Tyson Foods 2015 Annual Report Download - page 34
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Please find page 34 of the 2015 Tyson Foods annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.• Proceedsfromissuanceofdebtandequitycomponentsoftangibleequityunits–
• 2014–Weissued30million,4.75%tangibleequityunits(TEUs).Totalproceeds,netofunderwritingdiscountsandotherexpenses,were$1,454
million.EachTEUiscomprisedofaprepaidstockpurchasecontractandasenioramortizingnotedueJuly15,2017.Weallocatedtheproceedsfrom
theissuanceoftheTEUstoequityanddebtbasedontherelativefairvaluesoftherespectivecomponentsofeachTEU.Thefairvalueoftheprepaid
stockpurchasecontracts,whichwas$1,295million,isrecordedinCapitalinExcessofParValue,netof$40millionissuancecosts.Thefairvalueof
thesenioramortizingnotes,whichwas$205million,wasrecordedindebt,ofwhich$65millionwascurrent.
• Proceedsfromissuanceofcommonstock,netofissuancecosts–
• 2014–Weissued23.8millionsharesofourClassAcommonstock,fortotalproceeds,netofunderwritingdiscountsandotherofferingrelatedfees
andexpenses,of$873million.
• PurchasesofTysonClassAcommonstockinclude–
• $455million,$250millionand$550millionforsharesrepurchasedpursuanttooursharerepurchaseprograminfiscal2015,2014and2013,
respectively.
• $40million,$45millionand$64millionforsharesrepurchasedtofundcertainobligationsunderourequitycompensationplansinfiscal2015,2014
and2013,respectively.
• Weexpecttocontinuerepurchasingsharesunderoursharerepurchaseprogram.AsofOctober3,2015,21.1millionsharesremainauthorizedfor
repurchases.Thetimingandextenttowhichwerepurchaseshareswilldependupon,amongotherthings,ourworkingcapitalneeds,market
conditions,liquiditytargets,ourdebtobligationsandregulatoryrequirements.
• SubsequenttoOctober3,2015,wehaverepurchased$257million,orapproximately5.7millionshares,ofourcommonstockunderourshare
repurchaseprogram.
Liquidity
inmillions
Commitments
ExpirationDate
Facility
Amount
OutstandingLettersof
CreditunderRevolving
CreditFacility(nodrawdowns)
Amount
Borrowed
Amount
Available
Cashandcashequivalents
$ 688
Short-terminvestments
2
Revolvingcreditfacility
September2019
$ 1,250
$ 6
$ —
1,244
Totalliquidity
$ 1,934
•Therevolvingcreditfacilitysupportsourshort-termfundingneedsandlettersofcredit.Thelettersofcreditissuedunderthisfacilityareprimarilyin
supportofleasingobligationsandworkers’compensationinsuranceprograms.Ourmaximumborrowingundertherevolvingcreditfacilityduring
fiscal2015was$450million.
• AtOctober3,2015,wehadcurrentdebtof$715million,whichweintendtorepaywithcashgeneratedfromouroperatingactivitiesandotherliquidity
sources.
• Weexpectnetinterestexpensewillapproximate$255millionforfiscal2016.
•AtOctober3,2015,approximately$270millionofourcashwasheldintheinternationalaccountsofourforeignsubsidiaries.Generally,wedonotrely
ontheforeigncashasasourceoffundstosupportourongoingdomesticliquidityneeds.Rather,wemanageourworldwidecashrequirementsby
reviewingavailablefundsamongourforeignsubsidiariesandthecosteffectivenesswithwhichthosefundscanbeaccessed.Therepatriationofcash
balancesfromcertainofourforeignsubsidiariescouldhaveadversetaxconsequencesorbesubjecttoregulatorycapitalrequirements;however,those
balancesaregenerallyavailablewithoutlegalrestrictionstofundordinarybusinessoperations.UnitedStatesincometaxes,netofapplicableforeigntax
credits,havenotbeenprovidedonundistributedearningsofforeignsubsidiaries.Ourintentionistoreinvestthecashheldbyforeignsubsidiaries
permanentlyortorepatriatethecashonlywhenitistaxefficienttodoso.
• Ourcurrentratiowas1.52to1and1.64to1atOctober3,2015,andSeptember27,2014,respectively.
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