Supercuts 2010 Annual Report Download - page 138

Table of Contents
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
15. SHAREHOLDERS' EQUITY (Continued)
share of preferred stock at an exercise price of $140, subject to adjustment, or in lieu of purchasing the preferred stock, to purchase for the same
exercise price common stock of the Company (or in certain cases common stock of an acquiring company) having a market value of twice the
exercise price of a right.
Share Repurchase Program:
In May 2000, the Company's Board of Directors (BOD) approved a stock repurchase program. Originally, the program authorized up to
$50.0 million to be expended for the repurchase of the Company's stock. The BOD elected to increase this maximum to $100.0 million in
August 2003, to $200.0 million on May 3, 2005, and to $300.0 million on April 26, 2007. The timing and amounts of any repurchases will
depend on many factors, including the market price of the common stock and overall market conditions. Historically, the repurchases to date
have been made primarily to eliminate the dilutive effect of shares issued in conjunction with acquisitions, restricted stock grants and stock
option exercises. All repurchased shares become authorized but unissued shares of the Company. This repurchase program has no stated
expiration date. As of June 30, 2010, 2009, and 2008, a total accumulated 6.8 million shares have been repurchased for $226.5 million. As of
June 30, 2010, $73.5 million remains to be spent on share repurchases under this program.
16. SEGMENT INFORMATION
As of June 30, 2010, the Company owned, franchised or held ownership interests in over 12,700 worldwide locations. The Company's
locations consisted of 9,525 North American salons (located in the United States, Canada and Puerto Rico), 404 international salons, 95 hair
restoration centers, and 2,704 locations in which the Company maintains an ownership interest through its investments in affiliates.
The Company operates its North American salon operations through five primary concepts: Regis Salons, MasterCuts, SmartStyle,
Supercuts and Promenade salons. The concepts offer similar products and services, concentrate on the mass market consumer marketplace and
have consistent distribution channels. All of the company-owned and franchise salons within the North American salon concepts are located in
high traffic, retail shopping locations that attract mass market consumers, and the individual salons display similar long-term economic
characteristics. The salons share interdependencies and a common support base.
The Company operates its international salon operations, primarily in the United Kingdom, through three primary concepts: Regis,
Supercuts, and Sassoon salons. Consistent with the North American concepts, the international concepts offer similar products and services,
concentrate on the mass market consumer marketplace and have consistent distribution channels. All of the international salon concepts are
company-owned and are located in malls, leading department stores, and high-street locations. Individual salons display similar long-term
economic characteristics. The salons share interdependencies and a common support base.
The Company's company-owned and franchise hair restoration centers are located in the United States and Canada. The Company's hair
restoration centers offer three hair restoration solutions; hair systems, hair transplants, and hair therapy, which are targeted at the mass market
consumer. Hair restoration centers are located primarily in office and professional buildings within larger metropolitan areas.
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