Software AG

3. Quarterly Report 2008



Consolidated statement of cash flows

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE NINE MONTHS ENDED
SEPTEMBER 30, 2008
IFRS, unaudited

in € thousands January 1 -
Sept. 30,
2008
January 1 -
Sept. 30,
2007
Q3|2008 Q3|2007





Net income for the year 80,649 61,498 31,002 19,168
Income taxes 38,899 33,158 15,590 10,554
Net financial income 4,459 -2,484 1,572 1,940
Amortization/depreciation
of non-current assets
18,431 11,195 5,940 5,915
Other non-cash income/expense 3,359 2,384 863 1,030
Operating cash flow before
changes in working capital
145,797 105,751 54,967 38,607
Changes in inventories,
receivables and other current assets
-28,809 -24,142 -10,778 -506
Changes in payables
and other liabilities
22,837 -9,069 4,243 -12,645
Income taxes paid -39,121 -28,567 -9,478 -10,417
Interest paid -7,621 -5,431 -4,003 -4,603
Interest received 3,192 8,107 1,075 1,875
Net cash from operating activities 96,275 46,649 36,026 12,311
Proceeds from sale of
tangible/intangible assets
1,463 1,061 1,276 536
Purchase of
tangible/intangible assets
-6,812 -4,729 -3,000 -2,460
Proceeds from the sale
of financial assets
1,217 2,697 108 125
Purchase of financial assets -916 -1,233 -198 -126
Payment for acquisitions, net -38,854 -360,626 -35 -1,845
Net cash used in investing activities -43,902 -362,830 -1,849 -3,770
Proceeds from issue of share capital 1,595 6,771 479 631
Dividends paid -28,539 -25,302 0 0
Proceeds from financial liabilities 0 325,829 0 0
Repayments of financial liabilities -20,937 -102,643 -10,700 -50,656
Payments for hedging instruments -2,542 0 -1,867 0
Net cash provided by/ used in
financing activities
-50,423 204,655 -12,088 -50,025
Change in cash and cash equivalents
from cash relevant transactions
1,950 -111,526 22,089 -41,484
Adjustment from currency translation -130 -2,264 1,615 -2,038
Net change in cash and
cash equivalents
1,820 -113,790 23,704 -43,522
Cash and cash equivalents
at the beginning of the period
81,294 184,774 59,410 114,506
Cash and cash equivalents
at the end of the period
83,114 70,984 83,114 70,984