Equifax 2000 Annual Report Download - page 37

Rights Plan, the Board of Directors declared a
dividend of one Share Purchase Right (a Right) for
each outstanding share of the Company’s com-
mon stock, with distribution to be made to share-
holders of record as of November 24, 1995. The
Rights, which will expire in November 2005, ini-
tially will be represented by, and traded together
with, the Company’s common stock. The Rights
are not currently exercisable and do not become
exercisable unless certain triggering events occur.
Among the triggering events is the acquisition
of 20% or more of the Company’s common
stock by a person or group of affiliated or asso-
ciated persons. Unless previously redeemed,
upon the occurrence of one of the specified
triggering events, each Right that is not held by
the 20% or more shareholder will entitle its
holder to purchase one share of common stock
or, under certain circumstances, additional
shares of common stock at a discounted price.
Treasury Stock and Employee Benefits Trusts
During 2000, 1999, and 1998, the Company
repurchased 296,000, 6,944,000, and 4,555,000
of its own common shares through open market
transactions at an aggregate cost of $6,517,000,
$210,175,000, and $161,797,000, respectively.
At its January 1999 meeting, the Company’s
Board of Directors authorized an additional
$250,000,000 in share repurchases, and at
December 31, 2000, approximately $94 million
remained available for future purchases. During
2000 and 1998, the Company reissued 341,000
and 164,000 treasury shares, respectively, in
connection with acquisitions (Note 2). Also in
1998, the Company received 17,000 treasury
shares in conjunction with the final settlement
of a prior year acquisition.
In 1993, the Company established the Equifax
Inc. Employee Stock Benefits Trust to fund
various employee benefit plans and compensa-
tion programs and transferred 6,200,000 treas-
ury shares to the Trust. In 1994 and 2000, the
Company transferred 600,000 and 1,500,000
treasury shares, respectively, to two other
employee benefits trusts. Shares held by the
trusts are not considered outstanding for earn-
ings per share calculations until released to the
employee benefit plans or programs. During
2000, 39,830 shares were used for various
employee incentive programs. In 1999, 364,354
shares were used, with 304,183 shares con-
tributed to the Company’s U.S. Retirement Plan
and 60,171 shares used for various employee
incentive programs. In 1998, 569,655 shares
were used for a contribution to the Company’s
U.S. Retirement Plan, an employee stock pur-
chase plan, and an employee bonus plan. The
shares contributed to the U.S. Retirement Plan
in 1998 (390,000 shares) were repurchased by
the Company at the current market price and
recorded as treasury stock.
Stock Options The Company’s shareholders
have approved several stock option plans which
provide that qualified and nonqualified options
may be granted to officers and employees at
exercise prices not less than market value on the
date of grant. Generally, options vest proportion-
ately over a four-year period and are exercisable
for ten years from grant date. Certain of the plans
also provide for awards of restricted shares of the
Company’s common stock. At December 31,
2000, there were 1,311,000 shares available for
future option grants and restricted stock awards.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued...
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