Stockholders' Equity

12 Months Ended

Dec. 29, 2013

Stockholders' Equity

Stockholders' Equity

3. Stockholders’ Equity

Shares Authorized and Outstanding

The Company has authorized 5.0 million preferred shares and 50.0 million common shares (such authorization was not impacted by the two-for-one stock split described below). The Company’s outstanding common shares, net of repurchased Company stock, were 41.7 million shares at December 29, 2013 and 44.5 million shares at December 30, 2012. There were no preferred shares issued or outstanding at December 29, 2013 and December 30, 2012.

Two-for-one Stock Split and Treasury Retirement

On October 29, 2013, our Board of Directors approved a two-for-one stock split of our outstanding shares. The stock split was effected in the form of a stock dividend and entitled each shareholder of record at the close of business on December 12, 2013 to receive one additional share for every outstanding share of stock held on the record date. The stock dividend was distributed on December 27, 2013 with approximately 21.0 million shares of stock distributed. All per share and share amounts in the accompanying consolidated financial statements and notes to the financial statements have been adjusted to reflect the stock split.

In conjunction with the stock split, we retired shares held in treasury as of October 29, 2013, the date of approval by our Board of Directors.

Share Repurchase Program

Our Board of Directors has authorized the repurchase of up to $1.2 billion of common stock under a share repurchase program that began on December 9, 1999 and expires on December 31, 2014. Funding for the share repurchase program has been provided through a credit facility, operating cash flow, stock option exercises and cash and cash equivalents.

We repurchased 3.5 million and 4.6 million shares of our common stock for $118.6 million and $106.1 million in 2013 and 2012, respectively.

Subsequent to year end through February 18, 2014, the Company acquired an additional 236,000 shares at an aggregate cost of $11.0 million. As of February 18, 2014, $110.9 million was available for repurchase of common stock under this authorization.

Cash Dividend

The Company initiated quarterly cash dividends to its shareholders during 2013. The Company paid a $0.125 per share dividend on September 20, 2013 (record date of September 6, 2013) and a second $0.125 dividend on November 22, 2013 (record date of November 11, 2013). The combined payment for both dividends was approximately $10.8 million.

Subsequent to fiscal 2013, on January 30, 2014, our Board of Directors declared a first quarter 2014 cash dividend of $0.125 per share, or approximately $5.2 million. The dividend was paid on February 21, 2014 to shareholders of record as of the close of business on February 10, 2014.