Stockholders' equity (deficit)

12 Months Ended

Dec. 30, 2017

Equity [Abstract]

Stockholders' equity (deficit)

Stockholders’ equity (deficit)

(a) Common stock

Common shares issued and outstanding included in the consolidated balance sheets include vested and unvested restricted shares. Common stock in the consolidated statements of stockholders’ equity (deficit) excludes unvested restricted shares.

(b) Treasury stock

In February 2015, the Company entered into and completed an accelerated share repurchase agreement (the “February 2015 ASR Agreement”) with a third-party financial institution. Pursuant to the terms of the February 2015 ASR Agreement, the Company paid the financial institution $400.0 million in cash and received a delivery of 8,226,297 shares of the Company’s common stock in fiscal year 2015 based on a weighted average cost per share of $48.62 over the term of the February 2015 ASR Agreement.    

In October 2015, the Company entered into an accelerated share repurchase agreement (the “October 2015 ASR Agreement”) with a third-party financial institution. Pursuant to the terms of the October 2015 ASR Agreement, the Company paid the financial institution $125.0 million from cash on hand and received an initial delivery of 2,527,167 shares of the Company’s common stock in October 2015, representing an estimate of 80% of the total shares expected to be delivered under the October 2015 ASR Agreement. Upon the final settlement of the October 2015 ASR Agreement in fiscal year 2016, the Company received an additional delivery of 483,913 shares of its common stock based on a weighted average cost per share of $41.51 over the term of the October 2015 ASR Agreement.

Additionally, during fiscal year 2015, the Company repurchased a total of 2,106,881 shares of common stock in the open market at a weighted average cost per share of $47.47 from existing stockholders.

The Company accounts for treasury stock under the cost method, and as such recorded an increase in treasury stock of $600.0 million during fiscal year 2015 for the shares repurchased under the accelerated share repurchase agreements and in the open market, based on the fair market value of the shares on the dates of repurchase and direct costs incurred. Additionally, the Company recorded a decrease in additional paid-in capital of $25.0 million related to the remaining cash paid under the October 2015 ASR Agreement since the final settlement was not completed as of December 26, 2015, which upon settlement in fiscal year 2016, was reclassified from additional paid-in-capital to treasury stock. During fiscal year 2015, the Company retired 12,833,178 shares of treasury stock, resulting in decreases in treasury stock and additional paid-in capital of $599.0 million and $129.4 million, respectively, and an increase in accumulated deficit of $469.5 million.

During fiscal year 2016, the Company entered into and completed an accelerated share repurchase agreement (the “2016 ASR Agreement”) with a third-party financial institution. Pursuant to the terms of the 2016 ASR Agreement, the Company paid the financial institution $30.0 million in cash and received 702,239 shares of the Company’s common stock in fiscal year 2016 based on a weighted average cost per share of $42.72 over the term of the 2016 ASR Agreement.

Additionally, during fiscal year 2016, the Company repurchased a total of 520,631 shares of common stock in the open market at a weighted average cost per share of $48.02 from existing stockholders.

The Company recorded an increase in treasury stock of $80.0 million during fiscal year 2016 for the shares repurchased under the October 2015 ASR Agreement, the 2016 ASR Agreement, and in the open market, based on the fair market value of the shares on the dates of repurchase and direct costs incurred. During fiscal year 2016, the Company retired 1,706,783 shares of treasury stock, resulting in decreases in treasury stock and additional paid-in capital of $80.0 million and $15.9 million, respectively, and an increase in accumulated deficit of $64.1 million.

During fiscal year 2017, the Company entered into and completed an accelerated share repurchase agreement (the “2017 ASR Agreement”) with a third-party financial institution. Pursuant to the terms of the 2017 ASR Agreement, the Company paid the financial institution $100.0 million in cash and received 1,757,568 shares of the Company’s common stock during fiscal year 2017 based on a weighted average cost per share of $56.90 over the term of the 2017 ASR Agreement.

Additionally, during fiscal year 2017, the Company repurchased a total of 513,880 shares of common stock in the open market at a weighted average cost per share of $52.90 from existing stockholders.

During fiscal year 2017, the Company retired 2,271,448 shares of treasury stock repurchased under the 2017 ASR Agreement and in the open market, based on the fair market value of the shares on the dates of repurchase and direct costs incurred. The repurchase and retirement of these shares of treasury stock resulted in a decrease in additional paid-in capital of $18.9 million and an increase in accumulated deficit of $108.3 million.

In February 2018, the Company entered into two accelerated share repurchase agreements (the “February 2018 ASR Agreements”) with two third-party financial institutions. Pursuant to the terms of the February 2018 ASR Agreements, the Company paid the financial institutions $650.0 million from cash on hand and received an initial delivery of 8,478,722 shares of the Company's common stock on February 16, 2018, representing an estimate of 80% of the total shares expected to be delivered under the February 2018 ASR Agreements. At settlement, the financial institutions may be required to deliver additional shares of common stock to the Company or, under certain circumstances, the Company may be required to deliver shares of its common stock or may elect to make cash payment to the financial institutions. Final settlement of each of the February 2018 ASR Agreements is expected to be completed in the third quarter of fiscal year 2018, although the settlement may be accelerated at each financial institution’s option.

(c) Accumulated other comprehensive loss

The components of accumulated other comprehensive loss were as follows (in thousands):

	Effect of foreign currency translation			Unrealized gains (losses) on interest rate swaps		Other		Accumulated other comprehensive loss
Balances at December 31, 2016	$	(23,019	)	1,144		(2,109	)	(23,984	)
Other comprehensive income (loss)	14,780			(1,144	)	658		14,294
Balances at December 30, 2017	$	(8,239	)	—		(1,451	)	(9,690	)

(d) Dividends

During fiscal year 2017, the Company paid dividends on common stock as follows:

	Dividend per share		Total amount (in thousands)		Payment date
Fiscal year 2017:
First quarter	$	0.3225	$	29,621	March 22, 2017
Second quarter	0.3225		29,226		June 14, 2017
Third quarter	0.3225		29,064		September 6, 2017
Fourth quarter	0.3225		29,092		December 6, 2017

During fiscal year 2016, the Company paid dividends on common stock as follows:

	Dividend per share		Total amount (in thousands)		Payment date
Fiscal year 2016:
First quarter	$	0.3000	$	27,395	March 16, 2016
Second quarter	0.3000		27,456		June 8, 2016
Third quarter	0.3000		27,475		August 31, 2016
Fourth quarter	0.3000		27,377		November 30, 2016

On February 6, 2018, the Company announced that its board of directors approved an increase to the next quarterly dividend to $0.3475 per share of common stock, payable on March 21, 2018 to shareholders of record as of the close of business on March 12, 2018.