Mattel 2001 Annual Report Download - page 64

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In 1999, holders exercised all remaining outstanding stock subscription warrants assumed in connection
with previous mergers resulting in the issuance of 865.6 thousand common shares.
Common Stock Repurchase Plan
Mattel’s common stock repurchase plan, initiated in May 1990, provides for the repurchase of common
shares to fund Mattel’s stock option plans. The number of shares to be repurchased is authorized on an annual
basis by the board of directors based upon anticipated reissuance needs. No shares were repurchased in 2001
and 2000 under this plan. During 1999, Mattel repurchased 4.0 million shares.
Dividends
As part of its financial realignment plan, Mattel announced during the third quarter of 2000 a change in its
dividend policy consisting of a reduction in the annual cash dividend from $0.36 per share to $0.05 per share.
In 2001, a $0.05 per share dividend was declared by the board of directors in November and paid in December.
During 2000 and 1999, dividends totaling $0.27 per share and $0.35 per share were declared, respectively. The
payment of dividends on common stock is at the discretion of Mattel’s board of directors and is subject to
statutory and customary limitations.
Comprehensive Income (Loss)
The changes in the components of other comprehensive income (loss) are as follows (in thousands):
For the Year Ended
2001 2000 1999
Income from continuing operations ............................. $310,920 $ 170,177 $ 108,387
Loss from discontinued operations .............................. — (601,146) (190,760)
Cumulative effect of change in accounting principles ................ (12,001) — —
Net income (loss) .......................................... 298,919 (430,969) (82,373)
Currency translation adjustments ............................... (14,596) (50,485) (33,790)
Minimum pension liability adjustments .......................... (2,518) (1,782) —
Net unrealized gain on derivative instruments:
Unrealized gains ....................................... 13,997 — —
Reclassification adjustment for realized gains included
in net income ........................................ (10,459) — —
3,538 — —
Net unrealized gains (losses) on securities:
Unrealized holding gains (losses) ........................... (186) (25,118) 3,184
Reclassification adjustment for realized (gains) losses
included in net income (loss) ............................ 12,001 10,995 (11,143)
11,815 (14,123) (7,959)
Comprehensive income (loss) ................................. $297,158 $(497,359) $(124,122)
The components of accumulated other comprehensive loss are as follows (in thousands):
As of Year End
2001 2000
Currency translation adjustments ........................................ $(307,036) $(292,440)
Unrealized holding loss .............................................. — (11,815)
Minimum pension liability adjustment .................................... (4,300) (1,782)
Net unrealized gain on derivative instruments .............................. 3,538 —
$(307,798) $(306,037)
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