| Notes to Consolidated Financial Statements |
Becton, Dickinson and Company
|
10 Shareholders’ Equity
Changes in certain components of shareholders’ equity were as follows:
| |
ESOP
Preferred
Stock |
Common
Stock
Issued at |
Capital in
Excess of |
Retained |
Unearned
ESOP |
Deferred |
Treasury Stock |
|
|
| |
Issued |
Par Value |
Par Value |
Earnings |
Compensation |
Compensation |
Shares |
Amount |
|
| Balance at September 30, 2003 |
$ |
34,448 |
|
$ |
332,662 |
|
$ |
257,178 |
|
$ |
3,950,592 |
|
$ |
(3,693 |
) |
$ |
8,974 |
|
|
(81,528,882 |
) |
$ |
(1,439,934 |
) |
| Net income |
|
|
|
|
|
|
|
|
|
|
467,402 |
|
|
|
|
|
|
|
|
|
|
Cash dividends:
Common ($.60 per share) |
|
|
|
|
|
|
|
|
|
|
(151,093 |
) |
|
|
|
|
|
|
|
|
|
| Preferred net of tax benefits |
|
|
|
|
|
|
|
|
|
|
(2,123 |
) |
|
|
|
|
|
|
|
|
|
Common stock issued for:
Employee stock plans, net |
|
|
|
|
|
|
|
156,478 |
|
|
|
|
|
|
|
|
|
|
|
7,408,051 |
|
|
71,725 |
|
| Business acquisitions |
|
|
|
|
|
|
|
149 |
|
|
|
|
|
|
|
|
|
|
|
3,545 |
|
|
35 |
|
| Common stock held in trusts, net |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,248 |
|
|
(17,376 |
) |
|
(1,248 |
) |
Reduction in unearned ESOP
compensation for the year |
|
|
|
|
|
|
|
|
|
|
|
|
|
3,693 |
|
|
|
|
|
|
|
| Repurchase of common stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9,551,286 |
) |
|
(449,930 |
) |
| Adjustment for redemption provisions |
|
(3,306 |
) |
|
|
|
|
710 |
|
|
|
|
|
|
|
|
|
|
|
358,653 |
|
|
2,596 |
|
|
| Balance at September 30, 2004 |
$ |
31,142 |
|
$ |
332,662 |
|
$ |
414,515 |
|
$ |
4,264,778 |
|
$ |
— |
|
$ |
10,222 |
|
|
(83,327,295 |
) |
$ |
(1,816,756 |
) |
| Net income |
|
|
|
|
|
|
|
|
|
|
722,263 |
|
|
|
|
|
|
|
|
|
|
Cash dividends:
Common ($.72 per share) |
|
|
|
|
|
|
|
|
|
|
(181,189 |
) |
|
|
|
|
|
|
|
|
|
Common stock issued for:
Employee stock plans, net |
|
|
|
|
|
|
|
124,220 |
|
|
|
|
|
|
|
|
|
|
|
4,638,097 |
|
|
44,839 |
|
| Business acquisitions |
|
|
|
|
|
|
|
206 |
|
|
|
|
|
|
|
|
|
|
|
4,565 |
|
|
45 |
|
| Share-based compensation |
|
|
|
|
|
|
|
70,199 |
|
| Common stock held in trusts, net |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
58 |
|
|
40,472 |
|
|
(58 |
) |
| Repurchase of common stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9,711,800 |
) |
|
(549,999 |
) |
| Conversion of ESOP preferred stock |
|
(31,142 |
) |
|
|
|
|
6,706 |
|
|
|
|
|
|
|
|
|
|
|
3,378,028 |
|
|
24,436 |
|
|
| Balance at September 30, 2005 |
$ |
— |
|
$ |
332,662 |
|
$ |
615,846 |
|
$ |
4,805,852 |
|
$ |
— |
|
$ |
10,280 |
|
|
(84,977,933 |
) |
$ |
(2,297,493 |
) |
| Net income |
|
|
|
|
|
|
|
|
|
|
752,280 |
|
|
|
|
|
|
|
|
|
|
Cash dividends:
Common ($.86 per share) |
|
|
|
|
|
|
|
|
|
|
(212,435 |
) |
|
|
|
|
|
|
|
|
|
Common stock issued for:
Employee stock plans, net |
|
|
|
|
|
|
|
148,342 |
|
|
|
|
|
|
|
|
|
|
|
5,066,384 |
|
|
49,057 |
|
| Business acquisitions |
|
|
|
|
|
|
|
734 |
|
|
|
|
|
|
|
|
|
|
|
15,864 |
|
|
156 |
|
| Share-based compensation |
|
|
|
|
|
|
|
108,613 |
|
| Common stock held in trusts, net |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
854 |
|
|
(17,275 |
) |
|
(854 |
) |
| Repurchase of common stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7,281,100 |
) |
|
(448,882 |
) |
|
| Balance at September 30, 2006 |
$ |
— |
|
$ |
332,662 |
|
$ |
873,535 |
|
$ |
5,345,697 |
|
$ |
— |
|
$ |
11,134 |
|
|
(87,194,060 |
) |
$ |
(2,698,016 |
) |
|
Common stock held in trusts represents rabbi trusts in connection with deferred compensation under the Company’s employee salary and bonus deferral plan and directors’ deferral plan.
Employee Stock Ownership Plan
The Company maintains an ESOP as part of its Savings Incentive Plan. The ESOP was initially established to satisfy all or part of the Company’s matching obligation. At inception, the ESOP purchased from the Company an issue of ESOP convertible preferred stock, which was subsequently allocated to plan participants. In December 2004, the remaining unallocated shares were converted to BD common stock and were fully utilized by April 2005. The Company’s matching obligation continues to be funded through the ESOP, which is used to purchase BD common stock at prevailing market prices. See Note 5 for further discussion.
|
