The Robert Wood Johnson Foundation | Annual Report 2004

For the years ended December 31, 2004 and 2003 (in thousands)	2004	2003
Cash flows from operating activities:
Change in net assets	$ 1,161,639	$ 99,107
Adjustments to reconcile change in net assets to net cash used in operating activities
Depreciation	(33,108)	(24,503)
Net realized and unrealized (gains) losses on investments	(1,323,517)	(363,964)
Change in assets and liabilities
Decrease in interest and dividends receivable	932	2,873
(Increase) Decrease in contributions receivable	(1,247)	3,938
Decrease in program related investments	404	1,392
Increase (decrease) in accounts payable and accrued expenses	13,549	(330)
(Decrease) in unpaid grants	(127,274)	(100,090)
Increase (decrease) in accrued postretirement benefit obligation	1,856	(2,432)
Decrease in other assets	547	979
Net cash used in operating activities	(267,093)	(352,877)
Cash flows from investing activities:
Proceeds from sales of investments	3,698,673	3,498,223
Cost of investments purchased	(3,298,329)	(3,339,914)
Acquisition of property and equipment	(3,252)	(2,718)
Net cash provided by investing activities	297,092	155,591
Net increase (decrease) in cash and cash equivalents	29,999	(197,286)
Cash and cash equivalents at beginning of year	190,837	388,123
Cash and cash equivalents at end of year	$220,836	$190,837
Supplemental data:
Federal and state taxes paid	$ 10,612	$ 5,745
Assets acquired through capital leases	$ 638	$ —

Change in net assets