Impairment of Long-Lived Assets

12 Months Ended

Jan. 03, 2016

During the years ended January 3, 2016, December 28, 2014 and December 29, 2013, the Company recorded impairment charges on long-lived assets as a result of (1) the Company’s decision to lease and/or sublease properties to franchisees in connection with the sale or anticipated sale of company-owned restaurants, (2) the deterioration in operating performance of certain company-owned restaurants and charges for capital improvements in restaurants impaired in prior years which did not subsequently recover and (3) closing company-owned restaurants and classifying such properties as held for sale. The Company may recognize additional impairment charges resulting from leasing or subleasing additional properties to franchisees in connection with sales of company-owned restaurants to franchisees.

During 2013, the Company decided to sell its company-owned aircraft and recorded an impairment charge of $5,327 to reflect the aircraft at fair value based on current market values. The aircraft were sold during 2014 resulting in a net loss of $261.

The following is a summary of impairment losses recorded, which represent the excess of the carrying amount over the fair value of the affected assets and are included in “Impairment of long-lived assets.”



	Year Ended
	2015		2014		2013
Restaurants leased or subleased to franchisees	$	19,214	$	11,993	$	20,506
Company-owned restaurants	3,132		5,146		9,094
Surplus properties	2,655		2,474		1,458
Aircraft	—		—		5,327
	$	25,001	$	19,613	$	36,385