- Using the attached excerpts from McDonalds 2013 Annual Report answer the following questions. In addition:
- All numbers in McDonalds 2013 Financial Statements are in $ millions.
- Provide calculations when necessary.
a. Shares Issued and Outstanding
- How many shares of common stock were authorized at fiscal year-end 2013? How many had been issued as of fiscal year-end 2013?
- How many shares of preferred stock were authorized at fiscal year-end 2013? How many had been issued as of fiscal year-end 2013?
- McDonalds also has repurchased some of its own shares of stock that had been previously issued (i.e. Treasury Stock). How many shares did McDonalds hold as treasury stock at the end of 2013?
- How many total shares were outstanding at fiscal year-end 2013?
Consolidated Statement of Income In millions, except per share data Years ended December 31, 2013 2012 2011 REVENUES Sales by Company-operated restaurants $ 18,874.2 $ 18,602.5 $ 18,292.8 Revenues from franchised restaurants 9,231.5 ... 8,964.5 .......8,713.2. Total revenues 28,105.7 .27,567.0 ... 27,006.0. OPERATING COSTS AND EXPENSES Company-operated restaurant expenses Food & paper 6,361.3 6,318.2 6,167.2 Payroll & employee benefits 4,824.1 4,710.3 4,606.3 Occupancy & other operating expenses 4,393.2 4,195.2 4,064.4 Franchised restaurants-occupancy expenses 1,624.4 1,527.0 1,481.5 Selling, general & administrative expenses 2,385.6 2,455.2 2,393.7 Other operating. (income) expense, net.. (247.2). ...(243.5).. ..(236.8). . .. Total operating costs and expenses. 19,341.4 18,962.4 18,476.3 Operating income... 8,764.3 8,604.6 8,529.7 Interest expense-net of capitalized interest of $15.5, $15.9 and $14.0 521.9 516.6 492.8 Nonoperating (income) expense, net 37.9 9.0 Income before provision for income taxes 8,204.5 8,079.0 8,012.2 Provision for income taxes 2,618.6 2,614. 2 2 ,509.1.. Net income $ 5,585.9 $ 5,464.8 $ 5,503.1 Earnings per common share-basic $ 5.59 $ 5.41 $ 5.33 Earnings per common share-diluted $ 5.55 $ 5.36 $ 5.27 Dividends declared per common share $ 3.12 $ 2.87 $ 2.53 Weighted average shares outstanding-basic 998.4 1,010.1 1,032.1 Weighted average shares outstanding-diluted 1,006.0 1,020.2 1.044.9 24.7. See Notes to consolidated financial statements. Consolidated Statement of Shareholders' Equity Accumulated other comprehensive income (loss) Common stock Additional issued issued paid-in Shares Amount capital ,660.6 $16.6 $5,196.4 Foreign Retained Cash flow currency earnings Pensions hedges translation $33,811.7 $(124.6) $15.0 $862.5 5,503.1 Common stock in Total treasury shareholders' Shares Amount equity (607.0) $ (25,143.4) $14,634.2 5,503.1 (7.7) (10.4) (285.1) (303.2) 5,199.9 (2,609.7) (2,609.7) (3,372.9) 86.2 86.2 (41.9) (3,372.9) .............................. 9.7 245.4 577.4 (639.2) (28,270.9) 204.7 5,487.3 1,660.6 16.6 2.4 36,707.5 5,464.8 (132.3) .6 452.5 14,390.2 5,464.8 41.5 30.6 274.6 346.7 5,811.5 In millions, except per share data Balance at December 31, 2010 1 Net income Other comprehensive income (loss), ....net of tax Comprehensive income Common stock cash dividends ($2.53 per share). Treasury stock purchases Share-based compensation Stock option exercises and other (including tax benefits of $116.7).. Balance at December 31, 2011 Net income Other comprehensive income (loss), .... net of tax Comprehensive income Common stock cash dividends ($2.87 per share)..... Treasury stock purchases Share-based compensation Stock option exercises and other .....(including tax benefits of $150.8) Balance at December 31, 2012 Net income Other comprehensive income (loss), ...net of tax Comprehensive income Common stock cash dividends ($3.12 per share). Treasury stock purchases Share-based compensation Stock option exercises and other .(including tax benefits of $93.6).. Balance at December 31, 2013 (2,896.6) (28.1) (2,605.4) (2,896.6) (2,605.4) 93.4 93.4 198.2 5.778. 9 9.4 (657.9) 2.3 39.278.0 5,585.9 300.0 (30,576.3) 1.660.6 16.6 (90.8) 35.2 852.0 500.5 15,293.6 5,585.9 (51.9) (37.5) (279.4) (368.8) 5,217.1 (3,114.6) (18.7) (1,810.5) (3,114.6) (1,810.5) 89.1 89.1 126. 1 $5,994.1 1 .9 $41,751.2 6.4. 207.0 (670.2) $(32,179.8) 335.0 $16,009.7 1,660.6 $16.6 $(142.7) $ (2.3) $572.6 See Notes to consolidated financial statements. Consolidated Statement of Income In millions, except per share data Years ended December 31, 2013 2012 2011 REVENUES Sales by Company-operated restaurants $ 18,874.2 $ 18,602.5 $ 18,292.8 Revenues from franchised restaurants 9,231.5 ... 8,964.5 .......8,713.2. Total revenues 28,105.7 .27,567.0 ... 27,006.0. OPERATING COSTS AND EXPENSES Company-operated restaurant expenses Food & paper 6,361.3 6,318.2 6,167.2 Payroll & employee benefits 4,824.1 4,710.3 4,606.3 Occupancy & other operating expenses 4,393.2 4,195.2 4,064.4 Franchised restaurants-occupancy expenses 1,624.4 1,527.0 1,481.5 Selling, general & administrative expenses 2,385.6 2,455.2 2,393.7 Other operating. (income) expense, net.. (247.2). ...(243.5).. ..(236.8). . .. Total operating costs and expenses. 19,341.4 18,962.4 18,476.3 Operating income... 8,764.3 8,604.6 8,529.7 Interest expense-net of capitalized interest of $15.5, $15.9 and $14.0 521.9 516.6 492.8 Nonoperating (income) expense, net 37.9 9.0 Income before provision for income taxes 8,204.5 8,079.0 8,012.2 Provision for income taxes 2,618.6 2,614. 2 2 ,509.1.. Net income $ 5,585.9 $ 5,464.8 $ 5,503.1 Earnings per common share-basic $ 5.59 $ 5.41 $ 5.33 Earnings per common share-diluted $ 5.55 $ 5.36 $ 5.27 Dividends declared per common share $ 3.12 $ 2.87 $ 2.53 Weighted average shares outstanding-basic 998.4 1,010.1 1,032.1 Weighted average shares outstanding-diluted 1,006.0 1,020.2 1.044.9 24.7. See Notes to consolidated financial statements. Consolidated Statement of Shareholders' Equity Accumulated other comprehensive income (loss) Common stock Additional issued issued paid-in Shares Amount capital ,660.6 $16.6 $5,196.4 Foreign Retained Cash flow currency earnings Pensions hedges translation $33,811.7 $(124.6) $15.0 $862.5 5,503.1 Common stock in Total treasury shareholders' Shares Amount equity (607.0) $ (25,143.4) $14,634.2 5,503.1 (7.7) (10.4) (285.1) (303.2) 5,199.9 (2,609.7) (2,609.7) (3,372.9) 86.2 86.2 (41.9) (3,372.9) .............................. 9.7 245.4 577.4 (639.2) (28,270.9) 204.7 5,487.3 1,660.6 16.6 2.4 36,707.5 5,464.8 (132.3) .6 452.5 14,390.2 5,464.8 41.5 30.6 274.6 346.7 5,811.5 In millions, except per share data Balance at December 31, 2010 1 Net income Other comprehensive income (loss), ....net of tax Comprehensive income Common stock cash dividends ($2.53 per share). Treasury stock purchases Share-based compensation Stock option exercises and other (including tax benefits of $116.7).. Balance at December 31, 2011 Net income Other comprehensive income (loss), .... net of tax Comprehensive income Common stock cash dividends ($2.87 per share)..... Treasury stock purchases Share-based compensation Stock option exercises and other .....(including tax benefits of $150.8) Balance at December 31, 2012 Net income Other comprehensive income (loss), ...net of tax Comprehensive income Common stock cash dividends ($3.12 per share). Treasury stock purchases Share-based compensation Stock option exercises and other .(including tax benefits of $93.6).. Balance at December 31, 2013 (2,896.6) (28.1) (2,605.4) (2,896.6) (2,605.4) 93.4 93.4 198.2 5.778. 9 9.4 (657.9) 2.3 39.278.0 5,585.9 300.0 (30,576.3) 1.660.6 16.6 (90.8) 35.2 852.0 500.5 15,293.6 5,585.9 (51.9) (37.5) (279.4) (368.8) 5,217.1 (3,114.6) (18.7) (1,810.5) (3,114.6) (1,810.5) 89.1 89.1 126. 1 $5,994.1 1 .9 $41,751.2 6.4. 207.0 (670.2) $(32,179.8) 335.0 $16,009.7 1,660.6 $16.6 $(142.7) $ (2.3) $572.6 See Notes to consolidated financial statements
