Symantec 2016 Annual Report Download - page 174

Download and view the complete annual report

Please find page 174 of the 2016 Symantec annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 184

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176
  • 177
  • 178
  • 179
  • 180
  • 181
  • 182
  • 183
  • 184

The components of earnings per share are as follows:
Year Ended
April 1,
2016
April 3,
2015
March 28,
2014
(In millions, except per share data)
Income (loss) from continuing operations $ (821) $ 109 $ 91
Income from discontinued operations, net of tax 3,309 769 807
Net income $ 2,488 $ 878 $ 898
Income (loss) per share — basic:
Continuing operations $ (1.23) $ 0.16 $ 0.13
Discontinued operations $ 4.94 $ 1.12 $ 1.16
Net income per share $ 3.71 $ 1.27 $ 1.29
Income (loss) per share — diluted:
Continuing operations $ (1.23) $ 0.16 $ 0.13
Discontinued operations $ 4.94 $ 1.10 $ 1.15
Net income per share $ 3.71 $ 1.26 $ 1.28
Weighted-average outstanding shares — basic 670 689 696
Dilutive potential shares from stock-based compensation - 7 8
Weighted-average shares outstanding — diluted 670 696 704
Anti-dilutive potential shares 20 1 5
Net income per share amounts may not add due to rounding.
Note 13. Subsequent Events
In May 2016, the Board of Directors approved a fiscal 2017 restructuring plan to reduce complexity by
means of long-term structural improvements. These actions are expected to be completed in fiscal 2018. We
expect to incur total costs between $230 million and $280 million.
In May 2016, we replaced our existing $1.0 billion senior unsecured revolving credit facility (“Old Credit
Facility”) with a new $2.0 billion credit facility (“New Credit Facility”). The New Credit Facility is comprised of
a $1.0 billion senior unsecured revolving credit facility (“New Revolver”) along with a $1.0 billion term loan
(“Term Loan”). The New Revolver matures in five years, however, the Term Loan is pre-payable and has no
required amortization payments until the final maturity in three years. Under the terms of the New Credit
Facility, we must comply with certain financial and non-financial covenants, including a covenant to maintain a
specified ratio of debt to EBITDA (earnings before interest, taxes, depreciation and amortization), as well as an
interest coverage ratio.
On April 28, 2016, Symantec announced that Michael A. Brown would be stepping down as President and
Chief Executive Officer (“CEO”) of Symantec. Mr. Brown will continue to serve as CEO and on the Board of
Directors until a successor has been appointed. The Board of Directors has begun the search for the Company’s
next CEO. To facilitate a continued focus on the Company’s strategic priorities throughout the CEO search and
transition, the Board of Directors has created an Office of the President composed of: Ajei S. Gopal, Interim
President and Chief Operating Officer; Thomas J. Seifert, Symantec’s Executive Vice President and Chief
Financial Officer; and Scott C. Taylor, Symantec’s Executive Vice President, General Counsel and Secretary.
The Office of the President is expected to remain in place until a new CEO has joined the Company.
86