Paychex 2012 Annual Report Download - page 29

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Our management currently believes that resolution of outstanding legal matters will not have a material
adverse effect on our financial position or results of operations. However, legal matters are subject to inherent
uncertainties and there exists the possibility that the ultimate resolution of these matters could have a material
adverse impact on the Company’s financial position and the results of operations in the period in which any such
effect is recorded.
Item 4. Mine Safety Disclosures
Not applicable.
PART II
Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of
Equity Securities
Our common stock trades on the NASDAQ Global Select Market under the symbol “PAYX.” Dividends
have historically been paid on our common stock in August, November, February, and May. The level and
continuation of future dividends are dependent on our future earnings and cash flows, and are subject to the
discretion of the Board of Directors.
As of June 30, 2012, there were 14,986 holders of record of our common stock, which includes registered
holders and participants in the Paychex, Inc. Dividend Reinvestment and Stock Purchase Plan. There were also
7,368 participants in the Paychex, Inc. Employee Stock Purchase Plan and 5,674 participants in the Paychex, Inc.
Employee Stock Ownership Plan.
The high and low sale prices for our common stock as reported on the NASDAQ Global Select Market and
dividends for fiscal 2012 and fiscal 2011 are as follows:
Fiscal 2012 Fiscal 2011
Sales prices
Cash
dividends
declared per
share
Sales prices
Cash
dividends
declared per
shareHigh Low High Low
First quarter ................. $32.27 $25.12 $0.31 $29.14 $24.65 $0.31
Second quarter .............. $30.12 $25.20 $0.32 $28.88 $25.16 $0.31
Third quarter ................ $32.73 $28.76 $0.32 $33.69 $28.78 $0.31
Fourth quarter ............... $32.24 $29.12 $0.32 $33.91 $30.75 $0.31
The closing price of our common stock as of May 31, 2012, as reported on the NASDAQ Global Select
Market, was $29.97 per share.
The following graph shows a five-year comparison of the total cumulative returns of investing $100 on
May 31, 2007, in Paychex common stock, the S&P 500 Index, the S&P Data Processing and Outsourced Services
(the “S&P S(DP)”), and a Peer Group Index. All comparisons of stock price performance shown assume
reinvestment of dividends. We are a participant in the S&P 500 Index, a market group of companies with a larger
than average market capitalization. The S&P S(DP) Index is an industry index that includes a representative peer
group of companies, and includes Paychex. This index is shown for transition purposes, as in fiscal 2012 we
began to compare our total return to our Peer Group. Our Peer Group is a group of companies with comparable
revenue and net income, who are in a comparable industry or who are direct competitors of Paychex (as detailed
on the page following). This change was made to compare to an index with a more extensive group of companies
within a comparable industry, and to be consistent with the companies we reference for evaluating our executive
officer compensation program.
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