Cash Flows from Operating Activities$-$Net Loss

United Continental Holdings, Inc., the parent company of United Airlines, reported a net loss of $$723$ million from operations. However, on its statement of cash flows, it

reported $$935$ million of cash flows from operating activities.

The contradiction between the loss and positive cash flows is that depreciation is an expense in

determining.net income, but it does not result in a cash

Thus, depreciation is

the net loss in order to determine net cash flow from operations.