Shareholders' Equity

9 Months Ended

May 31, 2012

Notes to Condensed Consolidated Financial Statements [Abstract]

Shareholders' Equity

Shareholders’ Equity

The following tables detail changes in shareholders’ equity during the nine months ended May 31, 2012 and May 31, 2011:

	Common Stock
	Class A		Class B		Additional Paid-in Capital			Treasury Stock Class A					Accumulated Other Comprehensive Loss			Total Apollo Shareholders’ Equity			Non-controlling (Deficit) Interests
	Stated Value		Stated Value								Retained Earnings											Total Equity
($ in thousands)								Cost
Balance as of August 31, 2011	$	103	$	1	$	68,724		$	(3,125,175	)	$	4,320,472	$	(23,761	)	$	1,240,364		$	3,625		$	1,243,989
Treasury stock purchases	—		—		—			(742,016		)	—		—			(742,016		)	—			(742,016		)
Treasury stock issued under stock purchase plans	—		—		(1,037		)	4,926			—		—			3,889			—			3,889
Treasury stock issued under stock incentive plans	—		—		(19,660		)	26,292			—		—			6,632			—			6,632
Net tax effect for stock incentive plans	—		—		(3,937		)	—			—		—			(3,937		)	—			(3,937		)
Share-based compensation	—		—		59,438			—			—		—			59,438			—			59,438
Currency translation adjustment, net of tax	—		—		—			—			—		(7,912		)	(7,912		)	(1,490		)	(9,402		)
Net income (loss)	—		—		—			—			347,230		—			347,230			(4,393		)	342,837
Balance as of May 31, 2012	$	103	$	1	$	103,528		$	(3,835,973	)	$	4,667,702	$	(31,673	)	$	903,688		$	(2,258	)	$	901,430
	Common Stock
	Class A		Class B		Additional Paid-in Capital			Treasury Stock Class A					Accumulated Other Comprehensive Loss			Total Apollo Shareholders’ Equity			Non-controlling (Deficit) Interests
	Stated Value		Stated Value								Retained Earnings											Total Equity
($ in thousands)								Cost
Balance as of August 31, 2010	$	103	$	1	$	46,865		$	(2,407,788	)	$	3,748,045	$	(31,176	)	$	1,356,050		$	32,690		$	1,388,740
Treasury stock purchases	—		—		—			(420,022		)	—		—			(420,022		)	—			(420,022		)
Treasury stock issued under stock purchase plans	—		—		(1,748		)	6,172			—		—			4,424			—			4,424
Treasury stock issued under stock incentive plans	—		—		(10,110		)	15,927			—		—			5,817			—			5,817
Net tax effect for stock incentive plans	—		—		(2,888		)	—			—		—			(2,888		)	—			(2,888		)
Share-based compensation	—		—		50,453			—			—		—			50,453			—			50,453
Currency translation adjustment, net of tax	—		—		—			—			—		6,773			6,773			863			7,636
Change in fair value of auction-rate securities, net of tax	—		—		—			—			—		463			463			—			463
Noncontrolling interest contributions(1)	—		—		—			—			—		—			—			6,875			6,875
Net income (loss)	—		—		—			—			383,815		—			383,815			(31,955		)	351,860
Balance as of May 31, 2011	$	103	$	1	$	82,572		$	(2,805,711	)	$	4,131,860	$	(23,940	)	$	1,384,885		$	8,473		$	1,393,358

⁽¹⁾ There was no change in our 85.6% ownership interest in Apollo Global during the nine months ended May 31, 2011.

Share Reissuances

During the three months ended May 31, 2012 and 2011, we issued approximately 0.1 million and 0.2 million shares, respectively, and during the nine months ended May 31, 2012 and 2011, we issued approximately 0.6 million and 0.4 million shares, respectively, of our Apollo Group Class A common stock from our treasury stock. These reissuances are a result of stock option exercises, release of shares covered by vested restricted stock units, and purchases under our employee stock purchase plan.

Share Repurchases

Our Board of Directors has authorized us to repurchase outstanding shares of Apollo Group Class A common stock, from time to time, depending on market conditions and other considerations. During the third quarter of fiscal year 2012, our Board of Directors authorized an increase in the amount available under our share repurchase program up to an aggregate amount of $300 million. There is no expiration date on the repurchase authorizations and repurchases occur at our discretion.

We repurchased approximately 9.0 million and 4.1 million shares of our Apollo Group Class A common stock at a total cost of $329.0 million and $167.3 million during the three months ended May 31, 2012 and 2011, respectively. This represented weighted average purchase prices of $36.41 and $40.26 per share during the respective periods. During the nine months ended May 31, 2012 and 2011, we repurchased approximately 17.1 million and 10.6 million shares of our Apollo Group Class A common stock at a total cost of approximately $736.0 million and $418.7 million, respectively. This represented weighted average purchase prices of $43.02 and $39.48 per share during the respective periods. At May 31, 2012, $10.2 million was recorded in accrued and other current liabilities on our Condensed Consolidated Balance Sheets for repurchased shares that settled subsequent to May 31, 2012.

As of May 31, 2012, approximately $63.5 million remained available under our share repurchase authorization. The amount and timing of future share repurchase authorizations and repurchases, if any, will be made as market and business conditions warrant. Repurchases may be made on the open market through various methods including but not limited to accelerated share repurchase programs, or in privately negotiated transactions, pursuant to the applicable Securities and Exchange Commission rules, and may include repurchases pursuant to Securities and Exchange Commission Rule 10b5-1 nondiscretionary trading programs.

In connection with the release of vested shares of restricted stock, we repurchased approximately 21,000 and 18,000 shares of Class A common stock for $0.8 million and $0.8 million during the three months ended May 31, 2012 and 2011, respectively. During the nine months ended May 31, 2012 and 2011, we repurchased approximately 126,000 and 32,000 shares of Class A common stock for $6.0 million and $1.3 million, respectively. These repurchases relate to tax withholding requirements on the restricted stock units and do not fall under the repurchase program described above.