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 September 30, 2015 and December 31, 2014; condensed consolidating statements of operations for the three and nine months ended September 30, 2015 and 2014; condensed consolidating statements of comprehensive income (loss) for the three and nine months ended September 30, 2015 and 2014; and condensed consolidating statements of cash flows for the nine months ended September 30, 2015 and 2014 of (a) CBRE Group, Inc., as the parent, (b) 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 SEPTEMBER 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Current Assets: Cash and cash equivalents $ 1 $ 5,827 $ 51,040 $ 383,489 $ — $ 440,357 Restricted cash — — 6,959 60,231 — 67,190 Receivables, net — — 849,574 1,425,451 — 2,275,025 Warehouse receivables (a) — — 465,734 120,126 — 585,860 Trading securities — — 94 62,515 — 62,609 Income taxes receivable 17,241 — 10,265 — (4,576 ) 22,930 Prepaid expenses — — 58,120 104,918 — 163,038 Deferred tax assets, net — — 140,745 72,653 — 213,398 Real estate under development — — — 2,796 — 2,796 Available for sale securities — — 1,276 — — 1,276 Other current assets — 10,846 70,007 64,315 — 145,168 Total Current Assets 17,242 16,673 1,653,814 2,296,494 (4,576 ) 3,979,647 Property and equipment, net — — 364,141 139,525 — 503,666 Goodwill — — 1,576,158 1,420,884 — 2,997,042 Other intangible assets, net — — 836,362 690,761 — 1,527,123 Investments in unconsolidated subsidiaries — — 197,626 34,279 — 231,905 Investments in consolidated subsidiaries 3,492,015 3,820,028 1,499,288 — (8,811,331 ) — Intercompany loan receivable — 2,754,386 700,000 — (3,454,386 ) — Real estate under development — — — 20,501 — 20,501 Real estate held for investment — — 4,281 16,018 — 20,299 Available for sale securities — — 54,213 1,567 — 55,780 Other assets, net — 23,426 114,144 81,931 — 219,501 Total Assets $ 3,509,257 $ 6,614,513 $ 7,000,027 $ 4,701,960 $ (12,270,293 ) $ 9,555,464 Current Liabilities: Accounts payable and accrued expenses $ — $ 8,896 $ 394,754 $ 916,675 $ — $ 1,320,325 Compensation and employee benefits payable — 626 352,557 288,229 — 641,412 Accrued bonus and profit sharing — — 287,301 255,229 — 542,530 Income taxes payable — — — 4,576 (4,576 ) — Short-term borrowings: Warehouse lines of credit (a) — — 461,450 116,995 — 578,445 Revolving credit facility — 400,500 — — — 400,500 Other — — 16 18,527 — 18,543 Total short-term borrowings — 400,500 461,466 135,522 — 997,488 Current maturities of long-term debt — 28,750 1,408 28 — 30,186 Notes payable on real estate — — — 3,444 — 3,444 Other current liabilities — 1,085 59,520 8,273 — 68,878 Total Current Liabilities — 439,857 1,557,006 1,611,976 (4,576 ) 3,604,263 Long-Term Debt: Senior term loans, net — 854,590 — — — 854,590 5.00% senior notes, net — 788,839 — — — 788,839 4.875% senior notes, net — 590,380 — — — 590,380 5.25% senior notes, net — 421,913 — — — 421,913 Other long-term debt — — — 3 — 3 Intercompany loan payable 963,578 — 1,276,088 1,214,720 (3,454,386 ) — Total Long-Term Debt 963,578 2,655,722 1,276,088 1,214,723 (3,454,386 ) 2,655,725 Notes payable on real estate, net — — — 27,993 — 27,993 Deferred tax liabilities, net — — 76,642 127,389 — 204,031 Non-current tax liabilities — — 50,516 — — 50,516 Pension liability — — — 85,998 — 85,998 Other liabilities — 26,919 219,747 90,747 — 337,413 Total Liabilities 963,578 3,122,498 3,179,999 3,158,826 (3,458,962 ) 6,965,939 Commitments and contingencies — — — — — — Equity: CBRE Group, Inc. Stockholders’ Equity 2,545,679 3,492,015 3,820,028 1,499,288 (8,811,331 ) 2,545,679 Non-controlling interests — — — 43,846 — 43,846 Total Equity 2,545,679 3,492,015 3,820,028 1,543,134 (8,811,331 ) 2,589,525 Total Liabilities and Equity $ 3,509,257 $ 6,614,513 $ 7,000,027 $ 4,701,960 $ (12,270,293 ) $ 9,555,464 (a) Although CBRE Capital Markets is included among our domestic subsidiaries that jointly and severally guarantee our 5.00% senior notes, 4.875% senior notes, 5.25% senior notes and our 2015 Credit Agreement, a substantial majority of warehouse receivables funded under Capital One, N.A. (Capital One), TD Bank, N.A. (TD Bank), Bank of America (BofA), JP Morgan Chase Bank, N.A. (JP Morgan) and Fannie Mae ASAP lines of credit are pledged to Capital One, TD Bank, BofA, JP Morgan 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 — 9,384 98,139 35,825 — 143,348 Total Assets $ 3,038,858 $ 4,915,959 $ 5,578,071 $ 3,627,392 $ (9,538,770 ) $ 7,621,510 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, net — 787,947 — — — 787,947 Senior term loans, net — 598,426 — — — 598,426 5.25% senior notes, net — 422,206 — — — 422,206 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 1,808,579 1,350,424 1,023,789 (3,153,215 ) 1,808,605 Notes payable on real estate, net — — — 18,216 — 18,216 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 1,896,549 3,144,158 2,670,929 (3,170,552 ) 5,320,112 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 $ 4,915,959 $ 5,578,071 $ 3,627,392 $ (9,538,770 ) $ 7,621,510 (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 SEPTEMBER 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 1,467,392 $ 1,245,167 $ — $ 2,712,559 Costs and expenses: Cost of services — — 965,317 808,343 — 1,773,660 Operating, administrative and other 19,466 (9,499 ) 322,593 294,345 — 626,905 Depreciation and amortization — — 40,737 34,310 — 75,047 Total costs and expenses 19,466 (9,499 ) 1,328,647 1,136,998 — 2,475,612 Gain on disposition of real estate — — 3,087 67 — 3,154 Operating (loss) income (19,466 ) 9,499 141,832 108,236 — 240,101 Equity income from unconsolidated subsidiaries — — 16,346 896 — 17,242 Other income (loss) — — 77 (5,022 ) — (4,945 ) Interest income — 43,535 577 581 (43,535 ) 1,158 Interest expense — 29,857 28,456 15,921 (43,535 ) 30,699 Royalty and management service (income) expense — — (400 ) 400 — — Income from consolidated subsidiaries 160,973 146,587 62,936 — (370,496 ) — Income before (benefit of) provision for income taxes 141,507 169,764 193,712 88,370 (370,496 ) 222,857 (Benefit of) provision for income taxes (7,616 ) 8,791 47,125 24,566 — 72,866 Net income 149,123 160,973 146,587 63,804 (370,496 ) 149,991 Less: Net income attributable to non-controlling interests — — — 868 — 868 Net income attributable to CBRE Group, Inc. $ 149,123 $ 160,973 $ 146,587 $ 62,936 $ (370,496 ) $ 149,123 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 1,231,633 $ 1,043,443 $ — $ 2,275,076 Costs and expenses: Cost of services — — 789,931 639,055 — 1,428,986 Operating, administrative and other 18,934 (6,683 ) 291,206 297,569 — 601,026 Depreciation and amortization — — 33,120 34,039 — 67,159 Total costs and expenses 18,934 (6,683 ) 1,114,257 970,663 — 2,097,171 Gain on disposition of real estate — — 35 7,200 — 7,235 Operating (loss) income (18,934 ) 6,683 117,411 79,980 — 185,140 Equity income from unconsolidated subsidiaries — — 35,177 8,123 — 43,300 Other income (loss) — — 894 (1,007 ) — (113 ) Interest income — 49,971 448 1,150 (49,971 ) 1,598 Interest expense — 25,739 32,957 19,116 (49,971 ) 27,841 Write-off of financing costs — 23,087 — — — 23,087 Royalty and management service (income) expense — — (20,336 ) 20,336 — — Income from consolidated subsidiaries 118,981 114,063 28,313 — (261,357 ) — Income before (benefit of) provision for income taxes 100,047 121,891 169,622 48,794 (261,357 ) 178,997 (Benefit of) provision for income taxes (7,052 ) 2,910 55,559 17,888 — 69,305 Net income 107,099 118,981 114,063 30,906 (261,357 ) 109,692 Less: Net income attributable to non-controlling interests — — — 2,593 — 2,593 Net income attributable to CBRE Group, Inc. $ 107,099 $ 118,981 $ 114,063 $ 28,313 $ (261,357 ) $ 107,099 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 3,966,854 $ 3,188,714 $ — $ 7,155,568 Costs and expenses: Cost of services — — 2,532,091 2,020,320 — 4,552,411 Operating, administrative and other 44,972 (16,421 ) 908,592 831,695 — 1,768,838 Depreciation and amortization — — 116,546 98,952 — 215,498 Total costs and expenses 44,972 (16,421 ) 3,557,229 2,950,967 — 6,536,747 Gain on disposition of real estate — — 3,228 6,912 — 10,140 Operating (loss) income (44,972 ) 16,421 412,853 244,659 — 628,961 Equity income (loss) from unconsolidated subsidiaries — — 40,258 (872 ) — 39,386 Other income (loss) — 1 1,336 (6,264 ) — (4,927 ) Interest income — 151,263 79,450 3,194 (229,050 ) 4,857 Interest expense — 157,559 104,231 50,327 (229,050 ) 83,067 Write-off of financing costs — 2,685 — — — 2,685 Royalty and management service (income) expense — — (4,266 ) 4,266 — — Income from consolidated subsidiaries 394,820 390,232 106,841 — (891,893 ) — Income before (benefit of) provision for income taxes 349,848 397,673 540,773 186,124 (891,893 ) 582,525 (Benefit of) provision for income taxes (17,241 ) 2,853 150,541 70,090 — 206,243 Net income 367,089 394,820 390,232 116,034 (891,893 ) 376,282 Less: Net income attributable to non-controlling interests — — — 9,193 — 9,193 Net income attributable to CBRE Group, Inc. $ 367,089 $ 394,820 $ 390,232 $ 106,841 $ (891,893 ) $ 367,089 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Revenue $ — $ — $ 3,356,815 $ 2,905,909 $ — $ 6,262,724 Costs and expenses: Cost of services — — 2,113,013 1,791,906 — 3,904,919 Operating, administrative and other 39,290 (1,031 ) 815,828 841,536 — 1,695,623 Depreciation and amortization — — 96,292 99,365 — 195,657 Total costs and expenses 39,290 (1,031 ) 3,025,133 2,732,807 — 5,796,199 Gain on disposition of real estate — — 6,732 30,370 — 37,102 Operating (loss) income (39,290 ) 1,031 338,414 203,472 — 503,627 Equity income from unconsolidated subsidiaries — — 61,181 6,383 — 67,564 Other income — 1 2,493 8,558 — 11,052 Interest income — 146,356 1,579 2,737 (146,351 ) 4,321 Interest expense — 76,509 97,671 56,497 (146,351 ) 84,326 Write-off of financing costs — 23,087 — — — 23,087 Royalty and management service (income) expense — — (26,973 ) 26,973 — — Income from consolidated subsidiaries 304,873 274,893 42,016 — (621,782 ) — Income before (benefit of) provision for income taxes 265,583 322,685 374,985 137,680 (621,782 ) 479,151 (Benefit of) provision for income taxes (14,643 ) 17,812 100,092 68,057 — 171,318 Net income 280,226 304,873 274,893 69,623 (621,782 ) 307,833 Less: Net income attributable to non-controlling interests — — — 27,607 — 27,607 Net income attributable to CBRE Group, Inc. $ 280,226 $ 304,873 $ 274,893 $ 42,016 $ (621,782 ) $ 280,226 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 149,123 $ 160,973 $ 146,587 $ 63,804 $ (370,496 ) $ 149,991 Other comprehensive loss: Foreign currency translation loss — — — (69,728 ) — (69,728 ) Fees associated with termination of interest rate swaps, net of tax — (3,748 ) — — — (3,748 ) Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 1,873 — — — 1,873 Unrealized losses on interest rate swaps, net of tax — (2,924 ) — — — (2,924 ) Unrealized holding losses on available for sale securities, net of tax — — (1,024 ) (158 ) — (1,182 ) Other, net — — (18 ) — — (18 ) Total other comprehensive loss — (4,799 ) (1,042 ) (69,886 ) — (75,727 ) Comprehensive income (loss) 149,123 156,174 145,545 (6,082 ) (370,496 ) 74,264 Less: Comprehensive income attributable to non-controlling interests — — — 861 — 861 Comprehensive income (loss) attributable to CBRE Group, Inc. $ 149,123 $ 156,174 $ 145,545 $ (6,943 ) $ (370,496 ) $ 73,403 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 107,099 $ 118,981 $ 114,063 $ 30,906 $ (261,357 ) $ 109,692 Other comprehensive income (loss) : Foreign currency translation loss — — — (109,122 ) — (109,122 ) Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 1,844 — — — 1,844 Unrealized gains on interest rate swaps and interest rate caps, net of tax — 854 — — — 854 Unrealized holding gains (losses) on available for sale securities, net of tax — — 345 (159 ) — 186 Other, net — — 76 — — 76 Total other comprehensive income (loss) — 2,698 421 (109,281 ) — (106,162 ) Comprehensive income (loss) 107,099 121,679 114,484 (78,375 ) (261,357 ) 3,530 Less: Comprehensive income attributable to non-controlling interests — — — 2,533 — 2,533 Comprehensive income (loss) attributable to CBRE Group, Inc. $ 107,099 $ 121,679 $ 114,484 $ (80,908 ) $ (261,357 ) $ 997 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 367,089 $ 394,820 $ 390,232 $ 116,034 $ (891,893 ) $ 376,282 Other comprehensive loss: Foreign currency translation loss — — — (117,640 ) — (117,640 ) Fees associated with termination of interest rate swaps, net of tax — (3,748 ) — — — (3,748 ) Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 5,477 — — — 5,477 Unrealized losses on interest rate swaps, net of tax — (5,435 ) — — — (5,435 ) Unrealized holding losses on available for sale securities, net of tax — — (1,053 ) (58 ) — (1,111 ) Total other comprehensive loss — (3,706 ) (1,053 ) (117,698 ) — (122,457 ) Comprehensive income (loss) 367,089 391,114 389,179 (1,664 ) (891,893 ) 253,825 Less: Comprehensive income attributable to non-controlling interests — — — 9,170 — 9,170 Comprehensive income (loss) attributable to CBRE Group, Inc. $ 367,089 $ 391,114 $ 389,179 $ (10,834 ) $ (891,893 ) $ 244,655 CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Elimination Consolidated Net income $ 280,226 $ 304,873 $ 274,893 $ 69,623 $ (621,782 ) $ 307,833 Other comprehensive income (loss): Foreign currency translation loss — — — (72,676 ) — (72,676 ) Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax — 5,470 — — — 5,470 Unrealized (losses) gains on interest rate swaps and interest rate caps, net of tax — (3,521 ) — 61 — (3,460 ) Unrealized holding losses on available for sale securities, net of tax — — (495 ) (175 ) — (670 ) Other, net — — 211 — — 211 Total other comprehensive income (loss) — 1,949 (284 ) (72,790 ) — (71,125 ) Comprehensive income (loss) 280,226 306,822 274,609 (3,167 ) (621,782 ) 236,708 Less: Comprehensive income attributable to non-controlling interests — — — 27,556 — 27,556 Comprehensive income (loss) attributable to CBRE Group, Inc. $ 280,226 $ 306,822 $ 274,609 $ (30,723 ) $ (621,782 ) $ 209,152 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Consolidated CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES: $ 31,155 $ (13,282 ) $ 106,066 $ 18,471 $ 142,410 CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures — — (45,646 ) (39,678 ) (85,324 ) Acquisition of GWS, including net assets acquired, intangibles and goodwill, net of cash acquired — — (730,307 ) (691,356 ) (1,421,663 ) Acquisition of businesses (other than GWS), including net assets acquired, intangibles and goodwill, net of cash acquired — — (94,498 ) (8,642 ) (103,140 ) Contributions to unconsolidated subsidiaries — — (44,279 ) (1,513 ) (45,792 ) Distributions from unconsolidated subsidiaries — — 37,876 4,862 42,738 Net proceeds from disposition of real estate held for investment — — — 3,584 3,584 Additions to real estate held for investment — — — (1,773 ) (1,773 ) Proceeds from the sale of servicing rights and other assets — — 9,512 11,922 21,434 Increase in restricted cash — — (6,329 ) (35,535 ) (41,864 ) Purchase of available for sale securities — — (31,919 ) — (31,919 ) Proceeds from the sale of available for sale securities — — 33,063 — 33,063 Other investing activities, net — — (1,290 ) — (1,290 ) Net cash used in investing activities — — (873,817 ) (758,129 ) (1,631,946 ) CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from senior term loans — 900,000 — — 900,000 Repayment of senior term loans — (651,863 ) — — (651,863 ) Proceeds from revolving credit facility — 2,107,500 — — 2,107,500 Repayment of revolving credit facility — (1,707,000 ) — (4,512 ) (1,711,512 ) Proceeds from issuance of 4.875% senior notes, net — 595,440 — — 595,440 Repayment of notes payable on real estate held for investment — — — (1,173 ) (1,173 ) Proceeds from notes payable on real estate held for sale and under development — — — 12,584 12,584 Proceeds from short-term borrowings, net — — — 15,862 15,862 Shares repurchased for payment of taxes on equity awards (24,517 ) — — — (24,517 ) Proceeds from exercise of stock options 6,755 — — — 6,755 Incremental tax benefit from stock options exercised 2,270 — — — 2,270 Non-controlling interests contributions — — — 4,691 4,691 Non-controlling interests distributions — — — (13,595 ) (13,595 ) Payment of financing costs — (30,046 ) — (84 ) (30,130 ) (Increase) decrease in intercompany receivables, net (15,667 ) (1,213,184 ) 446,801 782,050 — Other financing activities, net — — (2,113 ) (29 ) (2,142 ) Net cash (used in) provided by financing activities (31,159 ) 847 444,688 795,794 1,210,170 Effect of currency exchange rate changes on cash and cash equivalents — — — (21,161 ) (21,161 ) NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS (4 ) (12,435 ) (323,063 ) 34,975 (300,527 ) 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 $ 1 $ 5,827 $ 51,040 $ 383,489 $ 440,357 SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for: Interest $ — $ 79,527 $ 83 $ 1,212 $ 80,822 Income tax payments, net $ — $ — $ 126,421 $ 84,213 $ 210,634 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014 (Dollars in thousands) Parent CBRE Guarantor Nonguarantor Consolidated CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES: $ 20,732 $ 83,198 $ (9,694 ) $ (25,758 ) $ 68,478 CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures — — (63,544 ) (29,074 ) (92,618 ) Acquisition of businesses, including net assets acquired, intangibles and goodwill, net of cash acquired — — (51,989 ) (80,552 ) (132,541 ) Contributions to unconsolidated subsidiaries — — (37,674 ) (2,429 ) (40,103 ) Distributions from unconsolidated subsidiaries — — 49,152 13,826 62,978 Net proceeds from disposition of real estate held for investment — — — 77,278 77,278 Additions to real estate held for investment — — — (5,043 ) (5,043 ) Proceeds from the sale of servicing rights and other assets — — 7,514 10,655 18,169 Decrease (increase) in restricted cash — 6,871 464 (2,904 ) 4,431 Purchase of available for sale securities — — (68,984 ) — (68,984 ) Proceeds from the sale of available for sale securities — — 61,357 — 61,357 Other investing activities, net — — 570 — 570 Net cash provided by (used in) investing activities — 6,871 (103,134 ) (18,243 ) (114,506 ) CASH FLOWS FROM FINANCING ACTIVITIES: Repayment of senior secured term loans — (29,738 ) — — (29,738 ) Proceeds from revolving credit facility — 1,622,000 — 66,568 1,688,568 Repayment of revolving credit facility — (1,630,928 ) — (41,431 ) (1,672,359 ) Proceeds from issuance of 5.25% senior notes — 300,000 — — 300,000 Proceeds from notes payable on real estate held for investment — — — 5,022 5,022 Repayment of notes payable on real estate held for investment — — — (27,241 ) (27,241 ) Proceeds from notes payable on real estate held for sale and under development — — — 4,884 4,884 Repayment of notes payable on real estate held for sale and under development — — — (44,959 ) (44,959 ) Proceeds from short-term borrowings, net — — — 4,545 4,545 Shares repurchased for payment of taxes on equity awards (16,656 ) — — — (16,656 ) Proceeds from exercise of stock options 4,466 — — — 4,466 Incremental tax benefit from stock options exercised 803 — — — 803 Non-controlling interests contributions — — — 1,415 1,415 Non-controlling interests distributions — — — (31,998 ) (31,998 ) Payment of financing costs — (3,045 ) — (104 ) (3,149 ) (Increase) decrease in intercompany receivables, net (9,345 ) (297,717 ) 243,097 63,965 — Other financing activities, net — — (1,437 ) (9 ) (1,446 ) Net cash (used in) provided by financing activities (20,732 ) (39,428 ) 241,660 657 182,157 Effect of currency exchange rate changes on cash and cash equivalents — — — (12,683 ) (12,683 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS — 50,641 128,832 (56,027 ) 123,446 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 $ 62,226 $ 220,076 $ 333,051 $ 615,358 SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for: Interest $ — $ 76,519 $ 355 $ 3,762 $ 80,636 Income tax payments, net $ — $ — $ 177,792 $ 88,418 $ 266,210 |