Domino's repurchases $68.3 million in notes for $34.6 million in first and second quarters

By Devika Patel

Knoxville, Tenn., April 30 - Domino's Pizza, Inc. bought back approximately $43.3 million of its fixed-rate senior notes for approximately $22.3 million during the first quarter, according to a company earnings report. It has repurchased $25 million of the notes in the second quarter for approximately $12.3 million.

The first-quarter repurchase resulted in a pre-tax gain of approximately $21.2 million. The second-quarter repurchase resulted in a pre-tax gain of approximately $12.9 million.

"Using a combination of cash-on-hand and our bank revolver with a very low borrowing rate, we took advantage of opportunities to repurchase a portion of our debt at deep discounts. And, we continue to generate cash that will be deployed to create additional shareholder value in the future," Domino's chairman and chief executive officer David A. Brandon said in the report.

The Ann Arbor, Mich., pizza delivery company said it used a combination of cash-on-hand and borrowings on its variable-funding note facility to fund the repurchases.

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