Henry Schein 2003 Annual Report Download - page 17

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Dividend Policy
We have not declared any cash dividends on our common stock during fiscal years 2003 or 2002. We currently do not anticipate declaring
any cash dividends on our common stock in the foreseeable future. We intend to retain earnings to finance the expansion of our business
and for general corporate purposes, including our stock repurchase program. Any declaration of dividends will be at the discretion of our
Board of Directors and will depend upon the earnings, financial condition, capital requirements, level of indebtedness, contractual
restrictions with respect to payment of dividends and other factors. Our revolving credit agreement, as well as the agreements governing
our Senior Notes, limit the distribution of dividends without the prior written consent of the lenders.
Reconciliation of Certain Operating Results
The following table sets forth, for the periods indicated, a reconciliation of Operating income and Net income, as reported to Adjusted
operating income and Adjusted net income.
Years ended
December 27, December 28, December 29, December 30, December 25,
2003 2002 2001 2000 1999
(In thousands, except per share data)
Operating income, as reported $233,719 $197,003 $147,750 $112,589 $105,765
Adjustments:
Merger, integration and restructuring (credits) costs –– (734) –– 15,024 13,467
Adjusted operating income 233,719 196,269 147,750 127,613 119,232
Adjusted operating margin 7.0% 6.9% 5.8% 5.4% 5.2%
Net income, as reported 137,510 117,987 87,373 56,749 50,312
Adjustments, net of tax:
Merger, integration and restructuring (credits) costs –– (734) –– 9,855 9,484
Gains on real estate transactions (454) (890) –– –– ––
Loss on sale of Novocol –– –– –– 1,925 ––
Loss on sale of UK Technology Business –– –– –– 1,618 ––
Loss on sale of discontinued operation - PMA Bode 2,012 –– –– –– ––
Adjusted net income $139,068 $116,363 $ 87,373 $ 70,147 $ 59,796
Earnings per diluted share:
As reported $ 3.06 $ 2.63 $ 2.01 $ 1.35 $ 1.21
Adjusted 3.09 2.59 2.01 1.67 1.44
Weighted-average diluted common shares outstanding: 44,988 44,872 43,545 42,007 41,438
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