SanDisk 2003 Annual Report Download - page 22

PART II
Item 5. Market for the Registrant's Common Equity and Related Stockholder Matters
Market Price of Our Common Stock
Our common stock is traded on the Nasdaq National Market under the symbol ""SNDK''. Our initial
public oÅering of common stock occurred on November 8, 1995 at an initial price to the public of $10.00 per
share. On January 26, 2000, our board of directors approved a 2-for-1 stock split, in the form of a 100% stock
dividend, payable to stockholders of record as of February 8, 2000. The dividend was paid and the split was
eÅected on February 22, 2000. On January 20, 2004, our board of directors approved a 2-for-1 stock split, in
the form of a 100% stock dividend, payable to stockholders of record as of February 3, 2004. The dividend was
paid and the split was eÅected on February 18, 2004. The following table lists the high and low sales prices for
each quarter during the last two Ñscal years. Shares, share price, per share amounts, common stock at par
value and capital in excess of par value have been restated to reÖect the eÅect of these stock splits for all
periods presented.
High Low
Fiscal year 2002
First quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $11.11 $ 6.22
Second quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $11.70 $ 4.80
Third quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $ 9.05 $ 5.53
Fourth quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $14.60 $ 6.00
Fiscal year 2003
First quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $12.20 $ 7.39
Second quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $20.73 $ 8.21
Third quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $34.08 $19.00
Fourth quarter ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $43.15 $26.60
As of March 1, 2004, we had approximately 336 stockholders of record. We have never declared or paid
any cash dividends on our common stock and do not expect to pay cash dividends on our common stock in the
foreseeable future. We currently intend to retain our earnings, if any, for use in our business.
On December 24, 2001, we sold to two qualiÑed institutional buyers, Morgan Stanley & Co. Incorporated
and ABN AMRO Rothschild LLC, $125.0 million principal amount of 4
1
/ 2 % Convertible Subordinated Notes
due 2006, or the Notes, and on January 10, 2002, the initial purchasers completed the exercise of their option
to purchase an additional $25.0 million of Notes. These initial purchasers received a commission from the sale
of the Notes of an aggregate of $3.8 million. The Notes were resold by the initial purchasers to ""qualiÑed
institutional buyers'' pursuant to Rule 144A of the Securities Act of 1933, as amended and were not, when
issued, of the same class as securities listed on a national securities exchange or quoted on Nasdaq. The Notes
are convertible at the option of the holders into our common stock at a conversion rate of approximately
$9.22 per share, which is equal to a conversion rate of approximately 108.5070 shares of common stock per
$1,000 principal amount of Notes. The Notes are redeemable by us at any time on or after November 17, 2004
at speciÑed prices. While the Notes are outstanding, we will have debt service obligations on the Notes of
approximately $6.8 million per year in interest payments.
On September 30, 2003, we closed the sale and issuance of 15,992,000 shares of our common stock at a
price to the public of $32.63 per share, yielding net proceeds to us of approximately $504.8 million. In
addition, on October 8, 2003, we closed the issuance and sale of 532,162 shares of our common stock pursuant
to the underwriters' partial exercise of their over-allotment option related to the oÅering, yielding net proceeds
to us of approximately $16.8 million.
18