Cracker Barrel 2015 Annual Report Download - page 18

leverage ratio is 3.00 to 1.00 or less and (2) in an aggregate
amount not to exceed $100,000 in any scal year if our
consolidated total leverage ratio is greater than 3.00 to 1.00 at
the time the dividend or repurchase is made; notwithstanding
(1) and (2), so long as immediately aer giving eectto the
payment of any such dividends, cash availability is at least
$100,000, we may declareand pay cash dividends on sharesof
our common stock in an aggregate amount not to exceed in
any scal year the product of the aggregate amount of dividends
declared in the fourth quarter of the immediately preceding
scal year multiplied by four.
During each of the rstthree quarters of 2015, we declared
a regular quarterly dividend of $1.00 per shareof our
common stock. Additionally, during the fourth quarter of
2015, we increased our regularquarterly dividend by 10% by
declaring a dividend of $1.10 per shareand declareda special
dividend of $3.00 per share, both payable on August 5, 2015
to shareholdersof record on July 17, 2015.
e following table highlights the dividends per sharewe
paid for the last three years:
2015 2014 2013
Dividends per share paid $4.00 $3.00 $1.90
Our current criteria for share repurchases are that they be
accretive to expected net income per share andare within the
limits imposed by our Revolving Credit Facility. Subjectto
the limits imposed by the Revolving Credit Facility and Prior
CreditFacility, in 2015, 2014 and 2013, we were authorized
by our Boardof Directors to repurchase shares at the
discretion of management up to $25,000, $50,000 and
$100,000, respectively. On September 25, 2015, our Boardof
Directors extended the $25,000 repurchase authorization for
an additional year.
e following table highlights our share repurchases for the
last three years:
2015 2014 2013
Sharesof common stock
repurchased — 120,000 44,300
Cost of sharesrepurchased $ — $ 12,473 $3,570
In 2015 and 2014, relatedtax withholding paymentson
certain share-based compensation awards exceeded proceeds
received from the exercise of stock options which resulted
in a net use of cash of $4,816 and $8,457, respectively. In 2013,
proceedsreceived from the exercise of share-based compen-
sation awards were $6,454.
Working Capital
In the restaurant industry, substantially all sales are either for
cash or third-party creditcard. Like many other restaurant
companies, we are able to, and oen do, operate with negative
working capital. Restaurant inventories purchased through our
principal food distributor are on termsof net zerodays, while
other restaurant inventories purchased locally are generally
nancedthrough trade creditat terms of 30 days or less.
Because of our gi shop, which has a lower product turnover
than the restaurant,we carry larger inventories than many other
companies in the restaurant industry. Retail inventories are
generally nancedthrough trade creditat terms of 60 days or
less. esevarious trade termsare aided by rapid turnoverof
the restaurant inventory.Employees generally are paid on
weeklyor semi-monthly schedules in arrears for hours worked
except for bonuses that are paid either quarterly or annually in
arrears. Many other operating expenses have normal trade
terms andcertain expenses such as certain taxes and some
benets are deferred for longer periods of time.
e following table highlights our working capital:
2015 2014 2013
Working capital (decit) $11,213 $(14,789) $(13,873)
e changein working capital at July 31, 2015 compared
to August 1, 2014 primarily reected an increase in cash from
operations partially oset by an increase in our dividend
payable, the timingof payments for accounts payable and
lower retail inventories. e changein working capital at
August 1, 2014 comparedto August 2, 2013 primarily
reected our current maturities on our debt, the increase in
our dividend payable, an increase in deferred revenuerelated
to the sales of our gi cards andthe current portion of our
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