Subsequent Event

3 Months Ended

Dec. 28, 2013

Subsequent Event

Subsequent Event

17.  Subsequent Events

On February 5, 2014, the Company entered into a 10-year strategic collaboration agreement with The Coca-Cola Company (“Coca-Cola”), a Delaware corporation, to jointly develop and market Coca-Cola products for use in the Company’s cold beverage system.  Concurrently, on February 5, 2014 the Company entered into a Common Stock Purchase Agreement (the “SPA”) whereby a wholly-owned subsidiary of The Coca-Cola Company will purchase a 10% minority equity position in the Company for an aggregate purchase price of approximately $1.25 billion.  Under the terms of the SPA, Coca-Cola, through its wholly-owned subsidiary, will acquire 16,684,139 common shares at a purchase price per share of $74.98, which represents the trailing 50-trading-day volume weighted average price as of February 5, 2014.  The Company intends to use the proceeds to continue to execute its share repurchase programs to reduce dilution from the transaction.  In addition, GMCR intends to use a portion of the $1.25 billion of proceeds to fund anticipated capital expenditures for product development over the next several years.  The SPA is expected to close in March 2014, subject to the satisfaction of closing conditions including receipt of required regulatory approvals.