Visa 2013 Annual Report Download - page 111

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VISA INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
September 30, 2013
Class C common stock. As of September 30, 2013, all of the shares of class C common stock
have been released from transfer restrictions, and 125 million shares have been converted from class
C to class A common stock upon their sale into the public market.
Preferred stock. Preferred stock may be issued as redeemable or non-redeemable, and it has
preference over any class of common stock with respect to the payment of dividends and distribution of
the Company’s assets in the event of a liquidation or dissolution. The Company had no shares of
preferred stock outstanding during and at the end of fiscal 2013 and 2012.
Voting rights. Holders of class A common stock have the right to vote on all matters on which
stockholders generally are entitled to vote. Holders of classes B and C common stock have no right to
vote on any matters, except for certain defined matters, including any consolidation, merger,
combination or any decision to exit the core payments business, in which case the holders of classes B
and C common stock are entitled to cast a number of votes equal to the number of shares of classes B
or C common stock held multiplied by the applicable conversion rate in effect on the record date.
Dividends declared. In October 2013, the Company’s board of directors declared a quarterly cash
dividend of $0.40 per share of class A common stock (determined in the case of class B and class C
common stock on an as-converted basis), which will be paid on December 3, 2013, to all holders of
record of the Company’s classes A, B and C common stock as of November 15, 2013. The Company
declared and paid $864 million in dividends in fiscal 2013 at a quarterly rate of $0.33 per share.
Note 15—Earnings Per Share
The following table presents earnings per share for fiscal 2013.(1)
Basic Earnings Per Share Diluted Earnings Per Share
(in millions, except per share data)
Income
Allocation (A) (2)
Weighted-
Average
Shares
Outstanding (B)
Earnings per
Share =
(A)/(B)
Income
Allocation
(A) (2)
Weighted-
Average Shares
Outstanding (B)
Earnings per
Share = (A)/(B)
Class A common
stock ................ $ 3,959 520 $ 7.61 $ 4,980 656 (3) $ 7.59
Class B common
stock ................ 786 245 $ 3.20 $ 784 245 $ 3.19
Class C common
stock ................ 216 28 $ 7.61 $ 215 28 $ 7.59
Participating
securities(4) ........... 19 Notpresented Not presented $ 19 Not presented Not presented
Net income attributable
to Visa Inc. ........... $ 4,980
103