Sysco 2007 Annual Report Download - page 48

• the Southeast RDC in Alachua, Florida; and
• continuing work on the corporate headquarters expansion.
Fiscal 2006 capital expenditures included:
• construction of fold-out facilities in Springfield, Illinois, Geneva, Alabama, Knoxville, Tennessee and Raleigh,
North Carolina;
• replacement or significant expansion of facilities in Columbus, Ohio, Albuquerque, New Mexico and Denver,
Colorado; and
• continuing work on the corporate headquarters expansion.
Fiscal 2005 capital expenditures included:
• construction of fold-out facilities in Spokane, Washington and Geneva, Alabama;
• replacement or significant expansion of facilities in Baltimore, Maryland, Cleveland, Ohio, Denver, Colorado,
Milwaukee, Wisconsin, Miami, Florida and Hartford, Connecticut; and
• completion of the Northeast RDC in Front Royal, Virginia.
We expect total capital expenditures in fiscal 2008 to be in the range of $625,000,000 to $650,000,000. Fiscal 2008
expenditures will include the continuation of the fold-out program; facility, fleet and other equipment replacements and
expansions; the corporate office expansion; the company’s National Supply Chain project; and investments in technology.
During fiscal 2007, we acquired for cash one broadline foodservice operation. During fiscal 2006, we acquired for cash one
broadline foodservice operation, one custom meat-cutting operation and five specialty produce distributors. During fiscal
2005, we acquired for cash one broadline foodservice operation, four custom meat-cutting operations, and two specialty
produce distributors.
Financing Activities
We routinely engage in Board-approved share repurchase programs. The number of shares acquired and their cost during
the past three fiscal years were 16,231,200 shares for $550,865,000 in fiscal 2007, 16,479,800 shares for $544,131,000 in
fiscal 2006 and 16,790,200 shares for $597,660,000 in fiscal 2005. An additional 3,157,700 shares have been purchased
at a cost of $101,710,000 through August 15, 2007, resulting in 19,950,000 shares remaining available for repurchase as
authorized by the Board as of that date.
Dividends paid were $445,416,000, or $0.72 per share, in fiscal 2007, $397,537,000, or $0.64 per share, in fiscal 2006
and $357,298,000, or $0.56 per share in fiscal 2005. In May 2007, we declared our regular quarterly dividend for the first
quarter of fiscal 2008 of $0.19 per share, which was paid in July 2007.
In November 2000, we filed with the Securities and Exchange Commission a shelf registration statement covering
30,000,000 shares of common stock to be offered from time to time in connection with acquisitions. As of August 15, 2007,
29,477,835 shares remained available for issuance under this registration statement.
We have uncommitted bank lines of credit, which provided for unsecured borrowings for working capital of up to $145,000,000,
of which $18,900,000 was outstanding as of June 30, 2007 and $6,600,000 was outstanding as of August 15, 2007.
We have a commercial paper program allowing us to issue short-term unsecured notes in an aggregate not to exceed
$1,300,000,000. The current program was entered into in April 2006 and replaced notes that were issued under our
previous commercial paper program as they matured and became due and payable.
SYSCO and one of our subsidiaries, SYSCO International, Co., has a revolving credit facility supporting our U.S. and
Canadian commercial paper programs. The facility in the amount of $750,000,000 may be increased up to $1,000,000,000
at our option, and terminates on November 4, 2011, subject to extension. In the first half of fiscal 2008, we intend to
increase the size of the credit facility to $1,000,000,000 and extend the termination date by an additional year to 2012.
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