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STOCKHOLDERS' EQUITY
 12 Months Ended
Dec. 31, 2024
Stockholders' Equity Note [Abstract]  
CAPITAL STOCK
Preferred Stock
There are 20 million shares of preferred stock authorized at a par value of $0.01 per share; there are no shares issued or outstanding. The Company’s Board of Directors has the authority, without further action by the stockholders, to issue all authorized preferred shares in one or more series and to fix the number of shares, designations, voting powers, preferences, optional and other special rights and the restrictions or qualifications thereof. The rights, preferences, privileges and powers of each series of preferred stock may differ with respect to dividend rates, liquidation values, voting rights, conversion rights, redemption provisions and other matters.
Series A Preferred Stock
The Company’s Board of Directors authorized 25,000 shares of fixed-rate reset cumulative perpetual preferred stock, Series A, with a liquidation preference of $25,000 per whole preferred share and a par value of $0.01 per share (the “Series A Preferred Stock”). Depositary shares, each representing a 1/1,000th interest in a share of Series A Preferred Stock, are registered under the Securities Act. The Company has issued 21,611,534 depositary shares, representing an interest in approximately 21,612 shares of Series A Preferred Stock.
Holders of shares of the Series A Preferred Stock are entitled to receive, when, as and if declared by the Company’s Board of Directors, cumulative cash dividends at an initial rate of 10.625% per annum of the $25,000 liquidation preference per share. On June 22, 2025, and every five-year period thereafter, the dividend rate on the Series A Preferred Stock resets and will be equal to the Five-year U.S. Treasury Rate plus a spread of 10.325%.
Holders of the Series A Preferred Stock are not entitled to convert or exchange their shares of Series A Preferred stock into shares of any of Wesco’s other classes or series of stock or into any other security of Wesco (other than upon a change of control involving the issuance of additional shares of common stock or other change of control transaction, in each case, approved by holders of common stock).
The Series A Preferred Stock has no stated maturity and will not be subject to any sinking fund, retirement fund or purchase fund or any other obligation of Wesco to redeem, repurchase or retire the Series A Preferred Stock. On June 22, 2025, Wesco may redeem the Series A Preferred Stock, in whole or in part, for cash at a redemption price of $25,000 per share, plus all accrued and unpaid dividends.
Holders of the Series A Preferred Stock will have limited voting rights, including the right to elect two directors to the Board of Directors of the Company in the event dividends on the Series A Preferred Stock remain unpaid for the equivalent of six or more full quarterly dividend periods.
Common Stock
There are 210 million shares of common stock and 20 million shares of Class B common stock authorized at a par value of $0.01 per share. The Class B common stock is identical to the common stock, except for voting and conversion rights. The holders of Class B common stock have no voting rights. With certain exceptions, Class B common stock may be converted, at the option of the holder, into the same number of shares of common stock.
Certain of the Company’s credit agreements place limits on the Company’s ability to declare or pay dividends and repurchase common stock. These restrictions are based on availability, as defined in the respective credit agreements, as well as Wesco’s compliance with certain fixed charge coverage tests. At December 31, 2024 and 2023, no dividends had been declared that remained unpaid and, therefore, no retained earnings were reserved for dividend payments.
Treasury Stock
Common stock purchased for treasury is recorded at cost. At the date of subsequent reissue, the treasury stock account is reduced by the cost of such stock, with cost determined on a weighted-average basis.
Share Repurchases
On May 31, 2022, the Company’s Board of Directors adopted a resolution authorizing the repurchase of up to $1 billion of the Company’s common stock and Series A Preferred Stock. The share repurchase authorization has no expiration date and may be modified, suspended, or terminated at any time without prior notice.
During the year ended December 31, 2024, the Company entered into spot repurchase transactions through brokers to purchase 2,424,488 shares of its common stock in the open market for cash totaling $428.8 million, including excise taxes. Wesco funded the repurchases with available cash and borrowings under its accounts receivable securitization and revolving credit facilities. During the year ended December 31, 2023, the Company entered into spot repurchase transactions through a broker to purchase 504,335 shares of its common stock totaling $75.0 million. Wesco funded the repurchases with available cash and borrowings under its revolving credit facility. During the year ended December 31, 2022, the Company entered into entered into spot repurchase transactions through a broker to purchase 87,502 shares of its common stock in the open market for cash totaling $11.1 million. Wesco funded the repurchases with available cash and borrowings under its revolving credit facility. These repurchases were made within the limits described above.
Dividends
The Company’s dividends on common stock are declared at the discretion of the Board of Directors. During the years ended December 31, 2024 and 2023, the Board of Directors declared and the Company paid quarterly cash dividends totaling $81.5 million and $76.6 million, respectively, to common stockholders.
The following table is a summary of cash dividends declared and paid on the Company’s common stock for the year ended December 31, 2024:
Date DeclaredRecord DatePayment DateAmount per shareDividend Payment
February 29, 2024March 15, 2024March 29, 2024$0.413 $20.9 million
May 30, 2024June 14, 2024June 28, 2024$0.413 $20.3 million
August 29, 2024September 13, 2024September 30, 2024$0.413 $20.2 million
December 2, 2024December 13, 2024December 31, 2024$0.413 $20.1 million
The following table is a summary of cash dividends declared and paid on the Company’s common stock for the year ended December 31, 2023:
Date DeclaredRecord DatePayment DateAmount per shareDividend Payment
March 3, 2023March 15, 2023March 31, 2023$0.375 $19.2 million
June 1, 2023June 15, 2023June 30, 2023$0.375 $19.2 million
August 31, 2023September 15, 2023September 29, 2023$0.375 $19.1 million
November 30, 2023December 15, 2023December 29, 2023$0.375 $19.1 million
During the years ended December 31, 2024, 2023 and 2022, the Company’s Board of Directors also declared and the Company paid quarterly cash dividends of $0.664 per depositary share relating to its Series A Preferred Stock totaling $57.4 million each year.