Ebix, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows

(In thousands)
(Unaudited)
  Year Ended December 31, 2015 Year Ended December 31, 2014
  Unaudited Audited
Cash flows from operating activities:    
Net income $79,533 $63,558
Adjustments to reconcile net income to cash provided by operating activities:    
Depreciation and amortization 10,634 9,681
Provision for doubtful accounts 3,111 1,600
Provision for deferred taxes, net of acquisitions and effects of currency translation (10,143) (1,966)
Unrealized foreign exchange gain (1,743) (741)
Unrealized gain on put option - (296)
Share-based compensation 1,821 1,792
Debt discount amortization on convertible debt 17 35
Reduction of acquisition earn-out contingent liability (1,533) (10,237)
Changes in current assets and liabilities, net of acquisitions:    
Accounts receivable (7,320) (1,530)
Other assets (3,834) (4,765)
Accounts payable and accrued expenses (19,895) 14,670
Accrued payroll and related benefits (60) 1,811
Deferred rent (656) (324)
Reserve for potential uncertain income tax return positions 95 (9,723)
Liability – securities litigation settlement (690) (3,528)
Other liabilities 1,111 (221)
Deferred revenue (1,762) (1,306)
Net cash provided by operating activities 48,686 58,510
Cash flows from investing activities:    
Investment in Via Media Health, net of cash acquired (1,000) -
Investment in P.B. Systems, net of cash acquired (11,475) -
Investment in Ebix Health Solutions, LLC Joint Venture (6,000) -
Investment in CurePet, net of cash acquired - 3
Investment in Healthcare Magic, net of cash acquired - (5,856)
Investment in Vertex, net of cash acquired - (27,547)
Investment in Oakstone, net of cash acquired - (23,791)
Investment in I3, net of cash acquired - (2,000)
Payment of acquisition earn-out contingency, Taimma - (2,250)
Payment of acquisition earn-out contingency, Trisystems - (563)
Purchases of marketable securities (1,435) -
Maturities of marketable securities - 495
Capitalized software development costs (3,489) -
Capital expenditures (13,994) (16,277)
Net cash used in investing activities (37,393) (77,786)
Cash flows from financing activities:    
Proceeds from line of credit, net 86,000 97,625
Principal payments on term loan obligation (642) (31,938)
Repurchase of common stock (81,653) (31,854)
Payments of long term debt - (345)
Payments for capital lease obligations (10) (231)
Excess tax benefit from share-based compensation 463 (3,200)
Proceeds from exercise of common stock options 2,209 788
Forfeiture of certain shares to satisfy exercise costs and the recipients income tax obligations related to stock options exercised and restricted stock vested (2,202) (41)
Shares reacquired in connection with put option - (3,535)
Dividends paid (10,472) (11,406)
Net cash provided (used) by financing activities (6,307) 15,863
Effect of foreign exchange rates on cash and cash equivalents $(107) $(961)
Net change in cash and cash equivalents 4,879 (4,374)
Cash and cash equivalents at the beginning of the year $52,300 $56,674
Cash and cash equivalents at the end of the year $57,179 $52,300
Supplemental disclosures of cash flow information:    
Interest paid 5,379 1,290
Income taxes paid 28,637 11,433