — 13,894 Notes payable on real estate — — — 1,625 — 1,625 Other current liabilities — 4,807 60,873 5,489 — 71,169 Total Current Liabilities — 37,597 1,449,916 1,107,261 — 2,594,774 Long-Term Debt: 5.00% senior notes — 800,000 — — — 800,000 Senior term loans — 484,375 — — — 484,375 5.25% senior notes — 426,774 — — — 426,774 Other long-term debt — — — 7 — 7 Intercompany loan payable 893,154 — 1,306,364 1,053,201 (3,252,719 ) — Total Long-Term Debt 893,154 1,711,149 1,306,364 1,053,208 (3,252,719 ) 1,711,156 Notes payable on real estate — — — 23,194 — 23,194 Deferred tax liabilities, net — — 106,438 60,856 — 167,294 Non-current tax liabilities — — 48,869 — — 48,869 Pension liability — — — 91,028 — 91,028 Other liabilities — 25,106 219,632 75,678 — 320,416 Total Liabilities 893,154 1,773,852 3,131,219 2,411,225 (3,252,719 ) 4,956,731 Commitments and contingencies — — — — — — Equity: CBRE Group, Inc. Stockholders’ Equity 2,459,592 3,343,116 2,493,405 930,412 (6,766,933 ) 2,459,592 Non-controlling interests — — — 43,936 — 43,936 Total Equity 2,459,592 3,343,116 2,493,405 974,348 (6,766,933 ) 2,503,528 Total Liabilities and Equity $ 3,352,746 $ 5,116,968 $ 5,624,624 $ 3,385,573 $ (10,019,652 ) $ 7,460,259 (a) Although CBRE Capital Markets is included among our domestic subsidiaries that jointly and severally guarantee our 5.00% senior notes, 5.25% senior notes and our 2015 Credit Agreement, a substantial majority of warehouse receivables funded under TD Bank, N.A. (TD Bank), JP Morgan Chase Bank, N.A. (JP Morgan), Bank of America (BofA), Capital One, N.A. (Capital One) and Fannie Mae ASAP lines of credit are pledged to TD Bank, JP Morgan, BofA, Capital One and Fannie Mae, and accordingly, are not included as collateral for these notes or our other outstanding debt. CONDENSED CONSOLIDATING BALANCE SHEET AS OF DECEMBER 31, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Current Assets: Cash and cash equivalents $ 5 $ 18,262 $ 374,103 $ 348,514 $ — $ 740,884 Restricted cash — — 630 27,460 — 28,090 Receivables, net — — 605,044 1,131,185 — 1,736,229 Warehouse receivables (a) — — 339,921 166,373 — 506,294 Trading securities — — 115 62,689 — 62,804 Income taxes receivable 19,443 — — 10,603 (17,337 ) 12,709 Prepaid expenses — — 62,902 79,817 — 142,719 Deferred tax assets, net — — 140,761 65,105 — 205,866 Real estate and other assets held for sale — — — 3,845 — 3,845 Available for sale securities — — 663 — — 663 Other current assets — 1,185 50,429 32,787 — 84,401 Total Current Assets 19,448 19,447 1,574,568 1,928,378 (17,337 ) 3,524,504 Property and equipment, net — — 361,899 136,027 — 497,926 Goodwill — — 1,196,418 1,137,403 — 2,333,821 Other intangible assets, net — — 493,058 309,302 — 802,360 Investments in unconsolidated subsidiaries — — 173,738 44,542 — 218,280 Investments in consolidated subsidiaries 3,019,410 2,433,913 914,895 — (6,368,218 ) — Intercompany loan receivable — 2,453,215 700,000 — (3,153,215 ) — Real estate under development — — 828 3,802 — 4,630 Real estate held for investment — — 6,814 30,315 — 37,129 Available for sale securities — — 57,714 1,798 — 59,512 Other assets, net — 33,581 98,139 37,223 — 168,943 Total Assets $ 3,038,858 $ 4,940,156 $ 5,578,071 $ 3,628,790 $ (9,538,770 ) $ 7,647,105 Current Liabilities: Accounts payable and accrued expenses $ — $ 19,541 $ 257,591 $ 550,398 $ — $ 827,530 Compensation and employee benefits payable — 626 346,663 276,525 — 623,814 Accrued bonus and profit sharing — — 425,329 363,529 — 788,858 Income taxes payable — — 17,337 — (17,337 ) — Short-term borrowings: Warehouse lines of credit (a) — — 337,184 164,001 — 501,185 Revolving credit facility — — — 4,840 — 4,840 Other — — 16 9 — 25 Total short-term borrowings — — 337,200 168,850 — 506,050 Current maturities of long-term debt — 39,650 2,734 23 — 42,407 Notes payable on real estate — — — 23,229 — 23,229 Other current liabilities — 1,258 58,357 4,131 — 63,746 Total Current Liabilities — 61,075 1,445,211 1,386,685 (17,337 ) 2,875,634 Long-Term Debt: 5.00% senior notes — 800,000 — — — 800,000 Senior term loans — 605,963 — — — 605,963 5.25% senior notes — 426,813 — — — 426,813 Other long-term debt — — — 26 — 26 Intercompany loan payable 779,028 — 1,350,424 1,023,763 (3,153,215 ) — Total Long-Term Debt 779,028 1,832,776 1,350,424 1,023,789 (3,153,215 ) 1,832,802 Notes payable on real estate — — — 19,614 — 19,614 Deferred tax liabilities, net — — 87,486 61,747 — 149,233 Non-current tax liabilities — — 45,936 67 — 46,003 Pension liability — — — 92,923 — 92,923 Other liabilities — 26,895 215,101 87,502 — 329,498 Total Liabilities 779,028 1,920,746 3,144,158 2,672,327 (3,170,552 ) 5,345,707 Commitments and contingencies — — — — — — Equity: CBRE Group, Inc. Stockholders’ Equity 2,259,830 3,019,410 2,433,913 914,895 (6,368,218 ) 2,259,830 Non-controlling interests — — — 41,568 — 41,568 Total Equity 2,259,830 3,019,410 2,433,913 956,463 (6,368,218 ) 2,301,398 Total Liabilities and Equity $ 3,038,858 $ 4,940,156 $ 5,578,071 $ 3,628,790 $ (9,538,770 ) $ 7,647,105 (a) Although CBRE Capital Markets is included among our domestic subsidiaries that jointly and severally guarantee our 5.00% senior notes, 5.25% senior notes and our 2013 Credit Agreement, a substantial majority of warehouse receivables funded under BofA, JP Morgan, Capital One and Fannie Mae ASAP lines of credit are pledged to BofA, JP Morgan, Capital One and Fannie Mae, and accordingly, are not included as collateral for these notes or our other outstanding debt. CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED JUNE 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Subsidiaries Nonguarantor Subsidiaries Elimination Consolidated Total Revenue $ — $ — $ 1,341,591 $ 1,048,915 $ — $ 2,390,506 Costs and expenses: Cost of services — — 849,131 638,843 — 1,487,974 Operating, administrative and other 12,362 11,698 301,412 284,686 — 610,158 Depreciation and amortization — — 39,282 31,323 — 70,605 Total costs and expenses 12,362 11,698 1,189,825 954,852 — 2,168,737 Gain on disposition of real estate — — 141 6,845 — 6,986 Operating (loss) income (12,362 ) (11,698 ) 151,907 100,908 — 228,755 Equity income (loss) from unconsolidated subsidiaries — — 8,591 (1,898 ) — 6,693 Other income (loss) — 1 335 (1,405 ) — (1,069 ) Interest income — 52,361 78,199 990 (130,148 ) 1,402 Interest expense — 102,816 36,373 17,113 (130,148 ) 26,154 Royalty and management service expense (income) — — 236 (236 ) — — Income from consolidated subsidiaries 132,726 171,425 43,680 — (347,831 ) — Income before (benefit of) provision for income taxes 120,364 109,273 246,103 81,718 (347,831 ) 209,627 (Benefit of) provision for income taxes (4,665 ) (23,453 ) 74,678 29,914 — 76,474 Net income 125,029 132,726 171,425 51,804 (347,831 ) 133,153 Less: Net income attributable to non-controlling interests — — — 8,124 — 8,124 Net income attributable to CBRE Group, Inc. $ 125,029 $ 132,726 $ 171,425 $ 43,680 $ (347,831 ) $ 125,029 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED JUNE 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 1,168,544 $ 958,262 $ — $ 2,126,806 Costs and expenses: Cost of services — — 728,165 586,308 — 1,314,473 Operating, administrative and other 10,684 4,253 270,637 280,628 — 566,202 Depreciation and amortization — — 31,991 31,304 — 63,295 Total costs and expenses 10,684 4,253 1,030,793 898,240 — 1,943,970 Gain on disposition of real estate — — — 23,170 — 23,170 Operating (loss) income (10,684 ) (4,253 ) 137,751 83,192 — 206,006 Equity income from unconsolidated subsidiaries — — 8,802 462 — 9,264 Other income — 1 757 5,606 — 6,364 Interest income — 44,115 531 615 (44,115 ) 1,146 Interest expense — 26,168 22,688 23,729 (44,115 ) 28,470 Royalty and management service (income) expense — — (4,779 ) 4,779 — — Income from consolidated subsidiaries 112,163 103,575 16,540 — (232,278 ) — Income before (benefit of) provision for income taxes 101,479 117,270 146,472 61,367 (232,278 ) 194,310 (Benefit of) provision for income taxes (3,985 ) 5,107 42,897 20,092 — 64,111 Net income 105,464 112,163 103,575 41,275 (232,278 ) 130,199 Less: Net income attributable to non-controlling interests — — — 24,735 — 24,735 Net income attributable to CBRE Group, Inc. $ 105,464 $ 112,163 $ 103,575 $ 16,540 $ (232,278 ) $ 105,464 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 2,499,462 $ 1,943,547 $ — $ 4,443,009 Costs and expenses: Cost of services — — 1,566,774 1,211,977 — 2,778,751 Operating, administrative and other 25,506 (6,922 ) 585,999 537,350 — 1,141,933 Depreciation and amortization — — 75,809 64,642 — 140,451 Total costs and expenses 25,506 (6,922 ) 2,228,582 1,813,969 — 4,061,135 Gain on disposition of real estate — — 141 6,845 — 6,986 Operating (loss) income (25,506 ) 6,922 271,021 136,423 — 388,860 Equity income (loss) from unconsolidated subsidiaries — — 23,912 (1,768 ) — 22,144 Other income (loss) — 1 1,259 (1,242 ) — 18 Interest income — 107,728 78,873 2,613 (185,515 ) 3,699 Interest expense — 127,702 75,775 34,406 (185,515 ) 52,368 Write-off of financing costs — 2,685 — — — 2,685 Royalty and management service (income) expense — — (3,866 ) 3,866 — — Income from consolidated subsidiaries 233,847 243,645 43,905 — (521,397 ) — Income before (benefit of) provision for income taxes 208,341 227,909 347,061 97,754 (521,397 ) 359,668 (Benefit of) provision for income taxes (9,625 ) (5,938 ) 103,416 45,524 — 133,377 Net income 217,966 233,847 243,645 52,230 (521,397 ) 226,291 Less: Net income attributable to non-controlling interests — — — 8,325 — 8,325 Net income attributable to CBRE Group, Inc. $ 217,966 $ 233,847 $ 243,645 $ 43,905 $ (521,397 ) $ 217,966 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 2,125,182 $ 1,862,466 $ — $ 3,987,648 Costs and expenses: Cost of services — — 1,323,082 1,152,851 — 2,475,933 Operating, administrative and other 20,356 5,652 524,622 543,967 — 1,094,597 Depreciation and amortization — — 63,172 65,326 — 128,498 Total costs and expenses 20,356 5,652 1,910,876 1,762,144 — 3,699,028 Gain on disposition of real estate — — 6,697 23,170 — 29,867 Operating (loss) income (20,356 ) (5,652 ) 221,003 123,492 — 318,487 Equity income (loss) from unconsolidated subsidiaries — — 26,004 (1,740 ) — 24,264 Other income — 1 1,599 9,565 — 11,165 Interest income — 96,385 1,131 1,587 (96,380 ) 2,723 Interest expense — 50,770 64,714 37,381 (96,380 ) 56,485 Royalty and management service (income) expense — — (6,637 ) 6,637 — — Income from consolidated subsidiaries 185,892 160,830 13,703 — (360,425 ) — Income before (benefit of) provision for income taxes 165,536 200,794 205,363 88,886 (360,425 ) 300,154 (Benefit of) provision for income taxes (7,591 ) 14,902 44,533 50,169 — 102,013 Net income 173,127 185,892 160,830 38,717 (360,425 ) 198,141 Less: Net income attributable to non-controlling interests — — — 25,014 — 25,014 Net income attributable to CBRE Group, Inc. $ 173,127 $ 185,892 $ 160,830 $ 13,703 $ (360,425 ) $ 173,127 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED JUNE 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 125,029 $ 132,726 $ 171,425 $ 51,804 $ (347,831 ) $ 133,153 Other comprehensive income: Foreign currency translation gain — — — 57,508 — 57,508 Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 1,809 — — — 1,809 Unrealized gains on interest rate swaps, net of tax — 263 — — — 263 Unrealized holding gains (losses) on available for sale securities, net of tax — — 258 (21 ) — 237 Other, net — — 16 — — 16 Total other comprehensive income — 2,072 274 57,487 — 59,833 Comprehensive income 125,029 134,798 171,699 109,291 (347,831 ) 192,986 Less: Comprehensive income attributable to non-controlling interests — — — 8,141 — 8,141 Comprehensive income attributable to CBRE Group, Inc. $ 125,029 $ 134,798 $ 171,699 $ 101,150 $ (347,831 ) $ 184,845 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED JUNE 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 105,464 $ 112,163 $ 103,575 $ 41,275 $ (232,278 ) $ 130,199 Other comprehensive (loss) income: Foreign currency translation gain — — — 24,873 — 24,873 Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 1,826 — — — 1,826 Unrealized losses on interest rate swaps and interest rate caps, net of tax — (2,810 ) — — — (2,810 ) Unrealized holding losses on available for sale securities, net of tax — — (1,208 ) (86 ) — (1,294 ) Other, net — — (140 ) — — (140 ) Total other comprehensive (loss) income — (984 ) (1,348 ) 24,787 — 22,455 Comprehensive income 105,464 111,179 102,227 66,062 (232,278 ) 152,654 Less: Comprehensive income attributable to non-controlling interests — — — 24,738 — 24,738 Comprehensive income attributable to CBRE Group, Inc. $ 105,464 $ 111,179 $ 102,227 $ 41,324 $ (232,278 ) $ 127,916 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE SIX MONTHS ENDED JUNE 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 217,966 $ 233,847 $ 243,645 $ 52,230 $ (521,397 ) $ 226,291 Other comprehensive income (loss): Foreign currency translation loss — — — (47,912 ) — (47,912 ) Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 3,604 — — — 3,604 Unrealized losses on interest rate swaps, net of tax — (2,511 ) — — — (2,511 ) Unrealized holding (losses) gains on available for sale securities, net of tax — — (29 ) 100 — 71 Other, net — — 18 — — 18 Total other comprehensive income (loss) — 1,093 (11 ) (47,812 ) — (46,730 ) Comprehensive income 217,966 234,940 243,634 4,418 (521,397 ) 179,561 Less: Comprehensive income attributable to non-controlling interests — — — 8,309 — 8,309 Comprehensive income (loss) attributable to CBRE Group, Inc. $ 217,966 $ 234,940 $ 243,634 $ (3,891 ) $ (521,397 ) $ 171,252 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 173,127 $ 185,892 $ 160,830 $ 38,717 $ (360,425 ) $ 198,141 Other comprehensive (loss) income: Foreign currency translation gain — — — 36,446 — 36,446 Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 3,626 — — — 3,626 Unrealized (losses) gains on interest rate swaps and interest rate caps, net of tax — (4,375 ) — 61 — (4,314 ) Unrealized holding losses on available for sale securities, net of tax — — (840 ) (16 ) — (856 ) Other, net — — 135 — — 135 Total other comprehensive (loss) income — (749 ) (705 ) 36,491 — 35,037 Comprehensive income 173,127 185,143 160,125 75,208 (360,425 ) 233,178 Less: Comprehensive income attributable to non-controlling interests — — — 25,023 — 25,023 Comprehensive income attributable to CBRE Group, Inc. $ 173,127 $ 185,143 $ 160,125 $ 50,185 $ (360,425 ) $ 208,155 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Consolidated CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES: $ 23,264 $ (4,978 ) $ (6,437 ) $ (54,040 ) $ (42,191 ) CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures — — (25,039 ) (25,349 ) (50,388 ) Acquisition of businesses, including net assets acquired, intangibles and goodwill, net of cash acquired — — (91,413 ) (3,562 ) (94,975 ) Contributions to unconsolidated subsidiaries — — (26,662 ) (909 ) (27,571 ) Distributions from unconsolidated subsidiaries — — 25,060 2,209 27,269 Additions to real estate held for investment — — — (1,411 ) (1,411 ) Proceeds from the sale of servicing rights and other assets — — 5,439 7,176 12,615 Increase in restricted cash — — (520 ) (38,158 ) (38,678 ) Purchase of available for sale securities — — (23,453 ) — (23,453 ) Proceeds from the sale of available for sale securities — — 24,563 — 24,563 Other investing activities, net — — 1,192 — 1,192 Net cash used in investing activities — — (110,833 ) (60,004 ) (170,837 ) CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from senior term loans — 500,000 — — 500,000 Repayment of senior term loans — (648,738 ) — — (648,738 ) Proceeds from revolving credit facility — 831,000 — — 831,000 Repayment of revolving credit facility — (831,000 ) — (4,512 ) (835,512 ) Repayment of notes payable on real estate held for investment — — — (776 ) (776 ) Proceeds from notes payable on real estate held for sale and under development — — — 4,404 4,404 Proceeds from short-term borrowings, net — — — 569 569 Shares repurchased for payment of taxes on equity awards (5,113 ) — — — (5,113 ) Proceeds from exercise of stock options 3,214 — — — 3,214 Incremental tax benefit from stock options exercised 1,078 — — — 1,078 Non-controlling interests contributions — — — 4,405 4,405 Non-controlling interests distributions — — — (10,637 ) (10,637 ) Payment of financing costs — (22,225 ) — — (22,225 ) (Increase) decrease in intercompany receivables, net (22,443 ) 172,720 (198,173 ) 47,896 — Other financing activities, net — — (2,113 ) (25 ) (2,138 ) Net cash (used in) provided by financing activities (23,264 ) 1,757 (200,286 ) 41,324 (180,469 ) Effect of currency exchange rate changes on cash and cash equivalents — — — (10,965 ) (10,965 ) NET DECREASE IN CASH AND CASH EQUIVALENTS — (3,221 ) (317,556 ) (83,685 ) (404,462 ) CASH AND CASH EQUIVALENTS, AT BEGINNING OF PERIOD 5 18,262 374,103 348,514 740,884 CASH AND CASH EQUIVALENTS, AT END OF PERIOD $ 5 $ 15,041 $ 56,547 $ 264,829 $ 336,422 SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for: Interest $ — $ 42,137 $ 83 $ 903 $ 43,123 Income tax payments, net $ — $ — $ 87,405 $ 60,606 $ 148,011 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Consolidated CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES: $ 20,007 $ 49,743 $ (160,250 ) $ (133,484 ) $ (223,984 ) CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures — — (35,954 ) (17,651 ) (53,605 ) Acquisition of businesses, including net assets acquired, intangibles and goodwill, net of cash acquired — — (5,230 ) (24,547 ) (29,777 ) Contributions to unconsolidated subsidiaries — — (23,059 ) (2,381 ) (25,440 ) Distributions from unconsolidated subsidiaries — — 20,914 1,933 22,847 Net proceeds from disposition of real estate held for investment — — — 68,183 68,183 Additions to real estate held for investment — — — (5,144 ) (5,144 ) Proceeds from the sale of servicing rights and other assets — — 5,810 7,010 12,820 Decrease in restricted cash — 6,871 746 6,584 14,201 Purchase of available for sale securities — — (41,466 ) — (41,466 ) Proceeds from the sale of available for sale securities — — 35,056 — 35,056 Other investing activities, net — — 327 — 327 Net cash provided by (used in) investing activities — 6,871 (42,856 ) 33,987 (1,998 ) CASH FLOWS FROM FINANCING ACTIVITIES: Repayment of senior term loans — (19,825 ) — — (19,825 ) Proceeds from revolving credit facility — 1,088,000 — 66,568 1,154,568 Repayment of revolving credit facility — (932,928 ) — (29,387 ) (962,315 ) Proceeds from notes payable on real estate held for investment — — — 3,575 3,575 Repayment of notes payable on real estate held for investment — — — (22,990 ) (22,990 ) Proceeds from notes payable on real estate held for sale and under development — — — 4,885 4,885 Repayment of notes payable on real estate held for sale and under development — — — (32,984 ) (32,984 ) Proceeds from short-term borrowings, net — — — 6,538 6,538 Shares repurchased for payment of taxes on equity awards (15 ) — — — (15 ) Proceeds from exercise of stock options 2,209 — — — 2,209 Incremental tax benefit from stock options exercised 2,158 — — — 2,158 Non-controlling interests contributions — — — 574 574 Non-controlling interests distributions — — — (24,120 ) (24,120 ) Payment of financing costs — — — (104 ) (104 ) (Increase) decrease in intercompany receivables, net (24,374 ) (194,120 ) 200,344 18,150 — Other financing activities, net 15 — (1,437 ) (9 ) (1,431 ) Net cash (used in) provided by financing activities (20,007 ) (58,873 ) 198,907 (9,304 ) 110,723 Effect of currency exchange rate changes on cash and cash equivalents — — — 5,213 5,213 NET DECREASE IN CASH AND CASH EQUIVALENTS — (2,259 ) (4,199 ) (103,588 ) (110,046 ) CASH AND CASH EQUIVALENTS, AT BEGINNING OF PERIOD 5 11,585 91,244 389,078 491,912 CASH AND CASH EQUIVALENTS, AT END OF PERIOD $ 5 $ 9,326 $ 87,045 $ 285,490 $ 381,866 SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for: Interest $ — $ 47,204 $ 355 $ 3,655 $ 51,214 Income tax payments, net $ — $ — $ 128,176 $ 54,139 $ 182,315 |