Paychex 2014 Annual Report Download - page 30

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Item 3. Legal Proceedings
We are subject to various claims and legal matters that arise in the normal course of our business. These
include disputes or potential disputes related to breach of contract, breach of fiduciary duty, employment-related
claims, tax claims, and other matters.
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 our Board of Directors (the “Board.”)
As of June 30, 2014, there were 15,333 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
6,997 participants in the Paychex, Inc. Employee Stock Purchase Plan and 5,261 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 2014 and fiscal 2013 are as follows:
Fiscal 2014 Fiscal 2013
Sales prices
Cash
dividends
declared per
share
Sales prices
Cash
dividends
declared per
share(1)
High Low High Low
First quarter ................. $40.84 $35.75 $0.35 $33.44 $29.12 $0.32
Second quarter .............. $44.01 $36.80 $0.35 $34.70 $31.27 $0.33
Third quarter ................ $45.95 $39.86 $0.35 $34.06 $30.55 $0.66
Fourth quarter ............... $43.56 $39.80 $0.35 $38.66 $32.73 —
(1) In fiscal 2013, the dividends that would typically have been paid in February 2013 and May 2013 were
accelerated and paid in December 2012.
The closing price of our common stock as of May 30, 2014, as reported on the NASDAQ Global Select
Market, was $41.11 per share.
In October 2012, our Board approved a program to repurchase up to $350 million of our common stock,
with authorization expiring on May 31, 2014. In May 2014, the Board approved a new program to repurchase up
to $350 million of its common stock with authorization expiring on May 31, 2017. Shares of stock repurchased
during the three months ended May 31, 2014 were retired. All shares of stock repurchased during the three
months ended May 31, 2014 were purchased pursuant to the program.
12