Dollar Tree 2004 Annual Report Download - page 47

DOLLAR TREE STORES, INC. • 2004 ANNUAL REPORT 43
Comprehensive Income (Loss)
The Company’s comprehensive income (loss) reflects the effect of recording derivative financial instruments pursuant to
SFAS No. 133. The following table provides a reconciliation of net income (loss) to total comprehensive income (loss):
Year Ended Year Ended Month Ended Year Ended
January 29, January 31, February 1, December 31,
2005 2004 2003 2004
Net income (loss) $180,250 $177,583 $(10,525) $154,647
Fair value adjustment-derivative cash flow hedging instrument 1,113 475 155 (1,652)
Income tax benefit (expense) (429) (183) (60) 642
Fair value adjustment, net of tax 684 292 95 (1,010)
Amortization of SFAS No. 133 cumulative effect (13) 24 2 24
Income tax benefit (expense) 5(9) (1) (9)
Amortization of SFAS No. 133 cumulative effect, net of tax (8) 15 1 15
Total comprehensive income (loss) $180,926 $177,890 $(10,429) $153,652
The cumulative effect recorded in “accumulated other comprehensive loss”is being amortized over the remaining
lives of the related interest rate swaps.
Contributions to and reimbursements by the
Company of expenses of the plans included in the
accompanying consolidated statements of operations
were as follows:
Year Ended January 29, 2005 $8,530
Year Ended January 31, 2004 10,964
Month Ended February 1, 2003 755
Year Ended December 31, 2002 9,862
Deferred Compensation Plan
The Company has a deferred compensation plan which
provides certain highly compensated employees and
executives the ability to defer a portion of their base
compensation and bonuses and earn interest on their
deferred amounts. The plan is an unfunded nonqualified
plan; however, the Company may make discretionary
contributions. The deferred amounts and earnings
thereon are payable to participants, or designated
beneficiaries, at specified future dates, upon retirement
or death. Total cumulative participant deferrals were
approximately $1,516 and $1,718, respectively, at January
29, 2005 and January 31, 2004 and are included in “other
liabilities”on the accompanying consolidated balance
sheets. The related assets are included in “other assets,
net” on the accompanying consolidated balance sheets.
Share Repurchase Programs
In November 2002, the Company’s Board of Directors
authorized the repurchase of up to $200,000 of the
Company’s common stock. Stock repurchases were to be
made until November 2005 either in the open market or
through privately negotiated transactions. During fiscal
2004, the Company repurchased 1,809,953 shares for
approximately $48,611.
In March 2005, the Company’s Board of Directors
authorized the repurchase of up to $300,000 of the
Company’s common stock during the next three years.
The previous November 2002 authorization was
concurrently terminated. As of the termination date,
the Company had repurchased 5,065,495 shares for
approximately $141,965 under the November 2002
authorization. As of April 13, 2005, the Company had
repurchased 2,048,900 shares for approximately $55,596
under the March 2005 authorization.
NOTE 8 – EMPLOYEE BENEFIT PLANS
Profit Sharing and 401(k) Retirement Plan
The Company maintains a defined contribution profit
sharing and 401(k) plan which is available to all employees
over 21 years of age who have completed one year of
service in which they have worked at least 1,000 hours.
Eligible employees may make elective salary deferrals.
The Company may make contributions at its discretion.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)