American Eagle Outfitters, Inc. (AEO) STATEMENT OF STOCKHOLDERS' EQUITY For the year ended January 28, 2012 (In thousands) Shares Accumulated Common Contributed Out- standing Stock Capital (Par) (APIC) Retained Treasury Earnings Stock (2) Comprehen- Other (1) sive Income Total Stockholders' Equity Balance at January 29, 2011 194,366 $2,496 $546,597 $1,711,929 $(938,023) $28,072 $1,351,071 Stock awards 10.532 10,532 Repurchase of (1,510) common stock (17,349) (17,349) Reissuance of 992 6,549 6549 treasury stock Net income 151,705 151,705 Other comprehensive 587 587 income, net of tax Cash dividends (87,909) Other (3) (4,332) (4,261) 10,258 (87,909) 1,665 Balance at January 28, 2012 193,848 $2,496 $552,797 $1,771,464 $(938,565) $28,659 $1,416,851 1. $0.01 par value common stock at January 28, 2012: 600,000 authorized, 249,566 issued and 193,848 outstanding. $0.01 par value common stock at January 29, 2011: 600,000 authorized, 249,566 issued and 194,366 outstanding. $0.01 par value preferred stock at January 28, 2012 and January 29, 2011: 5,000 authorized, with none issued or outstanding, 2. Treasury stock: 55,718 shares and 55,200 shares [in treasury] at January 28, 2012and January 29, 2011, respectively. During Fiscal 2011, 922 shares were reissued from treasury stock for the issuance of share-based payments. 3. Reclassified amounts for easier understanding in this text. Refer to the Statement of Stockholders' Equity for American Eagle Outfitters (AEO), Inc. and accompanying notes presented on page 107 to answer the following questions. Q1 For fiscal year ended on January 28, 2012 for AEO: Beginning Retained Earnings, (January 29/January 28), 2011 + Net income - Dividends - Other Ending Retained Earnings, January 28, 2012 Q2 On January 28, 2012 stockholders' equity totaled shareholders. Q3 a. b. thousand thousand thousand (4,261) thousand thousand _thousand, which is the amount of business assets owned by Assume that AEO issued 1 million shares of preferred stock with a dividend rate of $5 per share. Preferred shareholders would expect to receive_ C. million in dividends each year. (Preferred/Common) shareholders always receive their dividends first; this is part of the "preferred" treatment. Therefore, if the Board of Directors declared an $80 million dividend, preferred shareholders would receive in dividends and common shareholders would receive _ million in dividends. (Preferred/Common) stock usually has a stated dividend rate. million