Orbit Garant 2012 annual rep O rt 39 C ONSOLIDATED STATEMENT OF CAS h FLO w S For the years ended June 30 2012 and 2011 June 30 June 30 2012 2011 in thousands of Canadian dollars Notes note 22 Operating activities Earnings before income taxes 15082 16748 Items not affecting cash Amortization of property plant and equipment 9 9412 7159 Amortization of intangible assets 11 2064 1510 Gain on disposal of property plant and equipment 9 168 36 Gain on longterm investments 209 Sharebased compensation 14 1009 819 Finance costs 1224 440 Change in fair value of contingent considerations 107 116 Share in net earnings of associates less dividends 216 28730 26331 Changes in noncash operating working capital items 16 7570 20694 Income taxes paid 3801 5786 Finance costs paid 1158 360 16201 509 Investing activities Business acquisitions of Lantech Drilling Services Inc including bank overdraft 2 5445 Business acquisitions of 1085820 Ontario Limited net of cash acquired 2 3240 Business acquisitions of Morris Drilling Inc net of cash acquired 2 2578 Proceeds from disposal of investment in associate 528 Acquisition of property plant and equipment 18377 18647 Proceeds from disposal of property plant and equipment 1675 1244 22147 22693 Financing activities Proceeds from issuance of shares 31 4 Proceeds from longterm debt 102925 21507 Repayment of longterm debt 94394 7121 8562 14390 Effect of exchange rate changes 41 Increase decrease in cash 2657 8812 Cash bank overdraft beginning of year 698 8114 Cash bank overdraft end of year 1959 698 Additional information 16 See accompanying notes to consolidated fnancial statements