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

(In thousands)
(Unaudited)

Six Months Ended

June 30,

2012 2011
Cash flows from operating activities:

Net income $ 33,752 $ 37,512
Adjustments to reconcile net income to net cash
provided by operating activities:


Depreciation and amortization 4,102 3,868
Benefit for deferred taxes (956) (2,954)
Share based compensation 1,059 1,143
Provision for doubtful accounts 316 337
Debt discount amortization on convertible debt 13 21
Unrealized foreign exchange gain on forward contracts -- (238)
Unrealized foreign exchange gain (593) (1,769)
(Gain) loss on put option (263) 925
Reduction of acquisition earnout accruals -- (1,868)
Changes in assets and liabilities, net of effects from acquisitions:

Accounts receivable 2,163 (3,693)
Other assets (1,009) 825
Accounts payable and accrued expenses (858) (3,482)
Accrued payroll and related benefits (384) (850)
Deferred revenue (225) (781)
Deferred rent (56) (120)
Other current liabilities (2,338) 867
Net cash provided by operating activities 34,723 29,743



Cash flows from investing activities:

Acquisition of ADAM, net of cash acquired -- 3,529
Investment in MCN, net of cash acquired (1,537) (381)
Acquisition of BSI, net of cash acquired (992) --
Acquisition of Taimma, net of cash acquired (5,003) --
Acquisition of Fintechnix, net of cash acquired (4,713) --
Acquisition of Planetsoft, net of cash acquired (33,967) --
Investment in Curepet, Inc. (2,000) --
Investment in ConfirmNet -- (184)
Maturities of marketable securities 979 7,600
Purchases of marketable securities (785) (3,080)
Capital expenditures (1,079) (1,335)
Net cash provided by/(used in) investing activities (49,097) 6,149



Cash flows from financing activities:

Repayments on revolving line of credit, (net of proceeds) 1,090 (16,250)
Proceeds from term loan 45,000 16,250
Principal payments of term loan obligation (15,000) (3,074)
Repurchases of common stock (9,396) (26,198)
Settlement on conversion of convertible debt -- (6,761)
Excess tax benefit from share-based compensation 50 127
Proceeds from the exercise of stock options 714 14
Dividend payments (3,296) --
Principal payments of debt obligations (600) --
Payments of capital lease obligations (165) (186)
Net cash provided by/ (used in) financing activities 18,397 (36,078)
Effect of foreign exchange rates on cash (2,406) 416
Net change in cash and cash equivalents 1,617 230
Cash and cash equivalents at the beginning of the period 23,696 23,397
Cash and cash equivalents at the end of the period $ 25,313 $ 23,627
Supplemental disclosures of cash flow information:

Interest paid $ 567 $ 361
Income taxes paid $ 4,842 $ 1,505



Investor Contacts

EBIX Inc
5 Concourse Parkway, Suite 3200, Atlanta, Georgia 30328
Ph: 678-281-2043 Fax: 678-281-2019
www.ebix.com
IR@ebix.com