BNSF RAILWAY CO

CIK:0000015511|SEC Filings

Consolidated Statements of Income - USD ($) $ in Millions	12 Months Ended
Consolidated Statements of Income - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Revenues	$ 20,747	$ 19,278	$ 21,401
Operating expenses:
Compensation and benefits	4,914	4,717	4,994
Fuel	2,518	1,934	2,656
Depreciation and amortization	2,341	2,115	1,993
Purchased services	2,019	2,037	2,056
Equipment rents	784	766	801
Materials and other	875	1,072	1,134
Total operating expenses	13,451	12,641	13,634
Operating income	7,296	6,637	7,767
Interest expense	43	50	35
Interest income, related parties	(360)	(197)	(131)
Other expense, net	30	5	20
Income before income taxes	7,583	6,779	7,843
Income tax expense (benefit)	(4,536)	2,519	2,928
Net income	$ 12,119	$ 4,260	$ 4,915

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
OPERATING ACTIVITIES
Net income	$ 12,119	$ 4,260	$ 4,915
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	2,341	2,115	1,993
Deferred income taxes, adjusted	(6,480)
Deferred income taxes	(6,466)	987	1,139
Long-term casualty and environmental liabilities, net	(85)	(35)	(35)
Other, net	(249)	63	(22)
Changes in current assets and liabilities:
Accounts receivable, net	(237)	(201)	121
Materials and supplies	22	4	(34)
Other current assets	78	(129)	(4)
Accounts payable and other current liabilities	(282)	574	(89)
Net cash provided by operating activities	7,227	7,638	7,984
INVESTING ACTIVITIES
Capital expenditures excluding equipment	(2,864)	(3,225)	(4,398)
Acquisition of equipment	(397)	(614)	(1,226)
Purchases of investments and investments in time deposits	(13)	(8)	(151)
Proceeds from sales of investments and maturities of time deposits	34	27	27
Partnership Investment	0	0	(36)
Other, net	(243)	(174)	37
Net cash used for investing activities	(3,483)	(3,994)	(5,747)
FINANCING ACTIVITIES
Proceeds from Issuance of Long-term Debt	0	0	500
Payments on long-term debt	(85)	(117)	(121)
Net increase in intercompany notes receivable classified as equity	(3,711)	(3,522)	(2,634)
Other, net	(2)	0	(2)
Net cash used for financing activities	(3,798)	(3,639)	(2,257)
Increase/ (Decrease) in cash and cash equivalents	(54)	5	(20)
Cash and cash equivalents:
Beginning of period	570	565	585
End of period	516	570	565
SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid, net of amounts capitalized	61	60	52
Capital investments accrued but not yet paid	192	305	421
Income taxes paid, net of refunds	$ 2,087	$ 1,020	$ 1,447

Consolidated Balance Sheets - USD ($)
$ in Millions

Dec. 31, 2017

Dec. 31, 2016

Current assets:

Cash and cash equivalents

$ 516

$ 570

Accounts receivable, net

1,668

1,508

Materials and supplies

803

825

Other current assets

204

278

Total current assets

3,191

3,181

Property and equipment, net of accumulated depreciation of $8,611 and $6,124, respectively

62,281

61,213

Goodwill

14,803

Intangible assets, net

392

423

Other assets

2,431

2,155

Total assets

83,098

81,775

Current liabilities:

Accounts payable and other current liabilities

3,069

3,492

Long-term debt due within one year

^[1]

Total current liabilities

3,159

3,577

Deferred income taxes

13,542

20,001

Long-term debt

^[1]

1,355

1,467

Casualty and environmental liabilities

499

584

Intangible liabilities, net

471

567

Pension and retiree health and welfare liability

310

321

Other liabilities

1,104

1,120

Total liabilities

20,440

27,637

Commitments and contingencies (see Notes 11 and 12)

Stockholder's Equity

Common Stock, $1 par value, 1,000 shares authorized; issued and outstanding and paid-in-capital

42,920

Retained Earnings

39,337

27,218

Intercompany notes receivable

(19,830)

(16,119)

Accumulated other comprehensive income (loss)

231

119

Total stockholder's equity

62,658

54,138

Total liabilities and stockholder's equity

$ 83,098

$ 81,775

[1]	Amounts represent debt outstanding and weighted average effective interest rates for 2017 and 2016, respectively. Maturities are as of December 31, 2017.