Stockholders' Equity

12 Months Ended

Sep. 29, 2012

Stockholders' Equity

Stockholders' Equity

14.Stockholders’ Equity

Stock Issuances

On May 11, 2011, the Company issued 9,479,544 shares of its common stock, par value $0.10 per share, at $71.00 per share, which included 1,290,000 shares purchased by the underwriters pursuant to an overallotment option.  The Company also completed a concurrent private placement of 608,342 shares of its common stock to Luigi Lavazza S.p.A. (“Lavazza”) at $68.34 per share, pursuant to the Common Stock Purchase Agreement entered into between the Company and Lavazza on May 6, 2011 in accordance with the September 28, 2010 agreement discussed below.  The aggregate net proceeds to the Company from the public offering and concurrent private placement were approximately $688.9 million, net of underwriting discounts and commissions and offering expenses.  The Company used the proceeds to repay a portion of the outstanding debt under its credit facility and for general corporate purposes.

On September 28, 2010, the Company sold 8,566,649 shares of its common stock, par value $0.10 per share, to Lavazza for aggregate gross proceeds of $250.0 million.  The sale was recorded to stockholders’ equity net of transaction related expenses of approximately $0.5 million.  The shares were sold pursuant to a Common Stock Purchase Agreement which contains a five-and-one-half-year standstill period, subject to certain exceptions, during which Lavazza is prohibited from increasing its ownership of Common Stock or making any proposals or announcements relating to extraordinary Company transactions.  The standstill is subject to additional exceptions after a one-year period, including Lavazza’s right to purchase additional shares up to 15% of the Company’s outstanding shares.

Stock Repurchase Program

On July 30, 2012, the Board of Directors authorized a program for the Company to repurchase up to $500.0 million of the Company’s common shares over the next two years, at such times and prices as determined by the Company’s management.  Consistent with Delaware law, any repurchased shares are constructively retired and returned to an unissued status.  Accordingly, the par value of repurchased shares is deducted from common stock and excess repurchase price over the par value is deducted from additional paid-in capital and from retained earnings if additional paid-in capital is depleted.

	Fiscal 2012
Number of shares acquired	3,120,700
Average price per share of acquired shares	$	24.50
Total cost of acquired shares (in thousands)	$	76,470

Stock Split

On April 28, 2010, the Company announced that its Board of Directors had approved a three-for-one stock split affected in the form of a stock dividend of two additional shares of the Company’s common stock for every one share issued.  The additional shares were distributed on May 17, 2010, to stockholders of record at the close of business on May 10, 2010.

The par value of the common stock remained unchanged at $0.10 per share.  All share and per share data presented in this report have been adjusted to reflect the stock splits.

Accumulated Other Comprehensive Income (Loss)

Components of accumulated other comprehensive income (loss), net of tax (in thousands) as of:

	September 29, 2012			September 24, 2011
Net unrealized loss on derivatives classified as cash flow hedges	$	(5,792	)	$	(5,866	)
Foreign currency translation adjustment	15,992			(8,709		)
Accumulated other comprehensive income (loss)	$	10,200		$	(14,575	)

The favorable translation adjustment change during fiscal year 2012 was primarily due to the strengthening of the Canadian dollar against the U.S. dollar.  The unfavorable translation adjustment change during fiscal year 2011 was primarily due to the weakening of the Canadian dollar against the U.S. dollar.  See also Note 11, Derivative Financial Instruments.