XML 23 R12.htm IDEA: XBRL DOCUMENT v3.7.0.1
STOCKHOLDERS' EQUITY
 3 Months Ended
Apr. 01, 2017
STOCKHOLDERS' EQUITY

NOTE 6. STOCKHOLDERS’ EQUITY

The following table reflects the changes in stockholders’ equity.

 

(In millions)

       

Stockholders’ equity at December 31, 2016

    $ 1,852

Net income

      116

Repurchase of common stock for treasury

      (10 )

Dividends paid on common stock

      (13 )

Share transactions under employee-related plan

      (9 ) 

Other comprehensive income

      6  

Amortization of long-term incentive stock grants

      12  
  

 

 

  

Stockholders’ equity at April 1, 2017

    $ 1,954
  

 

 

  

Accumulated other comprehensive income (loss) activity, net of tax, where applicable, is provided in the following table:

 

(In millions)    Foreign
Currency
Translation
Adjustments		      Change in
Deferred
Pension and
Other		      Total  

Balance at December 31, 2016

    $ (67 )    $ (62 )    $ (129 )

Other comprehensive income (loss) activity before reclassifications

      6      —          6
  

 

 

     

 

 

     

 

 

  

Balance at April 1, 2017

    $ (61 )    $ (62 )    $ (123 )
  

 

 

     

 

 

     

 

 

  

Treasury Stock

In May 2016, the Company’s Board of Directors authorized a stock repurchase program of up to $100 million of its outstanding common stock. In August 2016, the Board of Directors authorized increasing the share repurchase program to $250 million. The stock repurchase authorization permits the Company to repurchase stock from time-to-time through a combination of open market repurchases, privately negotiated transactions, 10b5-1 trading plans, accelerated stock repurchase transactions and/or other derivative transactions. The authorization extends to the end of 2018 and may be suspended or discontinued at any time. The exact number and timing of share repurchases will depend on market conditions and other factors, and will be funded through existing liquidity.

Under the stock repurchase program, in the first quarter 2017, the Company purchased approximately 2 million shares at a cost of $10 million. As of April 1, 2017, $108 million remains available for repurchase under the current authorization. Refer to Item 2 Unregistered Sales of Equity Securities and Use of Proceeds for more information.

Dividends on Common Stock

In February 2017, the Board of Directors declared a cash dividend of $0.025 per share on its common stock. The total per share dividend of $0.025 was paid on March 15, 2017 to shareholders of record at the close of business on March 3, 2017, resulting in a total cash payment of $13 million. Dividends have been recorded as a reduction to additional paid-in capital as the Company is in an accumulated deficit position. Additionally, payment of dividends is permitted under our existing credit facilities provided that the Company has the required minimum liquidity or fixed charge ratio but may be limited if the Company does not meet the necessary requirements.