Best Buy 2006 Annual Report Download - page 37

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23
PART II
PART II
Item 5. Market for Registrant’s Common Equity,
Related Stockholder Matters and Issuer Purchases
of EquitySecurities.
Market Information
Our common stock is traded on the New York Stock
Exchange under the ticker symbol BBY. The table below sets
forth the high andlow sales prices of our common stock as
reported on the New York Stock Exchange — Composite
Index during the periods indicated. The stock prices below
have been revised to reflect a three-for-two stock split
effected on August 3, 2005.
Sales Price
High Low
Fiscal 2006
First Quarter $ 36.99 $ 31.93
Second Quarter 53.17 36.20
Third Quarter 50.88 40.40
Fourth Quarter 56.00 42.75
Fiscal 2005
First Quarter $ 37.50 $ 30.10
Second Quarter 36.42 29.25
Third Quarter 41.47 30.57
Fourth Quarter 40.48 33.91
Holders
As of April 24, 2006, there were 2,632 holders of record of
Best Buy common stock.
Dividends
In fiscal 2004, ourBoard initiated the payment of a regular
quarterly cash dividend, then$0.07per commonshareper
quarter. A quarterly cash dividend has been paid in each
subsequent quarter. Effective with the quarterly cash
dividend paid inthe third quarter of fiscal 2005,we
increased our quarterly cash dividend per common share by
10 percent. Effective with the quarterly cash dividendpaid
in the thirdquarter of fiscal 2006, we increased our
quarterly cash dividend per common share by 9percent to
$0.08 percommonshare per quarter. The payment of cash
dividends is subject to customary legal and contractual
restrictions.
Future dividend payments will dependon the Company’s
earnings, capital requirements, financial condition and
other factors considered relevant by our Board.
Purchases of Equity Securities by the Issuer and
Affiliated Purchasers
In April 2005,our Boardauthorized a $1.5 billion share
repurchase program. The program, which became effective
on April 27, 2005, terminated andreplaced a $500 million
share repurchase program authorized by our Board in
June2004.Effectiveon June 24, 2004, our Board
authorized the $500 millionshare repurchase program,
whichterminated and replaced a $400 million share
repurchase program authorized by ourBoard in fiscal
2000.
During the fourth quarter of fiscal2006, wepurchased and
retired 7.1 million shares at a cost of $338 million. Since
the inception of the $1.5 billion share repurchase program
in fiscal 2006, we purchased and retired 16.5 million
shares at a cost of $711 million. We consider several
factors in determining when to make share repurchases
including, among other things,our cash needs and the
market price of the stock. At the end of fiscal 2006, $790
million of the $1.5 billion originally authorized by our
Board was available forfuture share repurchases. Cash
provided by future operating activities, available cash and
cash equivalents, as well as short-term investments, are the
expected sources of funding for the share repurchase
program.