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(15) Guarantor/Non-Guarantor (Tables)
3 Months Ended
Apr. 01, 2012
Guarantor Non-Guarantor [Abstract]  
Schedule of Condensed Consolidated Balance Sheet, Guarantor, Non Guarantor
 
 
 
Guarantor
 
Non-guarantor
 
 
 
 
 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
ASSETS
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
     Cash and cash equivalents
$
110,150

 
$
134,399

 
$
37,164

 
$

 
$
281,713

     Accounts and notes receivable
1,430

 
60,075

 
6,469

 

 
67,974

     Inventories

 
10,958

 
1,046

 

 
12,004

     Prepaid expenses and other current assets
4,688

 
28,602

 
1,580

 

 
34,870

     Deferred income tax benefit
57,437

 
34,226

 
1,004

 

 
92,667

     Due from affiliate
322,597

 

 

 
(322,597
)
 

     Advertising funds restricted assets

 

 
77,289

 

 
77,289

               Total current assets
496,302

 
268,260

 
124,552

 
(322,597
)
 
566,517

Properties
11,012

 
1,124,305

 
59,789

 

 
1,195,106

Goodwill

 
828,914

 
149,115

 
(100,720
)
 
877,309

Other intangible assets
16,620

 
1,258,578

 
24,282

 

 
1,299,480

Investments
19,000

 

 
95,759

 

 
114,759

Deferred costs and other assets
25,052

 
40,668

 
391

 

 
66,111

Net investment in subsidiaries
2,274,293

 
354,763

 

 
(2,629,056
)
 

Deferred income tax benefit
31,368

 

 

 
(31,368
)
 

               Total assets
$
2,873,647

 
$
3,875,488

 
$
453,888

 
$
(3,083,741
)
 
$
4,119,282

 
 
 
 
 
 
 
 
 
 
LIABILITIES AND INVESTED EQUITY
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
     Current portion of long-term debt
$
4,785

 
$
919

 
$
265

 
$

 
$
5,969

     Accounts payable
3,723

 
44,377

 
5,414

 

 
53,514

     Accrued expenses and other current liabilities
40,553

 
139,557

 
5,659

 

 
185,769

     Due to affiliates

 
332,045

 
4,354

 
(322,597
)
 
13,802

     Advertising funds restricted liabilities

 

 
77,289

 

 
77,289

               Total current liabilities
49,061

 
516,898

 
92,981

 
(322,597
)
 
336,343

Long-term debt
1,015,550

 
320,290

 
3,536

 

 
1,339,376

Deferred income

 
5,662

 
345

 

 
6,007

Deferred income taxes

 
551,579

 
15,762

 
(31,368
)
 
535,973

Other liabilities
3,001

 
84,217

 
8,330

 

 
95,548

Invested equity:
 
 
 
 
 
 
 
 
 
Member interest

 

 

 

 

Other capital
2,442,486

 
2,169,333

 
332,805

 
(2,502,138
)
 
2,442,486

(Accumulated deficit) retained earnings
(487,294
)
 
376,666

 
(5,714
)
 
(370,952
)
 
(487,294
)
Advances to The Wendy’s Company
(155,000
)
 
(155,000
)
 

 
155,000

 
(155,000
)
Accumulated other comprehensive income
5,843

 
5,843

 
5,843

 
(11,686
)
 
5,843

               Total invested equity
1,806,035

 
2,396,842

 
332,934

 
(2,729,776
)
 
1,806,035

               Total liabilities and invested equity
$
2,873,647

 
$
3,875,488

 
$
453,888

 
$
(3,083,741
)
 
$
4,119,282

 
 
 
Guarantor
 
Non-guarantor
 
 
 
 
 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
ASSETS
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
     Cash and cash equivalents
$
174,638

 
$
128,818

 
$
43,192

 
$

 
$
346,648

     Accounts and notes receivable
2,682

 
59,137

 
5,634

 

 
67,453

     Inventories

 
11,766

 
1,137

 

 
12,903

     Prepaid expenses and other current assets
5,446

 
11,732

 
1,230

 

 
18,408

     Deferred income tax benefit
59,737

 
34,226

 
1,000

 

 
94,963

     Advertising funds restricted assets

 

 
69,672

 

 
69,672

              Total current assets
242,503

 
245,679

 
121,865

 

 
610,047

Properties
12,431

 
1,120,383

 
59,382

 

 
1,192,196

Goodwill

 
828,411

 
145,133

 
(97,836
)
 
875,708

Other intangible assets
18,011

 
1,262,070

 
24,207

 

 
1,304,288

Investments
19,000

 

 
95,651

 

 
114,651

Deferred costs and other assets
26,446

 
40,131

 
250

 

 
66,827

Net investment in subsidiaries
2,253,006

 
348,931

 

 
(2,601,937
)
 

Deferred income tax benefit
29,269

 

 

 
(29,269
)
 

Due from affiliate
295,080

 

 

 
(295,080
)
 

              Total assets
$
2,895,746

 
$
3,845,605

 
$
446,488

 
$
(3,024,122
)
 
$
4,163,717

 
 
 
 
 
 
 
 
 
 
LIABILITIES AND INVESTED EQUITY
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
     Current portion of long-term debt
$
3,952

 
$
923

 
$
262

 
$

 
$
5,137

     Accounts payable
9,215

 
64,251

 
7,520

 

 
80,986

     Accrued expenses and other current liabilities
62,209

 
137,105

 
12,836

 

 
212,150

     Advertising funds restricted liabilities

 

 
69,672

 

 
69,672

               Total current liabilities
75,376

 
202,279

 
90,290

 

 
367,945

Long-term debt
1,017,401

 
319,643

 
3,515

 

 
1,340,559

Due to affiliates

 
308,654

 
1,794

 
(295,080
)
 
15,368

Deferred income

 
6,132

 
391

 

 
6,523

Deferred income taxes

 
551,579

 
15,379

 
(29,269
)
 
537,689

Other liabilities
3,305

 
84,647

 
8,017

 

 
95,969

Invested equity:
 
 
 
 
 
 
 
 
 
Member interest

 

 

 

 

Other capital
2,440,130

 
2,168,046

 
332,707

 
(2,500,753
)
 
2,440,130

(Accumulated deficit) retained earnings
(486,567
)
 
358,524

 
(6,706
)
 
(351,818
)
 
(486,567
)
Advances to The Wendy’s Company
(155,000
)
 
(155,000
)
 

 
155,000

 
(155,000
)
Accumulated other comprehensive income
1,101

 
1,101

 
1,101

 
(2,202
)
 
1,101

                Total invested equity
1,799,664

 
2,372,671

 
327,102

 
(2,699,773
)
 
1,799,664

                Total liabilities and invested equity
$
2,895,746

 
$
3,845,605

 
$
446,488

 
$
(3,024,122
)
 
$
4,163,717

Schedule of Condensed Consolidated Statement of Operations, Guarantor, Non Guarantor


 
Guarantor
 
Non-guarantor
 

 


Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
 Revenues:
 
 
 
 
 
 
 
 
 
      Sales
$

 
$
466,685

 
$
53,244

 
$

 
$
519,929

      Franchise revenues

 
68,923

 
4,335

 

 
73,258



 
535,608

 
57,579

 

 
593,187


 
 
 
 
 
 
 
 
 
 Costs and expenses:
 
 
 
 
 
 
 
 
 
      Cost of sales

 
406,024

 
49,443

 

 
455,467

      General and administrative

 
66,024

 
4,056

 

 
70,080

      Depreciation and amortization
2,981

 
26,765

 
2,562

 

 
32,308

      Impairment of long-lived assets

 
2,630

 
253

 

 
2,883

Facilities relocation and other transition costs
5,444

 
87

 

 

 
5,531

      Transaction related costs
615

 
(3
)
 

 

 
612

      Other operating expense (income), net
442

 
2,543

 
(1,414
)
 

 
1,571


9,482

 
504,070

 
54,900

 

 
568,452

                   Operating (loss) profit
(9,482
)
 
31,538

 
2,679

 

 
24,735

 Interest expense
(22,158
)
 
(5,749
)
 
(166
)
 

 
(28,073
)
 Other income (expense), net
5,283

 
(1,448
)
 
(2,260
)
 

 
1,575

 Equity in income of subsidiaries
15,258

 
992

 

 
(16,250
)
 

(Loss) income before income taxes
(11,099
)
 
25,333

 
253

 
(16,250
)
 
(1,763
)
Benefit from (provision for) income taxes
10,372

 
(10,075
)
 
739

 

 
1,036

                   Net (loss) income
$
(727
)
 
$
15,258

 
$
992

 
$
(16,250
)
 
$
(727
)
 
 
 
Guarantor
 
Non-guarantor
 
 
 
 
 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
 Revenues:
 
 
 
 
 
 
 
 
 
      Sales
$

 
$
455,569

 
$
53,758

 
$
(41
)
 
$
509,286

      Franchise revenues

 
68,766

 
4,421

 
(8
)
 
73,179

 

 
524,335

 
58,179

 
(49
)
 
582,465

 
 
 
 
 
 
 
 
 
 
 Costs and expenses:
 
 
 
 
 
 
 
 
 
      Cost of sales

 
390,025

 
48,846

 

 
438,871

      General and administrative

 
60,606

 
11,333

 

 
71,939

      Depreciation and amortization
2,588

 
24,597

 
2,664

 

 
29,849

      Impairment of long-lived assets

 
7,543

 
354

 

 
7,897

      Transaction related costs
1,279

 

 

 

 
1,279

      Other operating expense (income), net

 
2,674

 
(1,932
)
 

 
742

 
3,867

 
485,445

 
61,265

 

 
550,577

                   Operating (loss) profit
(3,867
)
 
38,890

 
(3,086
)
 
(49
)
 
31,888

Interest expense
(23,336
)
 
(5,734
)
 
(145
)
 

 
(29,215
)
Other income (expense), net

 
3,798

 
(3,585
)
 

 
213

Equity in income (loss) of subsidiaries
13,386

 
(8,716
)
 

 
(4,670
)
 

(Loss) income from continuing operations
     before income taxes
(13,817
)
 
28,238

 
(6,816
)
 
(4,719
)
 
2,886

Benefit from (provision for) income taxes
14,842

 
(13,690
)
 
(1,900
)
 

 
(748
)
Income (loss) from continuing operations
1,025

 
14,548

 
(8,716
)
 
(4,719
)
 
2,138

Loss from discontinued operations, net
of income taxes

 

 
(1,162
)
 
49

 
(1,113
)
                   Net income (loss)
$
1,025

 
$
14,548

 
$
(9,878
)
 
$
(4,670
)
 
$
1,025

Schedule of Condensed Consolidated Statement of Comprehensive Income (Loss), Guarantor, Non Guarantor
 
 
 
Guarantor
 
Non-guarantor
 
 
 
 
 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
 
 
 
 
 
 
 
 
 
 
Net (loss) income
$
(727
)
 
$
15,258

 
$
992

 
$
(16,250
)
 
$
(727
)
Other comprehensive income, net:
 
 
 
 
 
 
 
 
 
          Foreign currency translation adjustment
4,742

 
4,742

 
4,742

 
(9,484
)
 
4,742

          Other comprehensive income, net
4,742

 
4,742

 
4,742

 
(9,484
)
 
4,742

          Comprehensive income
$
4,015

 
$
20,000

 
$
5,734

 
$
(25,734
)
 
$
4,015

 
 
 
Guarantor
 
Non-guarantor
 
 
 
 
 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
 
 
 
 
 
 
 
 
 
 
Net income (loss)
$
1,025

 
$
14,548

 
$
(9,878
)
 
$
(4,670
)
 
$
1,025

Other comprehensive income, net:
 
 
 
 
 
 
 
 
 
          Foreign currency translation adjustment
7,649

 
7,649

 
7,649

 
(15,298
)
 
7,649

Change in net unrecognized pension loss, net of income tax provision of $15 in 2011
(55
)
 
(55
)
 
(55
)
 
110

 
(55
)
          Other comprehensive income, net
7,594

 
7,594

 
7,594

 
(15,188
)
 
7,594

          Comprehensive income (loss)
$
8,619

 
$
22,142

 
$
(2,284
)
 
$
(19,858
)
 
$
8,619

Schedule of Condensed Consolidated Statement of Cash Flows, Guarantor, Non Guarantor
 

 
Guarantor
 
Non-guarantor
 

 

 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
Cash flows from operating activities:

 

 

 

 

Net (loss) income
$
(727
)
 
$
15,258

 
$
992

 
$
(16,250
)
 
$
(727
)
Adjustments to reconcile net (loss) income to net cash
      (used in) provided by operating activities:

 

 

 

 

Equity in income from operations of subsidiaries
(15,258
)
 
(992
)
 

 
16,250

 

Depreciation and amortization
3,622

 
26,765

 
2,562

 

 
32,949

Distributions received from joint venture

 

 
3,253

 

 
3,253

Impairment of long-lived assets

 
2,630

 
253

 

 
2,883

Share-based compensation provision
1,071

 
1,187

 
98

 

 
2,356

Accretion of long-term debt
524

 
1,486

 

 

 
2,010

Non-cash rent expense (credit)

 
1,661

 
(22
)
 

 
1,639

Write-off and amortization of deferred financing costs
1,349

 

 

 

 
1,349

Tax sharing receipt from (payment to) affiliate, net
12,000

 
(12,000
)
 

 

 

Net recognition of deferred vendor incentives

 
(58
)
 

 

 
(58
)
Deferred income tax benefit, net
(857
)
 

 

 

 
(857
)
Equity in earnings in joint ventures, net

 

 
(2,134
)
 

 
(2,134
)
Other, net
(38,626
)
 
38,792

 
(356
)
 

 
(190
)
Changes in operating assets and liabilities:

 

 

 

 

Accounts and notes receivable
1,322

 
(795
)
 
(690
)
 

 
(163
)
Inventories

 
803

 
117

 

 
920

Prepaid expenses and other current assets
969

 
(3,092
)
 
(321
)
 

 
(2,444
)
Accounts payable
(3,307
)
 
(7,707
)
 
(1,134
)
 

 
(12,148
)
Accrued expenses and other current liabilities
(22,255
)
 
(11,755
)
 
(7,728
)
 

 
(41,738
)
Net cash (used in) provided by operating
    activities
(60,173
)
 
52,183

 
(5,110
)
 

 
(13,100
)
Cash flows from investing activities:

 

 

 

 

Capital expenditures
(2,774
)
 
(41,495
)
 
(2,729
)
 

 
(46,998
)
Restaurant acquisitions

 
(2,594
)
 

 

 
(2,594
)
Franchise incentive loans

 
(1,096
)
 

 

 
(1,096
)
Other, net

 
(924
)
 
907

 

 
(17
)
Net cash used in investing activities
(2,774
)
 
(46,109
)
 
(1,822
)
 

 
(50,705
)
Cash flows from financing activities:

 

 

 

 

Repayments of long-term debt
(1,541
)
 
(493
)
 
(64
)
 

 
(2,098
)
Net cash used in financing activities
(1,541
)
 
(493
)
 
(64
)
 

 
(2,098
)
Net cash (used in) provided by operations before effect of
     exchange rate changes on cash
(64,488
)
 
5,581

 
(6,996
)
 

 
(65,903
)
Effect of exchange rate changes on cash

 

 
968

 

 
968

Net (decrease) increase in cash and cash equivalents
(64,488
)
 
5,581

 
(6,028
)
 

 
(64,935
)
Cash and cash equivalents at beginning of period
174,638

 
128,818

 
43,192

 

 
346,648

Cash and cash equivalents at end of period
$
110,150

 
$
134,399

 
$
37,164

 
$

 
$
281,713

 
 
 
Guarantor
 
Non-guarantor
 
 
 
 
 
Parent
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Total
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
Net income (loss)
$
1,025

 
$
14,548

 
$
(9,878
)
 
$
(4,670
)
 
$
1,025

Adjustments to reconcile net income (loss) to
     net cash (used in) provided by operating activities:
 
 
 
 
 
 
 
 
 
Equity in (income) loss from operations of
     subsidiaries
(13,386
)
 
8,716

 

 
4,670

 

Depreciation and amortization
2,588

 
24,597

 
15,475

 

 
42,660

Net receipt of deferred vendor incentives

 
19,086

 
10,271

 

 
29,357

Impairment of long-lived assets

 
7,543

 
2,069

 

 
9,612

Distributions received from joint venture

 

 
3,113

 

 
3,113

Share-based compensation provision
1,196

 
1,223

 
580

 

 
2,999

Write-off and amortization of deferred financing costs
2,148

 

 

 

 
2,148

Accretion of long-term debt
595

 
1,456

 
79

 

 
2,130

Non-cash rent expense (credit)

 
1,914

 
(107
)
 

 
1,807

Tax sharing receipt from (payment to) affiliate, net
14,000

 
(14,000
)
 

 

 

Deferred income tax (benefit) provision, net
(272
)
 
(413
)
 
349

 

 
(336
)
Equity in earnings in joint venture

 

 
(2,363
)
 

 
(2,363
)
Tax sharing payment to The Wendy’s Company
(13,078
)
 

 

 

 
(13,078
)
Other, net
13,786

 
3,021

 
(17,051
)
 

 
(244
)
Changes in operating assets and liabilities net:
 
 
 
 
 
 
 
 

Accounts and notes receivable
37

 
2,163

 
6

 

 
2,206

Inventories

 
819

 
(1,189
)
 

 
(370
)
Prepaid expenses and other current assets
(633
)
 
(3,041
)
 
(4,823
)
 

 
(8,497
)
Accounts payable
(223
)
 
(933
)
 
4,770

 

 
3,614

Accrued expenses and other current liabilities
(21,046
)
 
(5,022
)
 
(7,112
)
 

 
(33,180
)
Net cash (used in) provided by operating
     activities
(13,263
)
 
61,677

 
(5,811
)
 

 
42,603

Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Capital expenditures
(3,293
)
 
(18,920
)
 
(6,355
)
 

 
(28,568
)
Restaurant acquisitions

 
(2,900
)
 

 

 
(2,900
)
Other, net

 
228

 
75

 

 
303

Net cash used in investing activities
(3,293
)
 
(21,592
)
 
(6,280
)
 

 
(31,165
)
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Repayments of long-term debt
(26,117
)
 
(198
)
 
(3,450
)
 

 
(29,765
)
Capital contributions from Parent
(30,000
)
 

 
30,000

 

 

Other, net
(18
)
 

 

 

 
(18
)
Net cash (used in) provided by financing
     activities
(56,135
)
 
(198
)
 
26,550

 

 
(29,783
)
Net cash (used in) provided by operations before effect of
     exchange rate changes on cash
(72,691
)
 
39,887

 
14,459

 

 
(18,345
)
Effect of exchange rate changes on cash

 

 
959

 

 
959

Net (decrease) increase in cash and cash equivalents
(72,691
)
 
39,887

 
15,418

 

 
(17,386
)
Cash and cash equivalents at beginning of period
79,355

 
53,810

 
65,521

 

 
198,686

Cash and cash equivalents at end of period
$
6,664

 
$
93,697

 
$
80,939

 
$

 
$
181,300