-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Jmam5oLJTxAMUpTtZlhsrq9DZbPBI3V4ovexKJDODFL3Du5QegmcNh8vPphYHvAU fvOpnfYDD9pqBcjRnjEhzQ== 0001045969-99-000006.txt : 19990111 0001045969-99-000006.hdr.sgml : 19990111 ACCESSION NUMBER: 0001045969-99-000006 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19981205 FILED AS OF DATE: 19990108 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SUPERVALU INC CENTRAL INDEX KEY: 0000095521 STANDARD INDUSTRIAL CLASSIFICATION: WHOLESALE-GROCERIES & RELATED PRODUCTS [5140] IRS NUMBER: 410617000 STATE OF INCORPORATION: DE FISCAL YEAR END: 0222 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 001-05418 FILM NUMBER: 99502886 BUSINESS ADDRESS: STREET 1: 11840 VALLEY VIEW RD STREET 2: NULL CITY: EDEN PRAIRIE STATE: MN ZIP: 55344 BUSINESS PHONE: 6128284000 MAIL ADDRESS: STREET 1: 11840 VALLEY VIEW ROAD CITY: EDEN PRAIRIE STATE: MN ZIP: 55344 FORMER COMPANY: FORMER CONFORMED NAME: SUPER VALU STORES INC DATE OF NAME CHANGE: 19920703 10-Q 1 FORM 10-Q FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark One) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period (12 weeks) ended December 5, 1998. [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ................. to .......................... Commission file number 1-5418 SUPERVALU INC. (Exact name of registrant as specified in its Charter) DELAWARE 41-0617000 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 11840 VALLEY VIEW ROAD, EDEN PRAIRIE, MINNESOTA 55344 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (612) 828-4000 Former name, former address and former fiscal year, if changed since last report: N/A Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No The number of shares outstanding of each of the issuer's classes of Common Stock as of January 2, 1999 is as follows: Title of Each Class Shares Outstanding ------------------- ------------------ Common Shares 120,066,711 PART I - FINANCIAL INFORMATION - -------------------------------------------------------------------------------- Item 1: Financial Statements - -------------------------------------------------------------------------------- CONSOLIDATED STATEMENTS OF EARNINGS - -------------------------------------------------------------------------------- SUPERVALU INC. and Subsidiaries - -------------------------------------------------------------------------------- (In thousands, except per share data)
Third Quarter (12 weeks) ended Dec 5, 1998 % of sales Nov 29, 1997 % of sales - ------------------------------------------------------------------------------------------------- Net sales $ 4,079,696 100.00% $ 4,004,565 100.00% Costs and expenses: Cost of sales 3,665,933 89.86 3,600,773 89.92 Selling and administrative expenses 312,668 7.66 306,827 7.66 Amortization of goodwill 4,875 0.12 4,568 0.11 Interest Interest expense 28,749 0.70 29,859 0.75 Interest income 5,872 0.14 4,778 0.12 ------------------------------------------------------ Interest expense, net 22,877 0.56 25,081 0.63 ------------------------------------------------------ Total costs and expenses 4,006,353 98.20 3,937,249 98.32 ------------------------------------------------------ Earnings before income taxes 73,343 1.80 67,316 1.68 Provision for income taxes Current 26,327 25,939 Deferred 1,756 1,128 ------------------------------------------------------ Income tax expense 28,083 0.69 27,067 0.67 ------------------------------------------------------ Net earnings $ 45,260 1.11% $ 40,249 1.01% ====================================================== Net earnings per common share - basic $ .38 $ .33 Net earnings per common share - diluted $ .37 $ .33 Weighted average number of common shares outstanding Basic 120,191 120,422 Diluted 121,861 121,742 Dividends declared per common share $ .1325 $ .1300
All data subject to year-end audit. See notes to consolidated financial statements. 2 CONSOLIDATED STATEMENTS OF EARNINGS - -------------------------------------------------------------------------------- SUPERVALU INC. and Subsidiaries - -------------------------------------------------------------------------------- (In thousands, except per share data)
Year-to-date (40 weeks) Ended ------------------------------------------------------- Dec 5, 1998 % of sales Nov 29, 1997 % of sales - ----------------------------------------------------------------------------------------------------- Net sales $ 13,219,590 100.00% $12,903,880 100.00% Costs and expenses: Cost of sales 11,884,239 89.90 11,605,673 89.94 Selling and administrative expenses 1,014,846 7.68 990,778 7.67 Amortization of goodwill 15,970 0.12 15,162 0.12 Interest Interest expense 94,345 0.71 101,026 0.78 Interest income 16,162 0.12 13,808 0.10 ------------------------------------------------------- Interest expense, net 78,183 0.59 87,218 0.68 ------------------------------------------------------- Total costs and expenses 12,993,238 98.29 12,698,831 98.41 ------------------------------------------------------- Earnings before equity in earnings of ShopKo and income taxes 226,352 1.71 205,049 1.59 Equity in earnings and gain on sale of ShopKo - - 93,364 0.72 ------------------------------------------------------- Earnings before income taxes 226,352 1.71 298,413 2.31 Provision for income taxes Current 83,826 113,326 Deferred 5,568 5,957 ------------------------------------------------------- Income tax expense 89,394 0.67 119,283 0.92 ------------------------------------------------------- Net earnings $ 136,958 1.04% $ 179,130 1.39% ======================================================= Net earnings per common share - basic $ 1.14 $ 1.41 Net earnings per common share - diluted $ 1.12 $ 1.40 Weighted average number of common shares outstanding Basic 120,509 126,944 Diluted 122,069 128,022 Dividends declared per common share $ .3950 $ .3850
All data subject to year-end audit. See notes to consolidated financial statements. 3 CONDENSED CONSOLIDATED BALANCE SHEETS
- ------------------------------------------------------------------------------------ SUPERVALU INC. and Subsidiaries Third Quarter as of Fiscal Year End - ------------------------------------------------------------------------------------ (In thousands) December 5, February 28, Assets 1998 1998 - ------------------------------------------------------------------------------------ Current Assets Cash and cash equivalents $ 6,264 $ 6,100 Receivables, less allowance for losses of $15,557 at December 5, 1998 and $13,415 at February 28, 1998 451,975 410,741 Inventories 1,283,196 1,115,529 Other current assets 75,363 79,690 ----------------------------- Total current assets 1,816,798 1,612,060 Long-term notes receivable 138,051 178,692 Property, plant and equipment, net 1,671,428 1,589,601 Goodwill 503,302 498,438 Other assets 227,772 214,219 ----------------------------- Total assets $4,357,351 $4,093,010 ============================= Liabilities and Stockholders' Equity - ------------------------------------------------------------------------------------ Current Liabilities Notes payable $ 289,458 $ 149,002 Accounts payable 1,070,811 924,371 Current debt and obligations under capital leases 233,162 179,594 Other current liabilities 208,110 204,193 ----------------------------- Total current liabilities 1,801,541 1,457,160 Long-term debt and obligations under captial leases 1,109,135 1,260,728 Other liabilities and deferred income taxes 177,273 173,217 Total stockholders' equity 1,269,402 1,201,905 ----------------------------- Total liabilities and stockholders' equity $4,357,351 $4,093,010 ============================= All data subject to year-end audit. See notes to consolidated financial statements.
4 CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - -------------------------------------------------------------------------------- SUPERVALU INC. and Subsidiaries - -------------------------------------------------------------------------------- (In thousands, except per share data)
Capital in Preferred Common Excess of Treasury Retained Stock Stock Par Value Stock Earnings Total - ---------------------------------------------------------------------------------------------------------------------- Balances at February 22, 1997 $5,908 $150,670 $ 99 $ (231,871) $1,382,617 $1,307,423 Net earnings - - - - 230,757 230,757 Sales of common stock under option plans - - (4,123) 51,623 - 47,500 Cash dividends declared on common stock - $.515 per share - - - - (63,678) (63,678) Compensation under employee incentive plans - - 6,951 11,289 - 18,240 Purchase of shares for treasury - - - (338,337) - (338,337) - ---------------------------------------------------------------------------------------------------------------------- Balances at February 28,1998 5,908 150,670 2,927 (507,296) 1,549,696 1,201,905 Net earnings - - - - 136,958 136,958 Sales of common stock under option plans - - (5,801) 28,270 - 22,469 Cash dividends declared on common stock - $.395 per share - - - - (48,119) (48,119) Compensation under employee incentive plans - - 1,077 4,492 - 5,569 Treasury shares exchanged for acquisition - - 1,918 2,167 - 4,085 Purchase of shares for treasury - - - (53,465) - (53,465) - ---------------------------------------------------------------------------------------------------------------------- Balances at December 5, 1998 $5,908 $150,670 $ 121 $ (525,832) $1,638,535 $1,269,402 ======================================================================================================================
All data subject to year-end audit. See notes to consolidated financial statements. 5 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - -------------------------------------------------------------------------------- SUPERVALU INC. and Subsidiaries - -------------------------------------------------------------------------------- (In thousands) - -------------------------------------------------------------------------------- Year-to-date (40 weeks ended) - -------------------------------------------------------------------------------- December 5, November 29, 1998 1997 - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- Net cash provided by operating activities $ 243,985 $ 179,571 - ------------------------------------------------------------------------------- Cash flows from investing activities Proceeds from sale of ShopKo stock -- 305,153 Additions to long-term notes receivable (40,454) (58,650) Proceeds received on long-term notes receivable 92,325 27,040 Proceeds from sale of property, plant and equipment 55,017 66,971 Purchase of property, plant and equipment (194,669) (163,344) Business acquisition, net of cash acquired (37,438) (23,523) Other cash used in investing activities (18,511) (31,424) - ------------------------------------------------------------------------------- Net cash provided by (used in) investing activities (143,730) 122,223 - ------------------------------------------------------------------------------- Cash flows from financing activities Net increase in checks outstanding, net of deposits 39,042 70,576 Net increase of short-term notes payable 140,456 59,827 Proceeds from issuance of long-term debt 83,500 -- Repayment of long-term debt (258,483) (74,631) Dividends paid (48,099) (49,507) Payments for purchase of treasury stock (53,465) (288,819) Other cash provided by (used in) financing activities (3,042) 13,847 - ------------------------------------------------------------------------------- Net cash used in financing activities (100,091) (268,707) - ------------------------------------------------------------------------------- Net increase in cash and cash equivalents 164 33,087 Cash and cash equivalents at beginning of year 6,100 6,539 - ------------------------------------------------------------------------------- Cash and cash equivalents at end of third quarter $ 6,264 $ 39,626 =============================================================================== Supplemental Information: Pretax LIFO income (expense) $ 1,729 $ (3,394) Pretax depreciation and amortization $ 174,837 $ 174,844 All data subject to year-end audit. See notes to consolidated financial statements. 6 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Accounting Policies - ------------------- The summary of significant accounting policies is included in the notes to consolidated financial statements in the 1998 annual report of SUPERVALU INC. ("SUPERVALU" or the "company"). Stock Split - ----------- On July 1, 1998 the company announced a two-for-one stock split, to be effected in the form of a 100 percent stock dividend for shareholders of record on July 20, 1998. All share and per share data have been adjusted to reflect the stock dividend. Statement of Registrant - ----------------------- The data presented herein is unaudited but, in the opinion of management, includes all adjustments necessary for a fair presentation of the condensed consolidated financial position of the company and its subsidiaries at December 5, 1998 and November 29, 1997 and the results of the company's operations and condensed cash flows for the periods then ended. These interim results are not necessarily indicative of the results of the fiscal years as a whole. 7 Item 2: Management's Discussion and Analysis of Financial Condition and Results - ------- ----------------------------------------------------------------------- of Operations ------------- Results of Operations - --------------------- RESULTS FOR THE QUARTER: The company reported sales of $4.1 billion, net earnings of $45.3 million, basic earnings per share of $.38 and diluted earnings per share of $.37. Last year's sales were $4.0 billion, net earnings were $40.2 million and basic and diluted earnings per share were $.33. The following table sets forth net sales by segment: Net Sales by Segment - ------------------------------------------------------------------------------ (In thousands) Third Quarter (12 weeks) - ------------------------------------------------------------------------------ December 5, 1998 November 29, 1997 - ------------------------------------------------------------------------------ Net Sales % of Total Net Sales % of Total - ------------------------------------------------------------------------------ Food distribution $3,638,591 89.2 % $3,561,766 88.9 % Retail food 1,158,982 28.4 1,101,428 27.5 Less: Eliminations (717,877) (17.6) (658,629) (16.4) - ------------------------------------------------------------------------------ Total net sales $4,079,696 100.0 % $4,004,565 100.0 % ============================================================================== Net sales Net sales increased 1.9 percent compared to last year, positively impacted by a 2.2 percent increase in food distribution sales and a 5.2 percent increase in retail food sales. Sales gains were achieved despite the low inflationary environment. Food distribution continued to achieve sales increases by adding net new independent customers and stores, and also benefited from strengths in owned retail stores. Retail food sales increased over last year primarily due to new store openings and acquisitions over the past twelve months. Same-store sales increased 0.3 percent, which were impacted by cannibalization and competitive activity. The 5.2 percent increase in retail food sales was achieved despite the closing or sale of underperfoming stores in the prior year. Gross profit Gross profit as a percentage of net sales was 10.1 percent, even with last year. Food distribution and retail food gross profit as a percent of net sales were consistent with last year. Selling and administrative expenses Selling and administrative expenses were 7.8 percent of net sales, even with last year. Food distribution and retail food selling and administrative expenses as a percent of net sales were consistent with last year. 8 Operating earnings The company's operating earnings (earnings before interest and income taxes) increased 4.1 percent to $96.2 million compared with $92.4 million last year. Operating earnings before depreciation and amortization increased to $148.9 million compared with $144.6 million last year, a 2.9 percent increase. Food distribution operating earnings were $75.2 million compared to $76.6 million last year. Results for food distribution were impacted by costs associated with the startup of the new regional distribution facility in the Midwest. Retail food operating earnings increased 33.5 percent to $28.5 million from $21.3 million last year. The increase in retail food operating earnings was due to the sales increase and selling and administrative expense controls. Interest expense and income Interest expense decreased to $28.7 million compared with $29.9 million last year, reflecting lower average interest rates and borrowings. Interest income increased to $5.9 million compared with $4.8 million last year, primarily due to increased retailer financing. Income taxes The effective tax rate decreased to 38.3 percent compared with 40.2 percent last year reflecting an adjustment to the company's forecasted annual effective tax rate to 39.5 percent. Net earnings Net earnings were $45.3 million or $.38 per share - basic ($.37 per share - diluted) compared with last year's net earnings of $40.2 million or $.33 per share - basic and diluted. Weighted average shares - diluted increased slightly to 121.9 million compared with last year's 121.7 million. YEAR-TO-DATE RESULTS: The following table sets forth net sales by segment: Net Sales by Segment - ------------------------------------------------------------------------------ (In thousands) Year-to-Date (40 weeks) - ------------------------------------------------------------------------------ December 5, 1998 November 29, 1997 - ------------------------------------------------------------------------------ Net Sales % of Total Net Sales % of Total - ------------------------------------------------------------------------------ Food distribution $11,697,580 88.5 % $11,396,050 88.3 % Retail food 3,711,984 28.1 3,547,526 27.5 Less: Eliminations (2,189,974) (16.6) (2,039,696) (15.8) - ------------------------------------------------------------------------------ Total net sales $13,219,590 100.0 % $12,903,880 100.0 % ============================================================================== Net sales Net sales increased 2.4 percent compared to last year, positively impacted by a 2.6 percent increase in food distribution sales and a 4.6 percent increase in retail food sales. Sales gains were achieved despite the low inflationary environment. Food distribution continued to achieve sales increases by adding net new independent customers and stores, and also benefited from strengths in owned retail stores. Retail food sales increased over last year primarily due to new store openings over the past twelve months and an increase in same store sales of 1.5 percent. The 9 4.6 percent increase in retail food sales was achieved despite the closing or sale of underperforming stores in the prior year. Gross profit Gross profit as a percentage of net sales was 10.1 percent, even with last year. Food distribution and retail food gross profit as a percent of net sales were consistent with last year. Selling and administrative expenses Selling and administrative expenses were 7.8 percent of net sales, even with last year. Food distribution and retail food selling and administrative expenses as a percent of net sales were consistent with last year. Operating earnings The company's operating earnings (earnings before interest, equity in earnings and gain on sale of ShopKo Stores, Inc. ("Shopko") and income taxes) increased to $304.5 million compared with $292.3 million last year. Operating earnings before depreciation and amortization increased to $479.4 million compared with $467.1 million last year, a 2.6 percent increase. Food distribution operating earnings increased 0.7 percent to $235.5 million from $233.8 million. Retail food operating earnings increased 17.8 percent to $91.7 million from $77.8 million. The increase in retail food operating earnings was due to the strong same store sales performance and selling and administrative expense controls. Interest expense and income Interest expense decreased to $94.3 million compared with $101.0 million last year, reflecting lower average interest rates and borrowings. Interest income increased to $16.2 million compared with $13.8 million last year, primarily due to increased retailer financing. Equity in earnings and gain on sale of ShopKo During the second quarter of last year, the company exited its remaining 46 percent investment in ShopKo. The transaction resulted in a pretax gain of $90.0 million or $.42 per share last year. Due to the sale, there was no equity in earnings recorded in the current year compared with $3.3 million or $.03 per share last year. Net earnings Net earnings were $137.0 million or $1.14 per share - basic ($1.12 per share - diluted) compared with last year's net earnings of $179.1 million or $1.41 per share - basic ($1.40 per share - diluted). Excluding ShopKo, last year's net earnings would have been $122.1 million or $.96 per share - basic ($.95 per share - diluted). Weighted average shares - diluted declined to 122.1 million compared with last year's 128.0 million primarily due to the repurchase of 13.8 million shares in the second quarter of last year, with proceeds from the ShopKo transaction. 10 Liquidity and Capital Resources - ------------------------------- Internally generated funds from operations continued to be the major source of liquidity and capital growth. Cash provided from operations year-to-date was $244.0 million compared with $179.6 million last year. Cash provided from operations and a net increase in short term notes payable of $140.5 million were primarily used to repay long-term debt of $258.5 million and finance capital expenditures of $194.7 million. In the third quarter, $60 million of notes receivable were sold and the proceeds were used to reduce short-term notes payable. SUPERVALU will continue to use short-term and long-term debt as a supplement to internally generated funds to finance its activities. The company has a $400 million "shelf registration" in effect pursuant to which the company could issue $159 million of additional debt securities. During the year the company issued $83.5 million of bonds under the existing "shelf registration". The bonds issued had average coupon rates of 6.6 percent with seven and eight year maturities. A $400 million revolving credit agreement, with rates tied to LIBOR plus .180 to .275 percent, also is in place and expires in October 2002. The revolving credit agreement is available for general corporate purposes and to support the company's commercial paper program. There were no drawings on the revolving credit agreement during the year. Total commercial paper outstanding as of the end of the third quarter was $263 million. Maturities of debt will depend on management's views with respect to the relative attractiveness of interest rates at the time of issuance. Year 2000 - --------- General SUPERVALU's company wide Year 2000 Project ("Project") is proceeding on schedule. The Project is addressing the issue of application systems, information technology (IT) systems and technologies which include embedded systems being able to distinguish between the year 1900 and the year 2000. In 1996, the company began establishing processes for evaluating and managing the risks associated with the Project. The Project is divided into six components. These components include program management, communications, application conversions and technology upgrades, contingency planning, quality assurance and external entities. The company is using both internal and external resources to implement the Project. The work to complete the Project is expected to be completed by mid to late 1999. The company has relationships with a significant number of key business partners. The company has initiated formal communications with its key business partners and has initiated formal contingency planning processes to mitigate the risk to the company if the business partners are not prepared for the year 2000. This is planned to be completed by mid 1999. There can be no guarantee that the business partners will successfully and timely reprogram or replace and test all of their own computer hardware, software and process control systems. While the failure of a single business partner to achieve year 2000 compliance should not have a material adverse effect on the company's results of operations, the failure of several key business partners could have such an effect. 11 Costs The total costs associated with required modifications to become Year 2000 compliant is not expected to be material to the company's financial position. The company has incurred costs to date of $18.7 million. Estimated costs for the remainder of work is $7.6 million for a total projected Project cost of $26.3 million. Risks While the effort to assess and correct the company's Year 2000 issues are expected to be complete prior to related forecasted failure horizons, the company is taking specific measures to assess risks and develop specific contingency plans. A formal process is being developed to assess business critical functions and create action plans which will describe the communications, operations and IT activities that will be conducted if the contingency plan must be executed. The costs of the Project and the completion dates are based on management's best estimates, which were derived from assumptions of future events including the availability of resources, key business partner modification plans and other factors. There can be no guarantee that these estimates will be achieved and actual results could vary due to uncertainties. The company's Year 2000 efforts are ongoing and its overall Project will continue to evolve as new information becomes available. The failure to correct a material Year 2000 problem could result in an interruption in certain normal business activities and operations. Due to the general uncertainty inherent in the Year 2000 problem, resulting in part from the uncertainty of the Year 2000 readiness of third parties on whom the company relies, the company is unable to determine at this time whether the consequences of Year 2000 failures will have a material adverse impact on the company's results of operation but the company believes that, with the implementation of new business systems and completion of the Project as scheduled, the possibility of significant interruptions of normal operations should be reduced. Cautionary statements for purposes of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995 The information in this 10Q includes forward-looking statements. Important risks and uncertainties that could cause actual results to differ materially from those discussed in such forward looking statements are detailed in Exhibit 99.1 to the company's Annual Report on Form 10-K for the fiscal year ended February 28, 1998 and under the caption "Year 2000" in this Form 10-Q; other risks or uncertainties may be detailed from time to time in the company's future Securities and Exchange Commission filings. 12 PART II - OTHER INFORMATION --------------------------- Item 6. Exhibits and Reports on Form 8-K. - ------- --------------------------------- (a) Exhibits filed with this Form 10-Q: (11) Computation of Earnings Per Common Share. (27) Financial Data Schedule. (b) Reports on Form 8-K: No reports on Form 8-K were filed during the quarter. SIGNATURES ---------- Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. SUPERVALU INC. (Registrant) Dated: January 8, 1999 By: /s/ Pamela K. Knous ---------------------------------- Pamela K. Knous Executive Vice President, Chief Financial Officer (Authorized officer of Registrant) 13 EX-11 2 COMPUTATION OF EARNINGS PER COMMON SHARE Exhibit 11 SUPERVALU INC. Computation of Earnings per Common Share (unaudited)
- ------------------------------------------------------------------------------------------------------------- Third Quarter Ended Year-to-date Ended (In thousands, except per share amounts) Dec. 5, 1998 Nov. 29, 1997 Dec. 5, 1998 Nov. 29, 1997 - ------------------------------------------------------------------------------------------------------------- Earnings per share - basic Income available to common shareholders $ 45,260 $ 40,249 $136,958 $179,130 Weighted average shares outstanding 120,191 120,422 120,509 126,944 Earnings per share - basic $.38 $.33 $1.14 $1.41 Earnings per share - diluted Income available to common shareholders $ 45,260 $ 40,249 $136,958 $179,130 Weighted average shares outstanding 120,191 120,422 120,509 126,944 Dilutive impact of options outstanding 1,670 1,320 1,560 1,078 -------- -------- -------- -------- Weighted average shares and potential dilutive shares outstanding 121,861 121,742 122,069 128,022 Earnings per share - dilutive $.37 $.33 $1.12 $1.40 - -------------------------------------------------------------------------------------------------------------
Basic earnings per share is calculated using income available to common shareholders divided by the weighted average of common shares outstanding during the period. Diluted earnings per share is similar to basic earnings per share except that the weighted average of common shares outstanding is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares, such as options, had been issued. EX-27 3 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEETS AS OF DECEMBER 5, 1998 AND THE CONSOLIDATED STATEMENT OF EARNINGS FOR THE 40 WEEKS ENDED DECEMBER 5, 1998 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 9-MOS FEB-27-1999 MAR-01-1998 DEC-05-1998 6,264 0 467,532 (15,557) 1,283,196 1,816,798 2,876,434 (1,205,006) 4,357,351 1,801,541 1,109,135 0 5,908 150,670 1,112,824 4,357,351 13,219,590 13,219,590 11,884,239 11,884,239 0 5,342 94,345 226,352 89,394 136,958 0 0 0 136,958 1.14 1.12
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