Equity and Comprehensive Income

8 Months Ended

May 07, 2017

Equity [Abstract]

Equity and Comprehensive Income

Note 5—Equity and Comprehensive Income

Dividends

The Company’s current quarterly dividend rate is $0.50 per share, compared to $0.45 per share in the third quarter of 2016. On April 25, 2017, the Board of Directors declared a quarterly cash dividend in the amount of $0.50 per share and a special cash dividend of $7.00 per share, both of which were paid subsequent to the end of the third quarter, on May 26, 2017. The aggregate payment was approximately $3,290 and was included in other current liabilities in the accompanying condensed consolidated balance sheets at May 7, 2017.

Stock Repurchase Programs

Stock repurchase activity during the third quarter and first thirty-six weeks of 2017 and 2016 is summarized below:

	Shares Repurchased (000's)	Average Price per Share		Total Cost
Third quarter of 2017	266	$	168.09	$	45
First thirty-six weeks of 2017	1,486	$	156.51	$	233
Third quarter of 2016	899	$	151.57	$	136
First thirty-six weeks of 2016	2,328	$	148.64	$	346

These amounts may differ from the stock repurchase balances in the accompanying condensed consolidated statements of cash flows due to changes in unsettled stock repurchases at the end of a quarter. The remaining amount available for stock repurchases under our approved plan, which expires in April 2019, was $2,989 at May 7, 2017. Purchases are made from time-to-time, as conditions warrant, in the open market or in block purchases and pursuant to plans under SEC Rule 10b5-1.

Components of Equity and Comprehensive Income

The following tables show the changes in equity attributable to Costco and the noncontrolling interests of consolidated subsidiaries:

	Attributable to Costco			Noncontrolling Interests		Total Equity
Equity at August 28, 2016	$	12,079		$	253	$	12,332
Comprehensive income:
Net income	1,760			22		1,782
Foreign-currency translation adjustment and other, net	(222		)	12		(210		)
Comprehensive income	1,538			34		1,572
Stock-based compensation	404			0		404
Release of vested restricted stock units (RSUs), including tax effects	(165		)	0		(165		)
Repurchases of common stock	(233		)	0		(233		)
Cash dividends declared and other	(3,725		)	0		(3,725		)
Equity at May 7, 2017	$	9,898		$	287	$	10,185

	Attributable to Costco			Noncontrolling Interests			Total Equity
Equity at August 30, 2015	$	10,617		$	226		$	10,843
Comprehensive income:
Net income	1,571			20			1,591
Foreign-currency translation adjustment and other, net	(5		)	0			(5		)
Comprehensive income	1,566			20			1,586
Stock-based compensation	362			0			362
Release of vested RSUs, including tax effects	(145		)	0			(145		)
Repurchases of common stock	(346		)	0			(346		)
Cash dividends declared	(549		)	0			(549		)
Distribution to noncontrolling interest	0			(3		)	(3		)
Equity at May 8, 2016	$	11,505		$	243		$	11,748