Shareholders' Equity

9 Months Ended

May 28, 2022

Shareholders' Equity [Abstract]

Shareholders' Equity

Note 7. Shareholders’ Equity

Common Stock Repurchases and Treasury Stock

On June 29, 2021, the Company’s Board of Directors terminated the MSC Stock Repurchase Plan, which was established during fiscal year 1999, and authorized a new share repurchase program (the “Share Repurchase Program”) to purchase up to 5,000 shares of Class A Common Stock. There is no expiration date for the Share Repurchase Program. As of May 28, 2022, the maximum number of shares that may yet be repurchased under the Share Repurchase Program was 5,000 shares of Class A Common Stock. The Share Repurchase Program allows the Company to repurchase shares at any time and in any increments it deems appropriate in accordance with Rule 10b-18 under the Securities Exchange Act of 1934, as amended.

During the thirteen- and thirty-nine-week periods ended May 28, 2022, the Company repurchased 2 shares and 59 shares, respectively, of Class A Common Stock for $131 and $4,944, respectively. All of these shares were repurchased by the Company to satisfy the Company’s associates’ tax withholding liability associated with its share-based compensation program and are reflected at cost as treasury stock in the unaudited Condensed Consolidated Financial Statements for the thirteen- and thirty-nine-week periods ended May 28, 2022. During the thirteen- and thirty-nine-week periods ended May 29, 2021, the Company repurchased 508 shares and 558 shares, respectively, of Class A Common Stock for $47,181 and $50,700, respectively. From these totals, 507 shares were immediately retired for both the thirteen and thirty-nine weeks ended May 29, 2021, and 1 shares and 51 shares were repurchased by the Company to satisfy the Company’s associates’ tax withholding liability associated with its stock-based compensation program and are reflected at cost as treasury stock in the unaudited Condensed Consolidated Financial Statements for the thirteen- and thirty-nine-week periods ended May 29, 2021.

The Company reissued 15 shares and 45 shares of treasury stock during the thirteen- and thirty-nine-week periods ended May 28, 2022, respectively, and reissued 13 shares and 44 shares of treasury stock during the thirteen- and thirty-nine-week periods ended May 29, 2021, respectively, to fund the MSC Industrial Direct Co., Inc. Amended and Restated Associate Stock Purchase Plan.

Dividends on Common Stock

The Company paid aggregate regular cash dividends of $2.25 per common share totaling approximately $125,532 for the thirty-nine weeks ended May 28, 2022. For the thirty-nine weeks ended May 29, 2021, the Company paid a special cash dividend of $3.50 per common share totaling approximately $195,351 and regular cash dividends of $2.25 per common share totaling approximately $125,707. 

On June 21, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.75 per share, payable on July 26, 2022, to shareholders of record at the close of business on July 12, 2022. The dividend is expected to result in aggregate payments of approximately $41,988, based on the number of shares outstanding at June 15, 2022.