Note 12 - Shareholders' Equity

3 Months Ended

Mar. 31, 2023

Notes to Financial Statements

Equity [Text Block]

12. Shareholders’ Equity

Fixed Rate Cumulative Convertible Preferred Stock, Series A

We had 2,300 outstanding shares of Fixed Rate Cumulative Convertible Preferred Stock, Series A (the “Preferred Stock”) as of December 31, 2020. On January 16, 2021, the Preferred Stock became convertible into 115 million common shares. On April 5, 2021, we executed the Share Repurchase Agreement (“SRA”) with Samsung Display Co., Ltd. (“SDC”) and the Preferred Stock was fully converted as of April 8, 2021. Immediately following the conversion, we repurchased and retired 35 million of the common shares held by SDC for an aggregate purchase price of approximately $1.5 billion, of which approximately $507 million was paid in April 2022 and 2021. The remaining payment of approximately $507 million was made in April 2023.

Share Repurchase Program

In 2019, the Board authorized the repurchase of up to $5.0 billion of additional common stock upon the completion of the 2018 repurchase plan (“2019 Authorization”).

During the three months ended  March 31, 2022 the Company repurchased 3.9 million shares of common stock on the open market for approximately $151 million as part of its 2019 Authorization. No shares were purchased on the open market during the three months ended March 31, 2023.

As of March 31, 2023, approximately $3.3 billion remains available under the Company's 2019 Authorization.

Accumulated Other Comprehensive Loss

For the three months ended March 31, 2023 and 2022, the change in accumulated other comprehensive loss was primarily related to the foreign currency translation adjustment.

The following table presents the changes in the foreign currency translation adjustment component of accumulated other comprehensive loss, including the proportionate share of equity method affiliates' accumulated other comprehensive loss (in millions) ⁽¹⁾:

	Three months ended
	March 31,
	2023			2022
Beginning balance	$	(1,712	)	$	(933	)
Loss on foreign currency translation (2)		(83	)		(198	)
Equity method affiliates (3)		(1	)		(2	)
Net current-period other comprehensive loss		(84	)		(200	)
Ending balance	$	(1,796	)	$	(1,133	)

⁽¹⁾ All amounts are after tax. Amounts in parentheses indicate debits to accumulated other comprehensive loss.

⁽²⁾ For the three months ended March 31, 2023 and 2022, amounts are net of tax benefit of $16 million and $11 million, respectively.  

⁽³⁾ Tax effects are not significant.