2. Analysis of Consolidated Financial Standing Consolidated cash flows from operating activities for the nine-month period ended December 31, 2008 were 1,525.2 billion yen. While net income during this period was 544.1 billion yen and depreciation and amortization was 1,589.3 billion yen, net income tax expense was 379.4 billion yen and accounts payable, trade and accrued payroll decreased by 323.2 billion yen. Consolidated cash flows used in investing activities for the nine-month period ended December 31, 2008 showed net outlays of 1,643.2 billion yen, resulting from acquisition of fixed assets in the amount of 1,653.9 billion yen, which was partially offset by proceeds from the sale of property, plant and equipment amounting to 83.0 billion yen. Consolidated cash flows used in financing activities for the nine-month period ended December 31, 2008 showed net outlays of 170.4 billion yen. While proceeds from issuance of long-term debt amounted to 668.3 billion yen, this was more than offset by 460.9 billion yen in payments for the settlement of long-term debt, 135.3 billion yen in dividends paid and 170.3 billion yen spent for the acquisition of treasury stock. As a result of the foregoing, cash and cash equivalents for NTT Group at the end of the period under review totaled 875.6 billion yen. Copyright (c) 2009 Nippon telegraph and telephone corporation