Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below.

RED, INC. Comparative Balance Sheets December 31, 2021 and 2020 ($ in millions)
	2021				2020
Assets
Cash	$	32			$	128
Accounts receivable		149				140
Prepaid insurance		8				4
Inventory		301				183
Buildings and equipment		416				358
Less: Accumulated depreciation		(127	)			(248	)
	$	779			$	565
Liabilities
Accounts payable	$	95			$	116
Accrued liabilities		7				12
Notes payable		58				0
Bonds payable		170				0
Shareholders Equity
Common stock		408				408
Retained earnings		41				29
	$	779			$	565

RED, INC. Statement of Income For Year Ended December 31, 2021
($ in millions)
Revenues
Sales revenue				$	2,060
Expenses
Cost of goods sold	$	1,457
Depreciation expense		41
Operating expenses		492			1,990
Net income				$	70

Additional information from the accounting records:

1. During 2021, $238 million of equipment was purchased to replace $180 million of equipment (90% depreciated) sold at book value.
2. In order to maintain the usual policy of paying cash dividends of $58 million, it was necessary for Red to borrow $58 million from its bank.

Required: Prepare the statement of cash flows of Red, Inc., using the direct method to report operating activities. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.)