International Bancshares Corporation (Parent Company Only) Financial Information Statements of Cash Flows (Tables)

12 Months Ended

Dec. 31, 2012

(Dollars in Thousands)

	2012			2011			2010

Operating activities:
Net income	$	107,835		$	127,149		$	130,023
Adjustments to reconcile net income to net cash provided by operating activities:
Accretion of junior subordinated interest deferrable debentures		—			9			35
Investment securities transactions, net		—			2			1,135
Accretion of investment securities discounts		—			—			(232	)
Stock compensation expense		474			387			534
Increase (decrease) in other liabilities		6,711			(3,234	)		4,976
Equity in distributed (undistributed) net income of subsidiaries		119,181			(78,806	)		(81,923	)

Net cash provided by operating activities		234,201			45,507			54,548

Investing activities:
Principal collected on mortgage-backed securities		1,985			1,355			3,324
Net decrease (increase) in notes receivable		86			(245	)		(150	)
Decrease (increase) in other assets and other investments		6,418			(4,193	)		(8,311	)

Net cash provided by (used in) investing activities		8,489			(3,083	)		(5,137	)

Financing activities:
Repayment of trust preferred securities		—			(10,400	)		—
Redemption of preferred shares		(216,000	)
Proceeds from stock transactions		51			113			484
Payments of cash dividends—common		(26,894	)		(25,648	)		(24,444	)
Payments of cash dividends—preferred		(10,260	)		(10,800	)		(10,800	)
Purchase of treasury stock		(1,716	)		(6,435	)		(6,949	)

Net cash used in financing activities		(254,819	)		(53,170	)		(41,709	)

(Decrease) increase in cash		(12,129	)		(10,746	)		7,702
Cash at beginning of year		13,668			24,414			16,712

Cash at end of year	$	1,539		$	13,668		$	24,414