BCE Cash From Operations Net Income 2012 5552 3053 2011 4869 2574 2010 4724 2190

2012 3421 1700

ROGERS 2011 3791 1563

2010 3620 1528

Cash from Operations and Net Income appears to be increasing for BCE compared to Rogers.Cash from Operations for BCE is almost twice the Net Income. Cash from Operations for Rogers appears to be increasing between 2010 and 2011 and thereafter decreasing in 2012.Net Income for Rogers is increasing from 2010 to 2012.Cash from operations is almost double that of Net Income for Rogers too.

Positive cash flow for both BCE and Rogers shows that the company has generated enough cash flows to meet its operating requirements. As cash from operations for both the companies is higher than the net income it shows that both the companies are able to meet its short term obligations efficiently. However the decrease in Cash from operations for Rogers from 2011 to 2012 for Rogers is a cause for concern if its not due to one time or infrequent expense Rogers has reported an $80 million loss of impairment assets due to challenging economic assets and decline in advertising revenue. There was no goodwill impairment for BCE in 2012.

BCE Operating cash flows to current liabilities ratio = cash from operations/average current liabilities BCE Operating cash flows to current liabilities ratio 0.821 ROGERS 1.23

This ratio tells us whether an entity is generating enough cash from operations to meet its current liabilities. A ratio less than one means CFO isnt adequate enough to meet current liabilities. We can see that Rogers can meet its current liabilities but BCE cannot. This is a cause of concern for BCE.

On the whole when we analyse BCE appears to be performing well than Rogers because Rogers had a decrease in cash from operation from 2011 to 2012.

When we look at the income statement we can see that both Rogers and BCE have an increase in Net Income over the years. This means that both the companies are operating at higher profits. But it seems that BCE is performing better than Rogers as it has higher Net Income. The increase in Incomes are due

to acquisitions and gain on investment over the years. If the management wants to increase the earnings they could do this by modifying operating cost, depreciation and amortization, finance cost, impairment of assets recorded.