Cabela's 2008 Annual Report Download - page 98

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93
CABELA’S INCORPORATED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Dollars in Thousands Except Share and Per Share Amounts)
Class B Non-voting Common Stock – The holders of our Class B non-voting common stock are not entitled to
any voting rights, except that the holders may vote as a class, with each holder receiving one vote per share of Class B
non-voting common stock, on any amendment, repeal, or modification of any provision of our Amended and Restated
Certificate of Incorporation that adversely affects the powers, preferences, or special rights of holders of Class B
non-voting common stock. Shares of the Class B non-voting common stock are convertible into the same number of
shares of Class A voting common stock at any time. However, no holder of shares of Class B non-voting common
stock is entitled to convert any of its shares into shares of Class A common stock, to the extent that, as a result of such
conversion, the holder directly, or indirectly, would own, control, or have the power to vote a greater number of shares
of Class A common stock or other securities of any kind issued by us than the holder is legally permitted to own,
control, or have the power to vote. Subject to the prior rights of holders of preferred stock, if any, holders of Class B
non-voting common stock, which rates equally with the Class A common stock in respect of dividends, are entitled
to receive ratably dividends, if any, as may be lawfully declared from time to time by our board of directors.
Upon any voluntary or involuntary liquidation, dissolution, or winding up of company affairs, the holders of
Class B non-voting common stock are entitled to share ratably with the holders of Class A common stock in all assets
remaining after payment to creditors and subject to prior distribution rights of any shares of preferred stock that we
may issue in the future.
Retained Earnings – The most significant restrictions on the payment of dividends are the covenants contained
in our revolving credit agreement and unsecured senior notes purchase agreements. Nebraska banking laws also
govern the amount of dividends that WFB can pay to Cabela’s. At December 27, 2008, we had unrestricted retained
earnings of $106,238 available for dividends. However, we have never declared or paid any cash dividends on our
common stock and we do not anticipate paying any cash dividends in the foreseeable future.
Other Comprehensive Income (Loss) – The components of accumulated other comprehensive income (loss),
net of related taxes, are as follows for the years ended:
2008 2007
Accumulated net unrealized holding losses on economic development bonds $ (6,231) $ (806)
Accumulated net unrealized holding gains on derivatives 33 76
Cumulative foreign currency translation adjustments (399) 7
Total accumulated other comprehensive income (loss) $ (6,597) $ (723)
21. EARNINGS PER SHARE
The following table reconciles the number of shares utililized in the earnings per share calculations for the
years ended:
2008 2007 2006
Weighted average number of shares:
Common shares – basic 66,384,004 65,744,077 65,221,339
Effect of incremental dilutive securities:
Stock options and employee stock purchase plan shares 774,579 1,531,454 1,422,517
Common shares – diluted 67,158,583 67,275,531 66,643,856
Options outstanding considered anti-dilutive 4,466,534 1,048,000 6,000