XML 32 R19.htm IDEA: XBRL DOCUMENT v3.5.0.2
Shareholders' Equity And Net Income Per Share
 6 Months Ended
Jun. 30, 2016
Shareholders' Equity and Net Income Per Share Note [Abstract]  
Shareholders' Equity And Net Income Per Share
SHAREHOLDERS’ EQUITY AND NET INCOME PER SHARE
Net Income Per Share
Basic net income per share is computed by dividing net income attributable to Delphi by the weighted average number of ordinary shares outstanding during the period. Diluted net income per share reflects the weighted average dilutive impact of all potentially dilutive securities from the date of issuance and is computed using the treasury stock method by dividing net income attributable to Delphi by the diluted weighted average number of ordinary shares outstanding. For all periods presented, the calculation of diluted net income per share contemplates the dilutive impacts, if any, of the Company’s share-based compensation plans. Refer to Note 18. Share-Based Compensation for additional information.
Weighted Average Shares
The following table illustrates net income per share attributable to Delphi and the weighted average shares outstanding used in calculating basic and diluted income per share:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2016
 
2015
 
2016
 
2015
 
 
 
 
 
 
 
 
 
(in millions, except per share data)
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
258

 
$
350

 
$
578

 
$
638

Income from discontinued operations
—

 
295

 
105

 
216

Net income attributable to Delphi
$
258

 
$
645

 
$
683

 
$
854

Denominator:
 
 
 
 
 
 
 
Weighted average ordinary shares outstanding, basic
272.92

 
287.77

 
274.77

 
289.33

Dilutive shares related to restricted stock units ("RSUs")
0.45

 
1.08

 
0.43

 
0.99

Weighted average ordinary shares outstanding, including dilutive shares
273.37

 
288.85

 
275.20

 
290.32

 
 
 
 
 
 
 
 
Basic net income per share:
 
 
 
 
 
 
 
Continuing operations
$
0.95

 
$
1.22

 
$
2.10

 
$
2.21

Discontinued operations
—

 
1.02

 
0.38

 
0.74

Basic net income per share attributable to Delphi
$
0.95

 
$
2.24

 
$
2.48

 
$
2.95

Diluted net income per share:
 
 
 
 
 
 
 
Continuing operations
$
0.94

 
$
1.21

 
$
2.10

 
$
2.20

Discontinued operations
—

 
1.02

 
0.38

 
0.74

Diluted net income per share attributable to Delphi
$
0.94

 
$
2.23

 
$
2.48

 
$
2.94

Anti-dilutive securities share impact
—

 
—

 
—

 
—


Share Repurchase Program
In January 2015, the Board of Directors authorized a share repurchase program of up to $1.5 billion of ordinary shares, which commenced in March 2015 following the completion of the Company's $1 billion January 2014 share repurchase program. This share repurchase program provides for share purchases in the open market or in privately negotiated transactions, depending on share price, market conditions and other factors, as determined by the Company.
A summary of the ordinary shares repurchased during the three and six months ended June 30, 2016 and 2015 is as follows:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2016
 
2015
 
2016
 
2015
Total number of shares repurchased
894,209

 
3,649,419

 
6,492,425

 
6,882,565

Average price paid per share
$
72.69

 
$
85.72

 
$
66.95

 
$
80.30

Total (in millions)
$
65

 
$
313

 
$
435

 
$
553


As of June 30, 2016, approximately $72 million of share repurchases remained available under the January 2015 share repurchase program. All repurchased shares were retired, and are reflected as a reduction of ordinary share capital for the par value of the shares, with the excess applied as reductions to additional paid-in capital and retained earnings.
New Share Repurchase Program
In April 2016, the Board of Directors authorized a new share repurchase program of up to $1.5 billion of ordinary shares. This share repurchase program provides for share purchases in the open market or in privately negotiated transactions, depending on share price, market conditions and other factors, as determined by the Company. This program will commence following the completion of the Company's January 2015 share repurchase program described above.
Dividends
The Company has declared and paid cash dividends per ordinary share during the periods presented as follows:
 
Dividend
 
Amount
 
 Per Share
 
(in millions)
2016:
 
 
 
Second quarter
$
0.29

 
$
79

First quarter
0.29

 
80

Total
$
0.58

 
$
159

2015:
 
 
 
Fourth quarter
$
0.25

 
$
70

Third quarter
0.25

 
71

Second quarter
0.25

 
72

First quarter
0.25

 
73

Total
$
1.00

 
$
286


Other
Prior to the completion of the initial public offering on November 22, 2011, net income and other changes to membership interests were allocated to the respective outstanding classes based on the cumulative distribution provisions of the Fourth LLP Agreement.
Under the terms of the Fourth LLP Agreement, if cumulative distributions to the members of Delphi Automotive LLP under certain provisions of the Fourth LLP Agreement exceed $7.2 billion, Delphi, as disbursing agent on behalf of DPHH, is required to pay to the holders of allowed general unsecured claims against DPHH $32.50 for every $67.50 in excess of $7.2 billion distributed to the members, up to a maximum amount of $300 million. This contingency is not considered probable of occurring as of June 30, 2016 and accordingly, no reserve has been recorded. Refer to Note 10. Commitments and Contingencies for additional information.