D _ Consolidated Financial Statements CONSOLIDATED STATEMENT OF CASH FLOWS Consolidated statement of cash flows € mn 2021 2020 SUMMARY Net cash flow provided by operating activities 25,124 32,049 Net cash flow used in investing activities (19,783) (28,870) Net cash flow used in financing activities (3,786) (1,390) Effect of exchange rate changes on cash and cash equivalents 216 (758) Change in cash and cash equivalents 1,771 1,031 Cash and cash equivalents at beginning of period 22,443 21,075 Cash and cash equivalents reclassified to assets of disposal groups held for sale and disposed of in 2020 - 337 Cash and cash equivalents at end of period 24,214 22,443 CASH FLOW FROM OPERATING ACTIVITIES Net income 7,105 7,133 Adjustments to reconcile net income to net cash flow provided by operating activities Share of earnings from investments in associates and joint ventures (305) (112) Realized gains/losses (net) and impairments of investments (net) of: Available-for-sale and held-to-maturity investments, investments in associates and joint ventures, real estate held for investment, loans and advances to banks and customers, non-current assets and disposal groups classified as held for sale (8,092) (4,930) Other investments, mainly financial assets held for trading and designated at fair value through income 6,915 (4,765) Depreciation and amortization 2,525 2,244 Loan loss provisions 11 15 Interest credited to policyholder accounts 7,084 5,580 Other non-cash income/expenses (2,440) 5,854 Net change in: Financial assets and liabilities held for trading (5,678) 4,190 Reverse repurchase agreements and collateral paid for securities borrowing transactions (1,980) (689) Repurchase agreements and collateral received from securities lending transactions (917) 792 Reinsurance assets (1,385) (2,318) Deferred acquisition costs 2,754 (201) Unearned premiums 1,261 381 Reserves for loss and loss adjustment expenses 4,346 4,869 Reserves for insurance and investment contracts 13,676 14,702 Deferred tax assets/liabilities (358) 341 Other (net) 604 (1,035) Subtotal 18,019 24,916 Net cash flow provided by operating activities 25,124 32,049 CASH FLOW FROM INVESTING ACTIVITIES Proceeds from the sale, maturity or repayment of: Financial assets designated at fair value through income 4,751 3,689 Available-for-sale investments 178,723 160,053 Held-to-maturity investments 118 262 Investments in associates and joint ventures 942 869 Non-current assets and disposal groups classified as held for sale 301 349 Real estate held for investment 1,045 806 Loans and advances to banks and customers (purchased loans) 5,922 3,980 Property and equipment 131 125 Subtotal 191,932 170,134 122 Annual Report 2021 − Allianz Group