Attached is a spreadsheet with 13 years of the cash flow statement from Sears.Review the cash flow statement information for elements that would affect future earnings.

• For the Sears Company, provide a brief detail how the company remains open after burning through over $6 billion in cash over four years just to keep the doors open

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD (S) $ in Millions OPERATING ACTIVITIES Net Income Depreciation and amortization Gain on Acquisitions and Sales of Investments Deferred income taxes Equity in the income of investees Cash distributions received from equity investees Net change in film and television costs and advances Equitybased compensation Other Operating Activities, Cash Flow Statement Changes in operating assets and liabilities: Receivables Inventories Other assets Accounts payable and other accrued liabilities Income taxes Cash provided by operations INVESTING ACTIVITIES Investments in parks, resorts and other property Acquisitions Other Cash used in investing activities FINANCING ACTIVITIES Commercial paper borrowings/(repayments), net Borrowings Reduction of borrowings Dividends Repurchases of common stock Proceeds from exercise of stock options Proceeds from Noncontrolling Interests Other Cash used in financing activities Impact of exchange rates on cash and cash equivalents Change in Cash, Cash Equivalents and Restricted Cash Cash and Cash Equivalents and Restricted Cash, Beginning of Year Total Cash and Cash Equivalents and Restricted Cash Supplemental disclosu re of cash flow information: Interest paid Income taxes paid Sep. 30, 2017 s 9,366 2,782 (289) 334 (320) 788 (1,075) 364 503 107 (5) (52) (368) 208 12,343 (3,623) (417) (71) (4,111) 1,247 4,820 (2,364) (2,445) (9,368) 276 17 (1,142) (8,959) 31 (696) 4,760 4,064 466 $3,801 12 Months Ended Oct. 01, 2016 s 9,790 2,527 (26) 1,214 (926) 799 (101) 393 674 (393) 186 (443) 40 (598) 13,136 (4,773) (850) (135) (5,758) (920) 6,065 (2,205) (2,313) (7,499) 259 0 (607) (7,220) (123) 35 4,725 4,760 395 $ 4,133 Oct. 03, 2015 s 8,852 2,354 (91) (102) (814) 752 (922) 410 628 (211) 1 223 (49) 354 11,385 (4,265) 0 20 (4,245) 2,376 2,550 (2,221) (3,063) (6,095) 329 1,012 (689) (5,801) (302) 1,037 3,688 4,725 314 $ 4,396 Consolidated Statements of Cash Flows ( USD S ) 12 Months Ended In Millions 1 / 28/ 2017 1 / 30 / 2016 1 / 31 / 2015 1 / 1 / 2014 CASH FLOWS FROM OPERATING ACTIVITIES Net income / loss !\\ ( 2 , 221 1 ( 1 , 1281 ( 1 , 810 1 (1 , 116 ) [ Income / loss from discontinued operations , net of tax Income ( loss ; from continuing operations* Adjustments to reconcile net income to net cash provided by operating activities :" Deferred tax valuation allowance 836 21 1 835 Tax benefit resulting from Other Comprehensive Income allocation 171 1 19! ) Depreciation and amortization 375 422 581 732 Impairment charges 427 274 63 233| Gain on sales of assets (247 ) 17431 12071 160 7) Gain on sales of investments (1051 (1691 Pension and post- retirement plan contributions 13341 1311 1 14501 1460| Mark - to - market adjustments of financial instruments 15 66 131 Pension and postretirement plan settlements\\ Amortization of deferred gain on sale- leaseback 1881 (521 Amortization of debt issuance costs and accretion of debt discount* 81 60 38 Settlement of Canadian dollar hedges 8 9 Other gains* Change in operating assets and liabilities ( net of acquisitions and dispositions ) : Deferred income taxes 15101 1719 1441 ) Merchandise inventories 1 , 213 1. 091 4:46 Merchandise payables 15261 1 47 ) (528 ) 1230) income and other taxes 80 1951 (1101 Mark - to - market asset on Sears Canada U. S. dollar collar contracts Other operating assets (52 ) 54 (66 ) 44 Other operating liabilities* 118 135 (5 ) Net cash provided by operating activities 1 , 381 1 2, 1671 ( 1 , 3871 \\1, 109) CASH FLOWS FROM INVESTING ACTIVITIES Acquisitions of businesses , net of cash acquired Proceeds from sales of property and investments* 386 2 , 730 424 Net decrease ( increase ) in investments and restricted cash (2 ) Purchases of property and equipment* ( 1421 1211 1 (329) De- consolidation of Sears Canada cash 12071 Proceeds from Sears Canada rights offering* Cash settlement of swaps\\ Net cash provided by [ used in ) investing activities- discontinued operations Net cash used in investing activities* 244 2, 519 327 664 CASH FLOWS FROM FINANCING ACTIVITIES Stock issued under executive compensation plans Proceeds from debt issuances* 2.028 1, 025 994 Repayments of long-term debt 1661 (1, 405 ) 1801 183) Increase / decrease ) in short-term borrowings , primarily 90 days or less 17971 583 1 1 , 1171 738 Sears Hometown and Outlet Stores , Inc . pre-separation funding* Proceeds from the sale of Sears Hometown and Outlet Stores , Inc Lands' End , Inc . pre-separation funding* 515 Separation of Lands' End , Inc .* 1311 Debt issuance costs\\ 151 ) 1501 1271 ( 14 ) Purchase of Sears Canada shares Sears Canada dividends paid to minority shareholders* 1 235) Purchase of treasury stock Sale leaseback\\ Vet cash used in financing activities 1 , 185 1364 1 902 Effect of exchange rate changes on cash and cash equivalents* (3 ) (38 ) NET INCREASE / DECREASE ) IN CASH AND CASH EQUIVALENTS 48 (12 ) 1778 ) 419 CASH AND CASH EQUIVALENTS , BEGINNING OF YEAR\\ 238 250 1. 028 609 CASH AND CASH EQUIVALENTS , END OF YEAR 286 238 250 1, 028 SUPPLEMENTAL INFORMATION : Capital lease obligation incurred 25 45 Supplemental Cash Flow Data :" Income taxes paid , net of refunds 45 2 1 Cash interest paid\\ 23 275 252 230 206 Unpaid liability to acquire equipment and software* 18 27 25 41 Non - cash dividend in connection with Spin- Off transactionsConsolidated Statements of Cash Flows (USD S) In Millions CASH FLOWS FROM OPERATING ACTIVITIES Net income (loss) (Income) loss from discontinued operations, net of tax Income (loss) from continuing operations Adiustments to reconcile net income to net cash provided by operating activities: Deferred tax valuation allowance Tax benefit resulting from Other Comprehensive Income allocation Depreciation and amortization Impairment charges Gain on sales of assets Gain on sales of investments Pension and post-retirement plan contributions Mark-to-market adjustments offinancial instruments Pension and postretirement plan settlements Amortization of deferred gain on sale-leaseback Amortization of debt issuance costs and accretion of debt discount Settlement of Canadian dollar hedges Other gains Change in operating assets and liabilities (net of acquisitions and dispositions): Deferred income taxes Merchandise inventories Merchandise payables Income and othertaxes Mark-to-market asset on Sears Canada US dollar collar contracts Other operating assets Other operating liabilities Net cash provided by operating activities CASH FLOWS FROM INVESTING ACTIVITIES Acquisitions of businesses, net of cash acquired Proceeds from sales of property and investments Net decrease (increase) in investments and restricted cash Purchases of property and equipment De-consolidation of Sears Canada cash Proceeds from Sears Canada rights offering Cash settlement of swa ps Net cash provided by (used in) investing activities-discontinued operations Net cash used in investing activities CASH FLOWS FROM FINANCING ACTIVITIES Stock issued under executive compensation plans Proceeds from debt issuances Repayments of long-term debt Increase (decrease) in short-term borrowings, primarily 90 days or less Sears Hometown and Outlet Stores, Inc. pre-separation funding Proceeds from the sale of Sea rs Hometown and Outlet Stores, Inc. Lands' End, Inc. pre-separation funding Separation of Lands' End, Inc. Debt issuance costs Pu rchase of Sears Canada sha res Sears Canada dividends paid to minority shareholders Purchase oftreasury stock Sale leaseback Other Net cash used in financing activities Effect of exchange rate changes on cash and cash equivalents NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR CASH AND CASH EQUIVALENTS, END OF YEAR SUPPLEMENTAL INFORMATION: Capital lease obligation incurred Supplemental Cash Flow Data: Income taxes paid, net of refunds Cash interest paid U n pa id liability to acq u ire equipment and software Non-cash dividend in connection with Spin-Off transactions 2/2/2013 (1,054) (1,054) 237 830 330 (468) (28) (593) 455 (206) 427 (117) (53) (100) 40 (303) 532 37 (378) 191 (335) (81) 100 347 I3) (10) (50) (27) (138) 747 609 61 40 199 30 (542) 12 Months Ended 1/28/2012 (3,147) 27 (3,120) 1,798 853 649 (64) (390) (533) 545 (134) (50) 67 102 (275) 72 (432) (352) 43 (309) 104 (611) 815 (35) (43) (183) 47 (75) (28) (612) 1,359 747 1/29/2011 150 900 (67) (316) I3) (20) (366) (264) (35) 140 130 35 (441) (406) 1,452 (486) 35 (30) (603) (69) (394) (95) 57 (314) 1,689 1,375 1/30/2010 297 926 (74) (209) 90 188 272 101 65 48 (197) 1,507 23 166 (361) (172) 13 (335) (117) (81) (7) (424) (951) 132 516 1,173 1,689 Consolidated Statements of Cash Flows ( USD 5 ) 12 Months Ended In Millions 1 / 31 / 2009 2008\\ 2007 2006 2005 CASH FLOWS FROM OPERATING ACTIVITIES Net income / loss !\\ 95 826 1 , 492 858 1 , 100 Income / loss from discontinued operations , net of tax\\ Income ( loss ) from continuing operations\\ Adjustments to reconcile net income to net cash provided by operating activities :" Deferred tax valuation allowance Tax benefit resulting from Other Comprehensive Income allocation Depreciation and amortization 1 , 049\\ 1 , 143 43 2 27 Impairment charges 360 Gain on sales of assets* (51 ) |30 ) 10 2 ) (946 ) Gain on sales of investments Pension and post- retirement plan contributions* 12001 (277 ) \\(413 ) Mark - to - market adjustments of financial instruments Pension and postretirement plan settlements* Amortization of deferred gain on sale- leaseback Amortization of debt issuance costs and accretion of debt discount* Settlement of Canadian dollar hedges 164 ) (12 1 |42 ) Others |151 192 ) Change in operating assets and liabilities ( net of acquisitions and dispositions ) : 165 Deferred income taxes (385 ) (84 ) LOS 58 Merchandise inventories 1, 003 60 1035) 208 ( 43 ) Merchandise payables 93 ( 1401 171 ) 251 income and other taxes (173) (541 ) 1240 ) (531 66 Mark - to - market asset on Sears Canada U. S. dollar collar contracts 174 1 other operating assets 207 35 (62 ) Other operating liabilities* 12361 445 152 366 190 ) Net cash provided by operating activities 992 1. 547 1. 428 2. 298 1, 068 CASH FLOWS FROM INVESTING ACTIVITIES Acquisitions of businesses , net of cash acquired 137 ) |283 ) 1 1, 0201 Proceeds from sales of property and investments 86 141 2, 201 795 Net decrease ( increase ) in investments and restricted cash ( 189 ) 1301 Purchases of property and equipment* 1497 ) 5701 \\540 /} 1230 ) De-consolidation of Sears Canada cash Proceeds from Sears Canada rights offering Cash settlement of swaps* 68 Net cash provided by [ used in ) investing activities- discontinued operations 33 2 1099 ) Net cash used in investing activities* 1637 ) 635 CASH FLOWS FROM FINANCING ACTIVITIES Stock issued under executive compensation plans Proceeds from debt issuances* 2 4 4 1 10 IT Repayments of long-term debt (262 ) (672 ) |875 ) (577 ) 153 ) Increase / decrease ) in short-term borrowings , primarily 90 days or less 280 68 103| 14141 Sears Hometown and Outlet Stores , Inc . pre-separation funding* Proceeds from the sale of Sears Hometown and Outlet Stores , Inc Lands' End , Inc . pre-separation funding* Separation of Lands' End , Inc .* Debt issuance costs 121 Purchase of Sears Canada shares Sears Canada dividends paid to minority shareholders* 735 ) Purchase of treasury stock* 1678 ) ( 2 , 926 ) ( 816 ) 150 0 1 Sale leaseback 88 Other\\ 215 Net cash used in financing activities ( 643 ) (3 , 439 ) ( 1 , 252 ) ( 1 , 952 ) 135 ) Effect of exchange rate changes on cash and cash equivalents* 161 ) 112 (16 ) NET INCREASE / DECREASE ) IN CASH AND CASH EQUIVALENTS 449) ( 2 , 217 ) ( 500 ) 1 , 005 1 , 347 CASH AND CASH EQUIVALENTS , BEGINNING OF YEAR 1 , 622 3, 839 4 , 339 3 , 435 2, 088 CASH AND CASH EQUIVALENTS , END OF YEAR 1. 173 1 , 622 3, 839 4,440 3,435 SUPPLEMENTAL INFORMATION : Capital lease obligation incurred Supplemental Cash Flow Data :\\ Income taxes paid , net of refunds* Cash interest paid* Unpaid liability to acquire equipment and software* Non - cash dividend in connection with Spin - Off transactions*